The area of the store is slightly larger than that of ordinary convenience stores. In addition to the display of basic convenience stores, the store also divides into baking area, fresh fruit and vegetable area, personal care, flowers and simple meal service, etc. This is a new retail brand “Yike” jointly invested by Ali and Bailian. < p > < p > < p > “Yike” has been low-key for a period of time. It has been studying the business model and positioning, rarely showing it in front of the public. According to the public information, the registered capital of “Shanghai yikexin retail network technology Co., Ltd.” is 1 billion yuan. Shanghai Commercial Investment Holding Co., Ltd., which is controlled by Bailian Group, holds 57% of the shares, and Alibaba Venture Capital Management Co., Ltd. holds 43% of the shares. The division of labor between the two is: Yike convenient store operation is led by Bailian team, and the background system is developed by Ali, such as taoxianda’s checkout system. According to the survey data of China Chain Store Association, the development of convenience stores in most cities has maintained a rapid development speed. Among them, the growth rate of convenience stores in Xi’an has reached 24.6%, which is the fastest growing among all cities, followed by Beijing and Xiamen. However, the development of convenience stores in Dalian, Lanzhou and Harbin has declined. From the perspective of the whole country, due to the continuous high rent and labor costs in the first tier cities, the operating pressure of convenience stores is unprecedented. With the continuous improvement of consumption level in the second and third tier cities, there is a large development space for the convenience store market, but the market development potential varies greatly due to different regions. < / P > < p > in the context of such a huge competitive pressure, I had some doubts when I first knew that Ali and Bailian were going to jointly build a convenience store. After all, the major brands in the convenience store market competed with each other, and the site selection alone has already filled with gunpowder. What’s more, the market pattern has been formed, and it is not easy for the latecomers to occupy. According to the layout of the “Yike” site, the author believes that “Yike” is not so much a convenience store as a combination of convenience store, bakery, fresh supermarket, jianyumei shop, flower shop and Jian restaurant. It can also be seen that Alibaba and Bailian’s Yike new retail team hope to make differences. In my opinion, “Yike” has several commercial logic. First, “Yike” stores are located in business districts or office buildings. For young customer groups, such customer groups have strong consumption power and high requirements for goods and convenience. Therefore, there are many medium and high-end care products and imported goods in “Yike” stores; second, the “Yike” stores which integrate bakery, fresh supermarket, jianyumei shop, flower shop and simple restaurant are quite similar It covers the daily consumption scenes of young white-collar workers, including breakfast, lunch, afternoon tea, fruit and daily necessities, cosmetics and health products, dinner, etc. “Yike” even comes to Rio Tinto’s breakfast market through “yixiaotu” breakfast stores and mobile breakfast trucks. Thirdly, the full coverage of consumption scenarios also makes the customer unit price and consumption frequency of “Yike” higher than that of ordinary convenience stores Its profit margin will also be higher. < / P > < p > nowadays, the cost of online customer acquisition is getting higher and higher. For e-commerce like Ali, creating more offline consumption scenarios is equivalent to obtaining passenger flow, and then diverting physical store passenger flow to online through o2o mode, and increasing customer stickiness through member management and other means. Under the background of huge consumption structure and consumption pattern, consumption pattern is changing. For Bailian, physical retailers need to inject new retail elements, and combine with technical means to carry out digital management, so as to achieve “online and offline inventory”. Therefore, “Yike” is also getting more customer portraits through small programs and other ways. After mastering big data, it will help store location, commodity adjustment, price, supply chain management, etc., and can carry out marketing more accurately. < / P > < p > according to the plan, “Yike” will expand to 150-200 stores by the end of this year, including 40 “yixiaotu” breakfast stores, including 20 “online booking counter” mode and 20 “yixiaotu” mobile breakfast cars. < / P > < p > the author believes that the full coverage scene consumption mode and digital operation of “Yike” have its advantages and can indeed attract young customers, but there are also challenges in this type of business. First, catering, especially the on-site production of meals, needs to meet many conditions and obtain relevant certificates, which will bring the threshold and difficulty to store expansion. Second, the loss rate of fresh food, flowers and other goods is relatively high, which also increases the cost risk for stores. Third, the turnover rate of daily chemicals and health care products is not high although the customer unit price is high. Therefore, enterprises need to consider inventory management. Fourth, this type of business covering the lifestyle of white-collar customers is suitable for opening in the office area, but the business in the office area stores will be relatively cold on weekends, so how to make up for the turnover on weekends is also a problem. < / P > < p > in addition, chain stores must be large-scale in order to have follow-up effects. Compared with convenience store peers like the whole family, which often has thousands of stores, the scale is still very small. Although according to the registered capital situation, there are 1 billion yuan of economic expenses behind “Yike”, but the funds will be “burned” one day, and the key is the need for “Yike” Self blood production and sustainable development.