The debate about "one corn" continued for more than ten days and is still fermenting.
Trapped in the center of the whirlpool is Dongfang Selection.
The dispute over the selection of 8 yuan corn in the East, which had already ended with , Simba, and , came to an end, but the remarks of the Douyin user "Northeast Farmer's Wife" once again sparked heated discussions.
Recently, the "Northeast Farmer's Wife" who claimed to be Dongfang's selected corn supplier claimed in the Douyin live broadcast that she was the supplier of Dongfang's selection of 6 yuan of corn, and the same corn in her live broadcast room only cost 3.6 yuan.
On September 29, in response to the removal of all the products of the supplier, Northeast Nongsao, from the live broadcast room, Dongfang Selection customer service responded, "In order to ensure quality, manufacturers cannot over-produce, and the output of products is not fixed. As long as manufacturers have production capacity, they will List the product links as soon as possible.”
Although the sale or not of a single product will not fundamentally affect the market selected by the East, but in the long run, if you choose to deeply cultivate agricultural and sideline products, you must face this category The complicated market situation and supply and demand relationship are similar to the question of "how much should corn sell for". If no suitable solution can be thought of, Dongfang Selection may be caught in controversy in the future.
Source: Internet
7 cents per ear of corn sells for 6 yuan?
The controversy over New Oriental "how much should one corn sell for" dates back to September 18, when the well-known anchor Simba was in one of his own shows. In the live broadcast with goods, it said, "Some live broadcast rooms sell high-priced products and advertise that the low price of grains hurts farmers. This is purely deceiving the people. A box of 8 ears of corn can be sold for 50 yuan, which is a conscience."
In addition, Xin Ba also directly revealed the purchase price of corn, "It's 7 cents per ear when it comes out of the field, and in the end the price is added to 6 yuan. If you come here for cheap corn, it will hurt farmers. As a result, your company's profit can account for 40%, too much. It's hypocritical."
Later, in the live broadcast of Dongfang Selection, Dong Yuhui responded to the matter in the air: "Like the black land in Northeast China, corn with good origin, good varieties, pure natural without pesticides, and healthy corn, because of the limited production, its The cost itself is higher, ranging from 1 to 3 yuan. The price of Dongfang Selection corn recovered from the field is only 2 yuan, and the cost is high.”
Dong Yuhui also explained the current sales problems of agricultural products, Not that the price is low is justified. "We also want farmers to make more money, but if we only want farmers to make money, this commodity will not make money. If there are no middlemen, who will buy corn? Who will sell corn without manufacturers' packaging, transportation, and after-sales services? Go?"
Dangdang founder Li Guoqing also expressed a similar view to Dong Yuhui when commenting on this matter, he revealed that the current elimination rate of agricultural and sideline products is very high, because middlemen have to bear the risk of rotting and deterioration, although Gross margins are high, but not much money is actually made.
Backstabbed by supplier again
Originally thought the incident would come to an end, but the supplier's sudden "backstab" made the matter hot again.
Recently, the "Northeast Farmer's Wife" who claimed to be Dongfang's selected corn supplier claimed in the Douyin live broadcast that she was the supplier of Dongfang's selection of 6 yuan of corn, and the same corn in her live broadcast room only cost 3.6 yuan.
Source: Network
The Northeast farmer's wife who self-declared that she is the Dongfang selection of corn suppliers, faced with the outside world's discussion of selling corn at 3.6 yuan, the anchor said in the live broadcast, "This corn has been sold for more than ten years, just because We have cooperated with a certain brand, and we can no longer sell it in the future?" The anchor of
further explained in the live broadcast, "This matter is not fermented by us, but sent by many big V, including family members who bought corn to watch On the packaging, there are four words written on the Northeast Nongsao, and I found it myself. Is it our fault to do this? Or do we have to violate the relevant regulations and not write the specific manufacturer information? That is not allowed."
On Douyin, the certification of the Northeast Nongsao is Jilin Nongsao Food Co., Ltd. According to 's information, Nongsao Food Co., Ltd. was established on July 26, 2012 with a registered capital of 15 million yuan. The company's largest shareholder is the founder Sui Shuxia. Public information shows that Nongsao Food mainly purchases corn from the ground, and then produces and processes it into fresh corn .
Dongfang Selection is one of the customers of the Northeast Nongsao. The cost of purchasing, production and processing of corn is borne by the Northeast Nongsao, while Dongfang Selection bears a series of costs for corn from the supplier to the Dongfang Selection live broadcast room, and then to the consumers.
As for the reason why Dongfang Selection set a price of 6 yuan for a corn, Zhuang Shuai, an expert in the retail e-commerce industry and founder of Bailian Consulting, said, "Including the marketing and promotion costs of Dongfang Selection's advertising, labor costs such as teachers and operations, Dongfang Selection The cost is higher than that of the supplier, and raising the selling price can also directly increase the profit margin of the company.”
A dealer who claimed to be a former Northeast Nongsao corn posted a video saying that the ex-factory price of 200 grams of Northeast Nongsao is 4 The freight from the Northeast to Nanjing is about 5 yuan per ton. If the shipment is less than one ton, the freight cost is 10 yuan. That is to say, the cost price of a piece of corn is about 4.4 yuan, the wholesale price is 4.8 yuan, and the retail guide price is 6 yuan a piece.
In other retail channels, such as Tmall supermarket , Northeast Nongsao's ready-to-eat corn is priced at 59.9 yuan, or 53.9 yuan after discount, which is more expensive than Dongfang Selection.
On Douyin, some netizens also posted different prices of corn bought in the live broadcast room of the Northeast Nongsao and Dongfang Selection, saying that the corn of Dongfang Selection 6 yuan is 350 grams, while the Northeast Nongsao is 3.6 yuan a piece. The corn is only 200 grams, and the latter is more than 1 cent more expensive than the former.
Fat Donglai recalls 8.5 yuan of corn
A single corn not only caused a wave in the live broadcast e-commerce arena, but also in offline stores.
On September 29, Fat Donglai issued an announcement on its WeChat public account "Xinxiang Fat Donglai Supermarket" to recall the "Northeast Farmer's Sweet Corn" priced at 8.5 yuan.
On the evening of September 28, a consumer tweeted that the sweet corn sold by the Northeast Farmer's Wife in Fat Donglai Supermarket was selling for 8.5 yuan, much higher than the 6 yuan in the Dongfang selection live broadcast room.
The day after the video was released, Pang Donglai issued a recall announcement on "Northeast Farmers' Sweet Corn". The announcement shows that the source purchase price of "Northeast Nongsao Sweet Corn" is 4.2 yuan, the source purchase price including tax stamps and freight is 4.6 yuan, the supplier's supply price to Fat Donglai is 6 yuan, and the supplier The mark-up rate is 23%. The price of the Fat Donglai store is 8.5 yuan, the market guide price of the manufacturer, and the calculated mark-up rate is 29.4%.
Pang Donglai said in the announcement that because "the business personnel did not conduct a serious and rigorous review of the supplier's supply price, and did not conduct a comprehensive procurement evaluation for the product, the markup rate of this product exceeded that of Pang Donglai's products. Standard."
Dongfang Selection sells more expensive products than just corn
In fact, Dongfang Selection sells more expensive products than just corn. The so-called "selection", Yu Minhong explained at the beginning of the live broadcast: Dongfang Selection selects real, good, and uncontaminated agricultural products; second, these agricultural products can be eaten by themselves or used as Gifts are sent out.
Dongfang Selection has not taken the route with the lowest price on the entire network from the very beginning. On December 28 last year, at the beginning of the live broadcast of Oriental Selection, the agricultural products sold in the live broadcast room were once dubbed by netizens as "luxury goods" in agricultural products.
It is worth noting that the corn that caused the controversy this time is a product selected by Dongfang. Since January this year, Dongfang Selection has begun to explore self-operated products and create self-operated brands, involving fresh fruits and vegetables, casual snacks, meat products, beverages and other categories.
New Oriental Online CFO Yin Qiang once mentioned at the financial report meeting, "We have indeed made more selections and greater investment in self-operated products, and we are equivalent to using underwriting methods to buy them back and then sell them. We also take more risk, so the gross profit margin of self-operated products will be higher.” Yin Qiang said that the specific data will be announced in the next financial report of New Oriental Online.
According to Sun Dongxu, CEO of New Oriental Online, Oriental Selection plans to launch 5-6 self-operated products every month. In the future, self-operated products will be controlled at a relatively high proportion, but the proportion of GMV (gross merchandise transactions) will not exceed half. .
According to the latest financial report released by New Oriental Online, as of May 31, New Oriental Online's live broadcast e-commerce business revenue was 24.6 million yuan, the revenue cost was 15.3 million yuan, and the gross profit was 9.3 million yuan.Yuan, the gross profit margin was 37.8%. As for the reason for the high profit margin, Dongfang Selection gave two explanations in the financial report: one is that there is no traffic to buy, which saves market costs; the other is that there is no share for the anchor.
In the future, with the increase in the selection of self-operated products in the East, how to deal with the relationship with farmers, suppliers and other supply chains will be a constant challenge for the selection.
(WeChat official account "Caizhi Toutiao" integrated from: Interface News, Surging News , Daily Economic News , etc.)
Editor: Yuan Kai
Proofreading: Fenghua
Reviewer: Gong Zimo