How New Retail Emerge and Reform

by TeamKanyin

The pandemic has drastically change the world, hence the new norm speed up the new retail and new manufacturing concept.

The emerge of Taobao by Alibaba Group forms a new retail and new manufacturing concept.

“Via the Internet, businesses can see the potential needs of customers by studying consumer behaviour data, and then design, market, sell and serve in order to satisfy customers,” Daniel Zhang, the CEO of Alibaba Group explained when he attended the 2017 Consumer Goods Forum Global Summit, “We are moving from satisfying needs to creating needs.”

Zhang shared that new retail is a business strategy based on this key question: What value can we provide people when they are online or when they go to the store?

“The key thing when we look at offline retail is that we need to create new value for customers, to give them the experience, the service that maybe we cannot achieve on the Internet,” he said.

Manufacturing and retail are sector tied closely to each other. Following closely after new retail is what Ma coined, “New Manufacturing”.

In the past 20 years, everything has been about size and standardisation. But the current Data Technology era is moving from standardisation to customisation.

This is what the next big trend is all about. According to Ma, new manufacturing will greatly impact traditional manufacturers in the next 10-15 years and manufacturing companies that fail to adopt automation and cloud technology will be left behind.

Ma envisioned manufacturers going beyond mass manufacturing to manufacturing-on-demand. The industry will no longer follow the “make-first-sell-later” model, but go the other way around – “sell first, make later”.

As the manufacturing industry shifts from the old to the new, the lines between different industries will be increasingly blurred; manufacturing, technology and service sectors will become more interconnected. This means that the current manufacturer-oriented industry will transition to a new era led by customers, where small- and medium-sized enterprises can benefit the most.

With the change from B2C to C2B (consumer-to-business) manufacturing process, small businesses can tap on the Internet and big data to obtain and analyse customer data, draw market insights and adapt the manufacturing process accordingly. This may even inspire new product design.

“The C2B supply chain and personalised manufacturing is the future. In the ‘Made in Internet’ era, you can design your products in the U.S., manufacture in Germany, assemble in China and sell them worldwide,” Ma added.

Ma believes “Made in Internet” will have a dramatic impact on the logistics and financing practices of small manufacturing businesses in the coming years, and urged companies to leverage the Internet and big data in order to adapt to this emerging trend. These changes will also alter the consumer supplier relationship.

If you are a business owner and still refuse to adapt the tech savvy trend, you may be eliminated very soon.

The Future Is Small: The Future Of Business :
https://kanyinbooks.com/collections/english-book/products/the-future-is-small-the-future-of-business-phoebewong-malaysia

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