Sina Technologies News, January 11 morning news, Alibaba One Business Conference held today in Hangzhou, Alibaba Group CEO Zhang Yong said at the conference, to build new retail must build a comprehensive digital business capability. In the next 10 years, how to apply the data obtained by consumers to the supply side is the top priority of the supply side reform.
Zhang Yong said at the meeting that Alibaba and many enterprises have seen one thing together, and we are jointly entering the digital economy era. There are many things in common that need to be integrated. Because of the common ecological vision of digital economy, a business ecosystem must be formed.
Zhang Yong said that 20 years ago, Alibaba was founded, moving from B2B platform to global, then to Taobao Tianmao e-commerce platform, which everyone knows well, and then to the financial, logistics and cloud computing infrastructure, has developed into a broad business system.
Zhang Yong said that for a long time in the past, Alibaba's perspective has been consumer-centered, through better technology and tools, so that businesses can better serve consumers, and then the needs of consumers and businesses aligned. Among them, the exploration of logistics and payment has become a part of the integration of many businesses into the digital world.
Zhang Yong said that the Internet is no longer the world of e-commerce 10 years ago. Ten years ago, e-commerce opened up a new way to reach consumers. Today, this new way is heading for a broader range of business elements to be fully covered. Ali hopes to provide its own services, can help enterprises to provide the whole field of process services.
Zhang Yong said that how to achieve new retail is not a retail level issue. To build a new retail business, we must build a comprehensive digital business capability. He introduced that this business operating system needs to help enterprises realize online and digital business elements, including brand, commodity, sales, marketing, channel, manufacturing, service, finance, logistics supply chain, organization and information management system, and carry out comprehensive reform so that these elements can be purchased online first, and then fully digitized. Through the data, we can realize the insight of consumers and markets, and the insight of people's cargo market.
Zhang Yong believes that the power of these elements ultimately depends on technology and computing power. Alibaba hopes to work with customers to explore an operating system that runs through the entire business chain.
He said that for all enterprises to move towards digital operation, they need a digital enterprise brain to help them understand every behavior of consumers, every behavior of terminals, data of goods, and real-time performance of upstream suppliers. Only in this way can supply and demand be linked together.
Zhang Yong believes that Internet applications have occurred on the consumer side in the past 10 years. In the next 10 years, how to apply the data obtained by consumers to the supply side is the top priority of the supply side reform. In this process, from e-commerce to new retail, from new retail to business operation system supported by big data, is the main issue that Ali will discuss in the future, which is also the basis of realizing new manufacturing, new energy and new logistics. Quick understanding of market changes and reflecting them in all aspects is a common problem for all.
He said that all people should reconstruct their business methods and business philosophy with the idea of the Internet. The combination of new technology and Commerce will be faster and faster, and a business push based on data and technology as engines is needed. Only when we embrace the Internet and integrate it in an all-round way can we have a common future. (Zhou Feng)
The following is the full text of Zhang Yong's speech:
First, we are on a common planet, We Are In The One World.
At this conference, we would like to share with you that after 20 years of efforts, we have heard a lot about Alibaba, news and business progress from the earliest known Alibaba, an e-commerce company.
Last night, I told many CEO friends that when you received the invitation, you might think of Alibaba, especially today's brand new retail conference. At this conference, you think of the business of several parts of Alibaba that you are most familiar with, Taobao and Tianmao. Most of the businessmen here are Tianmao businessmen.
Today, we are here to attend this conference. What does Ali want to present? I'm here to begin with. In particular, we want you to see a familiar and unfamiliar Alibaba today. Taobao and Tianmao are familiar with each other. Today, Taobao and Tianmao are going to retail with our customers through their efforts in the past few years.
But on top of the new retail, we see a wider world, which is a brand new world brought about by the digital economy era and a brand new way of operation and work that all our enterprises require. This is what we hope to bring to you today.
This year is a very special year. This year is 2019. 20 years ago, Alibaba Group was founded. From the earliest time we helped small and medium-sized enterprises in China to go global through our B2B platform, to find business opportunities in the global market, to the well-known e-commerce platforms such as Taobao and Tianmao, as well as the gold we have built since then. Infrastructure such as finance, logistics and cloud computing.
After 20 years of development, we have formed the largest consumer platform in the world. Today, in Taobao and Tianmao platforms, we have more than 600 million active purchasing users every year. All of these 600 million users are purchasers. Of course, they buy more than once. Many of our heavy users spend hundreds of thousands or millions of dollars on Taobao Tianmao every year. These users are in close contact with our platform, from the earliest familiar physical goods, to today, after our efforts in recent years, from the original Taobao, Tianmao to the physical goods-based consumer areas, in the two wings, towards a broader world.
What is the world? It is a variety of consumer content that all consumers need, including not only physical goods, but also digital goods, cultural and entertainment products, as well as all kinds of local life services that everybody uses every day.
Today, after 20 years of development in Ali, 20 years ago, we stopped to see the commercial world we built. We covered all kinds of physical commodities that 600 million consumers needed, and went to entertainment products such as entertainment, Youku, UC, micro-blog and many partners. The matrix of local life services, the three major sectors we call Ali consumption matrix.
For a long time in the past 20 years, Ali's perspective has been consumer-centered, we have been looking at what consumers need, but Ali's most important means to achieve consumer aspirations, it can be said that the only way is to supply what consumers need, behind the businessmen can continuously invite to our platform, to provide you with the ability to provide workers. Yes, so that we can better serve consumers.
In the past 20 years, the ability of payment, logistics and cloud computing, which has been unanimously recognized by the industry, has become a part of the business capability that many enterprises need today to move towards the digital economy.
In this process, we can see that because of the combination of the real world and the business world, and the digital world, more and more enterprises can find that the Internet shows to us all. It is no longer the starting point for many of the enterprises we were here ten years ago to contact Ali and start cooperation, that is, a business world. In that world, we saw together at that time that the e-commerce world opened up a new way to reach consumers, it is a new sales channel, which is the origin of cooperation between Ali and many partners present.
But 10 years later, by 2019, we will see such a new way moving towards a broader field, covering all the business elements. Today, the business elements of all enterprises may be in the digital economy era. Through the efforts of enterprises themselves, of course, Ali hopes that providing our services among them will help you move towards the whole field and process. All-round digital management of enterprises.
After three years, we have seen how to achieve new retail, not only at the retail level, but also at the retail level. New retail has opened a window for us. Perhaps after the new retail we proposed three years ago has received a great resonance from all of us, we have been trying for three years to help our customers move towards new retail.
We find that in order to achieve new retailing, we must build up a comprehensive digital business capability, which has been deposited by Alibaba Group after ten years'development. We hope that these business capabilities can be combined to form a comprehensive digital business system, which can support and help our businesses to move towards new retailing in an all-round way.
These business elements are a three-dimensional perspective that all of our enterprises can see from the perspective of consumers. Our business operating system hopes to help all enterprises realize online and digital business elements.
Among these 11 business elements, every consumer goods enterprise is operating around these business elements every day. Brand is the foundation of all our enterprises. Whether we are consumer goods brand or retail brand, all enterprises hope to build a brand that is loved by generations of consumers.
Of course, where does the brand user experience come from? For all consumer goods enterprises, the brand user experience comes from the goods behind, from the services closely related to the goods, from how we can make the brand and the goods reach our consumers through marketing behavior, and through our channels. This is what we see every day in the operation of the enterprise, all partners face together.
Of course, as an enterprise's operation and operation, we need capital, logistics supply chain cooperation, need to be able to keep up with consumer demand at the manufacturing end, we need to build a new organization to match all the changes just made. To accomplish all these things, we must go to a new stage in the construction of information system. So we put forward brand, commodity, sales, marketing, channel management, service, capital, logistics supply chain, manufacturing, organization and information management system. We believe that this is the digital operation in the digital economy era. All enterprises must face these problems together. The operation mode of business elements is comprehensively reformed, so that the operation of these business elements can be online first, and then be digitized in an all-round way.
Because of online and digital, we can get value from this data, find market insights, find the reconstruction of new retail stores based on big data, and insight into people, goods and places that we proposed three years ago.
In this process, we may be in the daily cooperation with ALI, especially for sales, marketing, channel management, here many fast consumer customers have been working with ALI retail business, for our customer service, for Alipay finance, for logistics have knowledge.
Today, because of the time relationship here, Jingjie will introduce consumer demand to supply and marketing later. Many of our thoughts, besides what we do, we especially share in the digital transformation and upgrading. The other two are very important. They may also be Alibaba, which has been cooperating with Alibaba for a long time. BA.
The first aspect is how to upgrade our organization, organize digital operations, and reform our working methods. In recent years, Ali has been vigorously promoting such a broad space based on nails to help enterprises complete the transformation of digital work collaborative mode.
Second, we hope to digitalize and online these business elements mentioned just now. In order to exert our power, we must ultimately rely on technology and ultimately on computational power. After ten years of construction, Aliyun has formed such a capability. We are eager to explore with all customers how to reconstruct such capability with the whole business elements of customers, connect all business systems, technical systems and organizational systems. These systems can be reconstructed. This is Ali's hope to form a brand new one. Can't touch, can't see, but can run through all enterprises in all aspects of the operation of an operating system.
Today, many of our cities are building smart cities. Ali goes to many cities and sees the emergence of urban brains in this city. Today, for all our enterprises, to move towards digital operation, we need a fully digital enterprise brain. This enterprise brain can understand every consumer's behavior in the market in real time, the behavior of every retail terminal, the performance of every commodity at every moment, as well as our upstream suppliers and raw materials. Only in this way can we connect the supply and demand sides.
In this process, what we all see is that all enterprises are beginning to realize this problem and start to take great strides to solve it. Of course, we are still on the road today. The vast majority of our applications of the Internet and digital technology in the past decade have occurred in the sales side, in the marketing side, in the consumer side. How can we better promote the supply-side reform with the data from consumers? This is the most important task for us to really complete the supply-side reform in the digital economy era.
In this process, we can see that from e-commerce to new retail, and build a business operating system supported by big data with you. It is also the common basis for Alibaba to move towards the future. It is also the common basis for us to move towards the future, to realize new retail, to realize new manufacturing, to realize new finance and to realize new energy.
Everyone knows that the consumers we face are changing and the market we face is changing. How can we understand the changes in the market in real time and quickly reflect them in all aspects of our product design, channel policy, organization and management, production and operation? This is a common problem for all of us.
Today, because of the Internet, we can really move from a tree-like business management, process optimization business management mode to the Internet network management mode and intelligent, big data support decision-making mode. This is the ability that Alibaba hopes to build with you today. It is also Alibaba's mission to practice business that is not difficult for the world in the new era. We endow Alibaba with new responsibilities and hope.
The world is changing very fast. In the past ten or twenty years, there have been many ups and downs, many technologies and many applications. But I can say that the world will change faster in the future. New technologies will emerge, new technologies will rise, new technologies and business integration will become faster and closer. Today, all enterprises need an engine to do a good job in commodities, products, brands and services for consumers. We can really turn the end-to-end data generated by all enterprises from the upstream source to the downstream consumers into oil. This is our technical ability and data ability. We can compare data ability to oil and computing ability to engine only. Only in this way can we have a perfect union.
At the end of the new year, I would like to take this opportunity to thank all the employees of Alibaba Group for their support and help to Alibaba. Without you, there would be no Alibaba, no platform for us today, and there would be no idea of the business system we put forward today. We will work together to make the world more beautiful. Well, make the future better and build this digital economy better. Thank you.