More than 100 steel e-commerce companies compete for the 100 billion market from prairie fire to reshuffle
more than 100 steel e-commerce companies compete for the 100 billion market from prairie fire to reshuffle
China Construction machinery information
Premier Li Keqiang visited Zhongguancun Chuangye Street on May 7. A few hours later, the "opinions of the State Council on vigorously developing e-commerce and accelerating the cultivation of new economic drivers" (hereinafter referred to as the "opinions") was released, saying that we should promote the development of e-commerce and accelerate the cultivation of new economic drivers. Stimulated by this positive news and the return of 2trillion new funds, the Shanghai stock index opened higher and rose nearly 2% on the 8th. Among them, six e-commerce stocks rose by the limit, and the Internet sector also rose by 6% as a whole, leading the rebound in the inspection and analysis of metal materials widely used in building materials, aerospace, machinery manufacturing and other industries
the introduction of this opinion will not only stimulate the upsurge of Internet enterprises to list in China, but also be of great significance to the domestic steel industry with serious surplus. Industry insiders predict that with the development of e-commerce this year, steel e-commerce will further develop and expand. In 2015, the trading volume of steel e-commerce across the country will exceed 50million tons, and the annual trading volume is expected to exceed 100billion
steel enterprises seize the layout of tuyere e-commerce
"demand decline, price decline, environmental protection pressure, overall loss". According to the report recently released by China Steel Association, in the first quarter of this year, domestic large and medium-sized iron and steel enterprises achieved a sales revenue of 762.918 billion yuan, a year-on-year decrease of 14.48%; The total profit realized was a loss of 987 million yuan, a year-on-year decrease of 7.046 billion yuan, but the main business loss was 11.053 billion yuan, an increase of 3.433 billion yuan
when Haixin iron and steel and Chuanwei iron and steel entered the bankruptcy and reorganization process one after another, the whole industry was faced with heavy debt pressure and had to limit production or even stop production and lay off staff, but the capital market favored steel e-commerce, and large steel enterprises and institutions increased their layout
as the first steel enterprise to "touch", Baosteel Group has launched two e-commerce platforms since 2010. In 2014, Baosteel's online sales of 4.51 million tons of e-commerce platform with high efficiency, with an operating revenue of 15.1 billion yuan, an increase of 3.3 times year-on-year
on February 3 this year, Baosteel Group announced to jointly invest 2billion yuan in overweight e-commerce with Baosteel shares, holding 49% and 51% respectively, to establish European metallurgical cloud business, trying to build an ecological service platform for the whole industry and the whole industry chain, with five sub platforms built-in e-commerce, logistics, finance, data and materialsDai Zhihao, general manager of Baosteel, said recently that Baosteel will focus on steel e-commerce this year, with a transaction target of 10million tons, reaching a new level
Hebei Iron and Steel Group, another giant, is also making efforts to seize the e-commerce outlet. As of March this year, the online trading of e-commerce platform of Hegang group has exceeded 10.418 million tons
contrary to the downturn in the steel market, steel e-commerce is blooming everywhere. By the end of 2014, there were more than 580 e-commerce platforms for bulk commodities in China, of which at least 178 were involved in steel trade that was less than the world average of 50:50, accounting for 30%
wangzhaohua, a senior researcher on steel e-commerce, said that compared with the past "stupid and black" steel industry, steel e-commerce has distinct interconnection advantages, which can not only help steel mills and steel traders improve transaction efficiency and increase sales channels, but also make every transaction transparent and risk controllable
"in the past, when dealing with single steel, the links were complex and inefficient, and there were still huge risks in many steel trading pallets. Now the steel e-commerce platform can deal efficiently and transparently, the transaction data can also obtain the credit confidence of banks, and can also solve financing problems in combination with Internet finance."
the steel e-commerce information, comments and data explanation frequently released by Wang Zhaohua on his personal official account, the e-commerce model, and relying on the e-commerce finance, have made many steel mills and steel traders believe that e-commerce can become an important business model after the transformation and upgrading of the steel industry
according to the data provided by him, up to now, the coverage of e-commerce mode has reached 30% among steel enterprises and steel traders in East China. Taking advantage of this year's e-commerce, the online trading volume of national steel e-commerce is expected to exceed 50million tons. If calculated at the average price of 2500 yuan/ton of steel, the online steel trading volume of national steel e-commerce will exceed 100billion in 2015, reaching 125billion. It is expected that in the next three to five years, the national online trading volume will reach 300 million tons (the total output of crude steel in 2014 was 823 million tons)
reshuffle under immature profit model
Li Xinchuang, President of China Metallurgical planning and Research Institute, called 2014 "the first year of e-commerce development in China's steel industry". He said that at present, steel e-commerce has developed from a single spark to a prairie fire, and is in the stage of transformation from quantitative change to qualitative change
analysts previously said, "excess steel capacity is still an indisputable reality. For steel enterprises and traders, e-commerce can only help improve transaction efficiency, but it can not fundamentally solve the problem of excess."
up to now, most steel e-commerce platforms are still in the "money burning" stage, with bright prospects and realistic bones. Similar to many Internet enterprises in the entrepreneurial period, steel e-commerce also lacks a mature and reproducible profit model
take Shanghai Steel Union, which is listed on the gem, as an example. Its share price has risen by more than 70% since this year. Recently, stimulated by the favorable "e-commerce" policy, it has risen by the limit continuously. Its financial report shows that the first quarter revenue of Shanghai Steel Union this year was 3.288 billion yuan, an increase of 807% year-on-year, but the net profit was a loss of 12.98 million yuan, mainly due to increased investment in its subsidiary steel bank e-commerce
steel e-commerce, which has not yet been listed, has always relied on the support of venture capital institutions. The urgent problem for every steel e-commerce platform is how to win the homogeneous competition with more than 100 other platforms before the "Internet +" and "e-commerce" are over? A senior steel e-commerce official pointed out: "the integration of China's steel industry is the general trend. If there are only a dozen or even fiveorsix steel mills left in the future, how many steel e-commerce companies can there be left?"
Wang Zhaohua believes that there are two ways for steel e-commerce to make money in the future: one is to improve the efficiency of the entire industry, such as making steel sell faster, from the traditional 30 days to 10 to 20 days, in which the newly generated profits can be shared by the platform. The second is to identify bank credit risks transparently through the transaction big data accumulated by e-commerce, so as to reduce financing costs
on April 24, Chen Derong, chairman of Baosteel, said publicly for the first time at the 2014 annual general meeting of shareholders and Analyst performance briefing that the current domestic steel production capacity is seriously surplus, the form of meager profits will continue, and the traditional trade credit system is facing collapse, which has brought opportunities for the reform of the business model of the steel industry and the reconstruction of the steel trade system. However, steel e-commerce is currently in the "spring and autumn and Warring States" stage, and the future is bound to usher in integration and reshuffle
an industry person who declined to be named believed that the overall market capacity of steel e-commerce was limited, "of these more than 100 platforms, perhaps only one industry giant could become a winner in the end"
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