What signal does the 2015 Internet Conference bring to the appliance industry?

The leaders of the Ministry of Industry and Information Technology (MIIT) stated at the meeting that the integration of the Internet and industrialization will focus on the implementation of smart manufacturing special operations to promote the development of networked and intelligent manufacturing. While the concept of “Industry 4.0” has become popular around the world, China’s home appliance manufacturing is also looking for a development path for transformation, upgrading and reshaping its competitive advantages.

In recent years, in the global home appliance pattern, “Made in China” has become the protagonist on the stage, and its influence and competitiveness are increasing day by day. However, under the predicament of a weak global market and rising manufacturing costs, China’s “big home appliance country” has not been transformed into a “household for home appliances” in a short period of time. And under the impact of the Internet tide, the traditional business model of home appliance manufacturing for decades has not kept pace with the times.

With the concept of “Internet Plus” proposed, new information technologies such as cloud computing, Internet of things, and big data are continuously integrated with modern manufacturing, and are expected to become an important driving force for a new round of economic and social transformation, business disruption, and restructuring of business value. . In response to the new manufacturing development model, the State Council released China Manufacturing 2025 on May 19, proposing a "three-step approach" to achieve the strategic goal of creating a powerful nation, indicating the direction of development for Chinese manufacturing, including the home appliance manufacturing industry.

Just on July 21, the Ministry of Industry and Information Technology announced the list of 2015 demonstration projects for smart manufacturing pilots. Three companies, Haier, Skyworth and Changhong, are on the list. This is in addition to Haier's home appliance smart manufacturing pilot demonstration, the other two are pilot demonstrations of color TV smart manufacturing. It can be seen that prophets such as Haier and Skyworth have begun to use the "Internet +" array of "East Wind" to embark on the road to transformation and upgrading. "Internet +" is using the Internet to transform the home appliance industry system, making it a new type of high-productivity, high-value-added industries.

Raises the speed of the network to help ultra-high definition televisions

At the meeting, Miao Miao, Minister of Industry and Information Technology, said that the Ministry of Industry and Information Technology, as the management department of the Internet industry, will accelerate the construction of high-speed broadband networks and continue to accelerate the speed of the network. This is a good news for TV (parametric picture article) manufacturers, because in the trend of intelligent and ultra-high definition resolution, speed has become one of the main reasons for the development and popularity of ultra high-definition television.

Nowadays, the increase of production technology makes the price of ultra high-definition TVs go down year by year, and the price is no longer out of reach. However, the lack of 4K content has caused consumers to greatly reduce their enthusiasm for purchasing ultra high-definition televisions. At present, most of the 4K content is provided by suppliers online, but the average speed of China at this stage is not enough to support smooth video playback. This also makes video providers insufficiently motivated content providers. Therefore, the slow Internet speed has severely restricted content. The development of suppliers has eventually led to television products being trapped in the “empty, but useless” dilemma.

It is reported that TV broadcast online 720P high-definition programs, at least need about 10M of bandwidth, while playing 1080P Full HD film source speed will reach 20M-30M, if smooth playback of 4K film source is at least 100M speed, but at present domestic The bandwidth of the home network is mostly between 10M-20M, and the video playing 1080P is just barely coping.

However, if it can really increase the speed of the Internet in a short period of time, as mentioned at the conference, content providers will naturally spare no effort to increase online content - profitable and not for what? Ultra-high-definition television in a few The realization of popularity in the year is not a luxury.

Internet + Helps Home Appliances Retailers "Fly Together"

As a representative of home appliance retailers, Zhang Jindong, chairman of Suning Cloud Business, also gave a keynote speech at the conference. Zhang Jindong said that the O2O model has become a recognized trend. Premier Li Keqiang proposed in this year’s “Two Conferences” government report that it is necessary to allow online and offline interactions, and consumer spending is booming. It also increases the confidence of Suning’s O2O transformation. He also proposed a new idea for the entity O2O "first + Internet" and then "Internet +".

Just last year, Zhang Jindong said in his report to Premier Li Keqiang that he was "very hard". Since 2015, Suning has done three things on the Internet + - + channels, + commodities, + services, not only online. The sales achieved a huge breakthrough, and the offline stores have also enhanced their competitiveness by adapting to the development of the situation, thereby realizing “online, offline, and on both sides”.

Not only is Suning, another traditional home appliances retailer GOME is also undergoing a drastic transformation under the new business model of “Internet+Retail”. It has fully upgraded its omni-channel strategy to a “whole-retail strategy” and paid more attention to the use of Internet technology. Efforts to develop e-commerce and mobile micro-stores have created greater value.

It can be said that the influence of “Internet +” on home appliance retailers is huge and far-reaching. The success of Suning and Gome is also a good reference for other businesses.