Direct marketing internet service is 2016, a year of slowing growth in china, and a year of testing in the direct marketing industry. In the course of the year, the direct marketing industry is changing, whether it is the result of the growing number of direct sales enterprises, the influence of various financial pools, virtual currencies, microbusinesses, or the regulatory orientation of the direct marketing regulatory authorities towards the direct marketing sector, which is shifting in favour of promoting the development of the direct marketing industry, as well as the combination of severe attacks on sales。
According to the performance report for china's direct selling enterprises 2016, published by the dow door monitoring unit and the third-party data agency helen international center for direct marketing studies, 44 businesses have performed a total of over $19,214 million, down slightly from last year's year. Among them, there was an infinite re-enactment of champions, anne and perfect second in line。
China's direct sales performance ranking for 2016 (continuous update )
Remarks:
1 the performance data in this table is derived from a combination of multiple sources, including self-reporting by major direct-selling enterprises, public notices of listed direct-selling enterprises, and estimates of business market performance for information purposes only
2 “performance” in this table refers to the performance of 80 direct-selling businesses published by the ministry of commerce in the interior of china from january to december 2016, with some of the performance being the approximates of the firm's current statistics, whichever is different from the firm's final precision performance values。
The direct sales of the 3-ha pharmaceutical group were completely suspended and the direct sales of the imamley china district were largely suspended and not included in the statistics。
In view of the fact that data on the performance of some enterprises are currently not available for statistical purposes, this is monitored and updated on an ongoing basis, and more data are expected to be updated in the coming period. If there are questions about the data, a wide audience will be welcome to call for communications and advice。
The statistics are for only 44 enterprises, with businesses with unclear performance in 2016 not included。
Ii. Direct sales outperformed 192,014 billion in 2016 and slowed down to a new pattern
According to the department of commerce's direct marketing industry information management system (simis) data, as at 15 january 2017, 80 businesses in the country had been officially licensed to do so, and they had produced over $19,214 million in performance in 2016。
After an infinite number of years, in 2016, he won the “performance champions” again with a record of 27 billion, and the second-largest anli in 2015 achieved only 21. 6 billion in 2016, which goes hand in hand with perfection, followed by 20 billion and 12 billion in power and the middle。
The slowdown is a shock of industry-wide adjustment
From the 44 direct sales firms recorded, the overall performance of the direct sales industry showed a new pattern of slowing down in 2016, particularly in 2015 when it ranked at the top of the top six direct sales enterprises, namely, anli, perfecte, kwon, centre and pering kay, with their performance declining to varying degrees in 2016。
In response, many senior experts in the industry argued that the slowdown in the direct marketing sector this year would not be a trend but rather a shock in industry-wide adjustment. According to statistics, in addition to the 13 enterprises whose performance was not clear in 2015, 11 of the remaining 31 enterprises experienced a decline in performance, with one doing the same performance as last year, but 19 businesses maintaining a growth pattern, even with growth rates exceeding 690 per cent, and the industry as a whole continues to grow rapidly。
The performance of foreign firms is still on track and domestic firms catch up
According to available data, as a result of the decline in the performance of traditional foreign firms, such as the infinite extremes, anly and perfectes, the total performance of foreign firms was 10,9270 million in 2016, a decline of 3. 10 per cent from last year's performance; as for domestic firms, the total performance in 2016 was 69,554 million, an overall growth rate of 7. 77 per cent. From the analysis of performance data for the last two years, it can be seen that while china’s direct-selling performance is still a leading foreign investment, domestic firms are gradually catching up, especially as the number of domestic firms is increasing, and it is believed that the gap will be further narrowed in the future。
Iii. Growth continues to be a major trend, with many straight firms working
In 2016, direct enterprise performance growth remained a significant trend. Compared to 2015 performance, 19 enterprises have experienced varying increases in performance. In terms of growth rates, 12 enterprises achieved performance growth of up to 50 per cent, 2 enterprises achieved 50 per cent to 100 per cent growth, and 5 enterprises, such as shankh, rome, wacon, orelian and changqing, experienced performance growth of over 100 per cent, making it a “five-fold increase” in 2016。
One, shanh, rome, wacon, o'relian, qingqing to five tigers, multiple channels to expand their influence
The highest rate of performance among the `five-strengths' was in health, with a performance growth rate of 690 per cent, followed by eurelén, with performance rising from 190 million in 2015 to 930 million in 2016, with shangah in third place with a growth rate of 261 per cent, followed by rome and young-young. The performance of the five enterprises has also been on the upward trend in recent years。
This is explained by the fact that, on the one hand, the market has grown more and more institutionalized, that society has become aware of and recognizes the socio-economic value of the direct marketing industry, and that business confidence in the direct marketing model has grown, which has accelerated the process of obtaining licences. Some of the direct-selling enterprises have left the stone-crossing search phase in a steady, long-term phase, with their performance rising year by year。
On the other hand, while always insisting on providing valuable products to consumers, these enterprises have achieved high growth in their performance through different channels, such as rome through its integration with e-commerce and active social responsibility through their participation in public goods。
The eurelian who entered china once was considered “controversial” has undergone radical reforms in recent years, including branding, modification of the bonus system, digital services, etc. As a result of these changes, oréléans started to improve slightly. In 2016, the “six drivers” helped double performance. Of these, digitization services are at the top of its strategy, with data showing that 63 per cent of eurelyn's orders are generated by moving clients. It was these dramatic reforms that led to a qualitative leap in the performance of orelen in 2016。
Despite high performance growth, these figures mask those potential risks. Like sang-hyuk, the repeated imposition of a disguised “entry fee” by the media in different locations, multiple levels of direct sales of suspected violations, violations of direct sales across regions, and the suspicion of exaggerating the effectiveness of products have attracted widespread social and industry attention。
This is also the year of greatest concern for the health sector, which has the highest growth rate. Whether it is the billions of contributions of systems such as star league, loneten international, or the chain of proprietorships, the departure of executives, and so on, has led to the spread of the media headlines in vixar. While there have been occasional incidents of controversy, they have not prevented healthy organisms from showing off in 2016. It is foreseeable that these high-performing enterprises will inevitably face greater external risks in the future。
Two, conbola and three are up
In contrast to the cross-cutting growth in the performance of some of the top companies, the third-story, conbola, the holy land, kim il and junge are showing steady increases in their performance over the last three years, not the most rapid, but steady performance。
Despite the explosive growth of some of those companies, there are many factors of instability that can easily be reversed in performance. There is a perception among industry that, in the earlier period, a surge in performance in the short term was stimulated by a number of market advantages, but was not sustained by a stable consumer group, often followed by longer team adjustments, during which a large number of distributors and consumer groups were inevitably lost。
In order to avoid this situation, companies such as samurai, combola, the holy land, kim il and junga have chosen a more robust development strategy, hoping to strengthen their work in the fields of r & d, production, management, services, branding, and so forth, by wiping out their hard power, but at a slow pace they have to accept more pressure and torture from the market。
3 gold tin international, wallinline alpine, jialai and others are outstanding eye
As of december 31, 2016, nine companies in kim tian international, 38 women's music international, gydra, the united states of america, totaka, chilcon, anem and greenha had been licensed for direct sales. With the exception of quilcon and gyude and the united states of america, the remaining six companies that won this year appear on the list, contributing a combined performance of $5. 73 billion, or about 3 per cent of overall performance。
Of that number, kim tian international had the highest number of companies awarded licences in 2016 with 2. 7 billion. According to industry experts, kim tian international achieved impressive results in the year of the medallion, which is inextricably linked to its corporate strategy to map the ecological maintenance path of the great health industry cluster. It is understood that after 25 years of development, the diversification and diversification of product patterns have provided consumers with comprehensive and systematic feeding technologies and services that have contributed to the rapid transformation and development of the global health industry, while also contributing to the growth of its performance。
In addition to this year's corporate performance, this year's performance list also features two new faces, namely, valentine alkaline and jilai. According to statistics, the performance of valentine in 2016 was 3. 6 billion, while that of jialey was also as high as 2. 8 billion yuan。
Like kim tian international, hualineline and jilai have also been developing in the health sector for many years, having been established in 2003 and having established several regional headquarters for domestic and foreign investment, while jialai was founded in hong kong in 1968 and joined the chinese regional market in 2015, after completing the configuration of several countries and regions。
Unlike many direct-seller companies, the main hit product of alkaline valentine and jialey is not a health food or cosmetics, the former being a product of the alkaline alkaline dds series, the latter being a spectral body coat. In the view of the industry, it is precisely this differentiation of products that led the two enterprises to achieve remarkable results in 2016。
Four, eleven straight-selling firms downperformed for different reasons
In 2016, 11 of the top-selling businesses registered negative growth, up from 5 in 2015, and although the number of firms with negative growth remains small, there is still much to learn from. Of the 11 enterprises, 5 are foreign-owned, including anli, infinity, perfect, pering kay, and kerti, while 6 have private-owned enterprises, namely, guangjian, centre, green rhyming, chun jia-chang, casting sources, and three, for different reasons。
1. External factors
1 impact of the slowdown in national macroeconomic growth
The overall economic environment in 2016 has been characterized by weak domestic economic growth and a lack of effective growth points. Although the country has put in place a series of stimulus measures and investment-led infrastructure and related industries will lead to slow GDP growth, the rate of growth will slow down. According to the economic blue book published by the china institute of social sciences, china's economic growth in 2016 ranged from 6. 6 per cent to 6. 8 per cent, while the new zealand bank's economic research team for the greater central china region, in a recent report, also noted that china's GDP growth is expected to slow to 6. 4 per cent in 2016 and to 6. 0 per cent in 2017. In such a general environment, the direct marketing industry is also inevitably affected, resulting in a decline in performance。
2 internet and impact of financial impact
The long-standing top-ranked top-selling businesses, such as the infinity, perfectity, central pulse and pering kay, all experienced varying degrees of decline in their performance in 2016, from 28. 3 billion last year to 27 billion this year, from 23. 5 billion in 2015 to 21. 6 billion, from 23. 5 billion to 20 billion, and from 17 billion last year to 12 billion so far。
In the view of industry experts, the main reason for the stagnation or decline in the performance of these established firms is the relative isolation of their cultural systems and the bottlenecks in their old growth mechanisms. Although some of the old proprietorships are also trying to make up for the new model with respect to the model and transformation of the internet, it will take some time for the distributors to buffer and adapt, which will allow some of the proximate dealers to choose short-term investment in the fund pool, or to transfer to micromicrobusinesses and new brand companies, to a certain extent diverting some of the direct sellers, with some impact on the operations of these proprietorships。
Internal factors
Impact of strategic planning adjustments
The short-term benefits of adjusting their own regulatory structures, product priorities, marketing strategies, etc. For greater development may be affected, but in the long run this is considered necessary. The rise in consumption in china's new economy has also become a new incentive for firms to transform and upgrade。
For example, for the second year in a row, the performance of the long-selling firm anley has been declining, and the fall in performance in 2016 has further widened, falling from 26. 8 billion in 2015 to 21. 6 billion in 2016, falling by 19. 40 per cent, continuing to rank second. In response to this result, the company was largely classified as the chinese market
Transition upgrade。
External sources believe that the main reason for the decline in the performance of the country is probably because of adjustments made to its internal strategy, such as the installation of a mobile social utility system centred on the anli network, the app of the anli digital port, the micro signals of the anli cloud service, the anli mobile studio, and the upgrading of its marketing centres throughout the country to a sub-line o2o experience centre, as well as the development of a community platform for activities based on population segmentation and lifestyle, leading to a temporary fall in the performance of the country over the past two years。
Despite this, the industry continues to appreciate the fact that the industry has not changed its fundamentals and will continue to grow in the wake of its rejuvenation, digitization and experience strategies。
2 impact of the lingering negative sentiment and brain drain
In addition to being affected by strategic planning adjustments and the impact of internet funding, there are also enterprises whose performance has been hampered by negative developments。
In addition to this, the brain drain from sales is one of the main causes of the slowdown in direct enterprise performance: “in the age of popular entrepreneurship, many convenient entrepreneurial opportunities and spaces have been provided, which has led to the transfer of many good direct sellers.” one of the top sales leaders has spoken out。
Conclusion: in 2017, the direct marketing sector will still enjoy better momentum
Despite the slowdown in the direct sales sector, 2016 was a year of change and breakthrough. In addition to the inclusion of domestic appliances in the direct sales catalogue, which expanded the category of direct sales to category 6, the first time that issues such as multi-level gratuity and how to define distribution had been discussed in the general assembly had attracted the attention of the entire direct sales industry, and the concept of “cross-border direct sales” had been introduced for the first time by the ministry of commerce, which had provided new directions for some local direct sales enterprises. With the integration of mobile socialization and direct marketing patterns, legislation such as the direct marketing regulations and the prohibition of marketing regulations will continue to improve, and the direct marketing industry will become a powerful force in china. A number of industry experts expect a better momentum to emerge from the optimized direct marketing industry in 2017。
