Change medicine consumption habits or test

In 2015, the number of Internet users in China was around 7.8 billion. Through this huge number, it can be imagined that the potential number of potential customers of pharmaceutical e-commerce will develop into a bright future.

The industry generally believes that the O2O model for drugs will have great potential in the future, but there is currently no successful model for O2O drugs. In April 2014, Kyushu Pass opened the "pharmaceutical emergency delivery" business. Currently, the operation status is not satisfactory. After the order is placed, no one is interested in the order and the refusal to issue a single order occurs. Golden Elephant's 1-hour drug delivery is now suspended. Its page is displayed as a system upgrade. Although the domestic pharmaceutical O2O also has better-operated companies like Qilecom, Baekje, Shengsheng.com, Jianke.com, pharmacy.com, Jinxiang.com, and Neptunus.com, this does not represent the status of the entire pharmaceutical retail O2O market. More pharmaceutical retail companies and “electric shock” companies or pharmacies do not enjoy the benefits of the O2O feast.

No traffic means no traffic and no orders. No orders means nothing. Having huge flow is one of the prerequisites and an advantage. In the absence of traffic advantages, focusing on professional services and providing more quality and cheaper medicines have become another direction of competition.

Renhe Pharmaceuticals adopts the vertical integration of the industry chain, but it is not the originator, nor is it a distant leader. The medical e-commerce is not a virgin land. When all enterprises have reduced their focus and sang the songs of the Internet as the king and the finals, and embarked on the road of deep distribution, the advantages of vertical integration may be lost. Next, it is price reduction promotion, which becomes a cash flow-dependent company in the process of releasing production capacity and digesting inventory.

The competition in the industry is dictated by the market, but the obstacles do not stop there. The current reality of many pharmaceutical retailers and pharmacies that favors O2O is as follows: As an important application of the Internet economy, the post 80s is not the mainstream of medical consumption. The mainstream group of medical consumption is “after 60′′ and “after 50′′. In terms of spending habits, it is still dominated by traditional medicine. The two major factors of consumer groups and consumption habits have become two major bottlenecks restricting the development of e-commerce in the pharmaceutical distribution industry.

The Chinese people have the habit of “seeking a doctor and picking up medicine”. The medication habit is first based on the professional judgment of the disease, and the judgment of the disease is often based on the views of medical institutions and doctors, so the hospital is more important for the patient.

Moreover, the long-established “hospital-centered” pharmaceutical industry chain structure is difficult to break through under the current system. At present, it is difficult to find a similar medical market model similar to that of mainland China from the international market, and it is difficult to find consumer groups with similar characteristics. If the medical drug model is not fundamentally changed, the application and promotion of the Internet business model in the pharmaceutical industry will be very slow. The current logistics distribution system, procurement sales model, and terminal implementation methods will not be fundamentally changed.