On the afternoon of May 29, the press conference of 2018 Rich Connect & Aorui Strategic Cooperation was held in Shangri-La Hotel, Guangzhou. The theme of the conference was “Building a New Way for Family Smart Entertainment”. Fulian.com will cooperate with Orion in early education. As an entry point, we will combine the Foxconn 'Raster Strategy Matrix' with Orui’s IP resources to deploy the early education market and create a model of intelligent IOT home intelligence for children. Fulink is a member of the Foxconn family and is responsible for the transformation of the Group. Connect the terminal consumer's development responsibility. Sharp is an important member of the rich network AIOT platform, Sharp TV and Ao Rui Ledi intelligent companion robots, will be the beginning of this strategic cooperation. After the meeting, the chief marketing officer of Foxconn Technology Group Yuan Xuezhi, interviewed by Wu Jiajuan, Director of Fulian Network's Strategic Operation Department.
Coinciding with the Foxconn Technology Group's 30th anniversary investment in the mainland and Foxconn IPO, the moderator said that Foxconn is seeking an overall transformation, from OEM to industrial Internet platform, from ToB's manufacturing industry to ToC's transformation. In this regard, Foxconn The image of Yuan Xuezhi, Chief Marketing Officer of Science and Technology Group, stated that 'we need to stand up and become lying down'.
Regarding the concept of the 30th anniversary transition, Mr. Yuan Xuezhi said, 'For Foxconn, it is 'We need to stand up and lie down' - meaning that we must start to transform ourselves from a manufacturing industry chain into a horizontal platform. , For more people, such as our Industrial Internet, the service is targeted at all domestic manufacturing industries. Using the data owned by Foxconn, technology and some of our patents, we support the transformation of industries that may be relatively small and medium-sized. Is part of the Industrial Internet. '
Regarding the role of the rich network in the transformation of the group, Yuan Zong said that 'Fu Lien Network is the business of this part of our home Internet. This is also the 'lying down' thing. Let Rich Connect become a platform, not only Sharp on this platform. Home appliances, and we are about to launch a lot of new products, the core of course is still the family IoT ecology, we will add our own services, content, manufacturing these different sections to achieve C2C (Component To Consumer), that is, from our components to the final end consumer, our entire chain will take care of it, which is a mission entrusted by Rich Connect.'
In response, Ms. Wu Jiajuan, Director of Strategic Operation Department of Fulian Network, added that Fulink is a very important member of Foxconn Technology Group. The main responsibility is to undertake the transformation of E-trade of our company. Fulianwang The 3C Monopoly Platform or an e-commerce company will follow the opening of our entire chain and will gradually become the eco-platform for the entire industry chain of smart homes. It is the smart home technology and technology service company that is being marketed today. The development of strategic partners, etc., all have certain significance. Follow-up I believe that in the entire Internet brand will see more in either a strong IP or brand owners will also slowly join our family, please wait and see. '
'We have seen a lot of adjustments in the hardware manufacturing industry over the past few years, but consumer demand has been constantly upgraded. This upgrade is not just an upgrade of hardware, it also includes a soft upgrade. Now many people are saying stories, such as Afterwards, the refrigerator will help you to buy vegetables. Afterwards, the washing machine will help you to pick clothes. Afterwards, the TV sets will contain content. These things we think are all feasible. We can do it in different products, but our problem is that the types of consumers are strange. There are various types of family combinations. How can we meet the needs of different families, different types, and different lifestyles in a large ecosystem? This includes our services from manufacturing, functions, and finally access. All will be bundled, this is Foxconn's attempt to do a brand transformation a big move. I hope everyone will also pay more attention to the rich network through this conference.
Lastly, Ms. Wu Jiajuan used the TVC introduced by the beginning of the conference to end the topic. Ms. Wu said that there are two very important words in the movie called “Connect”. Whether it is Foxconn, Richnet or Sharp’s follow-up technologies. The product, or the current hot AI field, is mainly connected with the emotional connection between consumers. Based on this, Fulian.com not only bears the E-trade transition of the group, but also connects the consumer products of the terminal, including the consumer. And so on, Ms. Wu Jiajuan told reporters at the scene that 'Furennet is a people-oriented, user-centric, product-based design of the entire smart home industry chain.'
The following is the details of the interview:
Moderator: This year is the 30th anniversary of Foxconn, and we will have an overall transformation. The transformation in the ToC field requires the rich network to do some specific work.
Q: What is the difference between the 30th anniversary of this adjustment and the original business structure?
Yuan Xuezhi: I would like to talk about the concept of the 30th anniversary transition. For Foxconn, it is called 'We need to stand up and lie down' - meaning that we must start to transform ourselves from the manufacturing industry chain into a horizontal one. Platforms, to serve more people, such as our industrial Internet, and the service target is all domestic manufacturing industries. Using the data owned by Foxconn, technology and some of our patents, we support the transformation of some industries that may be relatively small and medium-sized. This is part of the Industrial Internet.
The role of the rich network in the transformation is the business of this part of our home Internet. This is a matter of 'lying down' and turning Rich Connect into a platform. This platform has not only Sharp's home appliances, but also we are about to The introduction of many new products of various types, of course, the core of the family IoT ecology, later we will add their own services, content, manufacture these different sections, to achieve C2C (Component To Consumer), that is to say From our components all the way to the final end consumer, our entire chain will take care of it. This is a mission entrusted by Rich Connect.
Wu Jiajuan: RichConnect.com is a very important member of Foxconn Technology Group. The main responsibility is to undertake the transformation of our company's E-commerce. Rich Connect has in the past appeared to be a 3C monopoly platform or an e-commerce provider. The opening will gradually become an eco-platform for the entire industry chain of smart homes. This is the smart home technology service company that is being marketed on the stage today. This will have a certain significance for the development of horizontal strategic partners in the future. I believe that in the entire Internet brand will see more in either the powerful IP or the brand will slowly join our family, please wait and see.
Yuan Xuezhi: In the past few years, we have seen a lot of adjustments in the hardware manufacturing industry, but consumer demand is constantly upgrading. This upgrade is not just an upgrade of hardware, it also includes a soft upgrade. Now many people are telling stories. For example, after the refrigerator will help you to buy food, after the washing machine to help you pick clothes, then the TV inside with content, we think that these things can be achieved, we can be divided into different products can do, but our problem is the type of consumer Unusually, families come in all kinds of ways. How can we meet the needs of different families, different types, and different lifestyles in a large ecosystem? This includes our services from manufacturing, function, and finally access. All will be bundled, this is Foxconn's attempt to do brand transformation a big move. I hope everyone will also pay more attention to the rich network through this conference.
Wu Jiajuan: There are two very important words called “Connecting” for the rich network video just introduced to you. Whether it is our follow-up of some high-tech products or AI, it is mainly connected with the emotional connection between consumers. Today, the main part of Fulian.com, in addition to undertaking the restructuring of E-Commerce, is to connect end-consumer products, including consumers, etc. People-oriented, Furen.com is a people-oriented, user-centric, and product-oriented. The foundation makes the design of the entire intelligent home industry chain.
Q: After cooperating with Orion this afternoon, in the future, within the entire rich network system, I mentioned that other brands besides Sharp will join in. In addition to the cooperation between us and Orui, the future will focus on finer details. What are the differentiating scenarios needed to do some cooperation?
Yuan Xuezhi: Let me give you an example. In the past, Foxconn's layout was like a scattered pearl. Now we can find it back one by one, put it together, and we can see that it is truly complete.
I share with you a project. We cooperated with Taobao and Alibaba a few years ago. We have an Amoy Wealth project. Amoy Taobao's name is Taobao's Amoy, Foxconn's rich, and it can finally come true. It's actually A maker platform.
President Guo, they spent a lot of energy in the past and accepted many proposals from the makers. Some of the products are now successfully listed. We will also get them back. We hope to use IoT's concatenation and we will invest in the past. Small Maker products are more creative, more innovative, and they are all in the same mouth. This is just one of them.
Next, as we empower SMEs, we will tap into some of the products worthy of cooperation, or even investment, to join our big platform.
Sharp is a brand of our group, Nokia, infocus is also, these are brands that we can now master first hand, and then there will be more new brands, even some brands willing to join our platform, we will talk to it. Talk about how to access.
Our idea is this: The concept of an open platform definitely does not mean that all brands are the same system, that is, all products are of the same surname, but give everyone an interface that they can access. The more brands join, The platform will grow bigger and bigger. We have transformed from a relatively closed company in the past to an open, platformed company. This is the focus of Foxconn's biggest transformation in recent years, from standing up to lying down. Company - platformization.
Q: Can I take the liberty to ask it? Actually today in China, including doing global IoT, and the entire ecological chain may be relatively complete Xiao Mi. For Rich Connect, what will the future of these brands join? What kind of approach is purely strategic cooperation or investment like Xiaomi, or whether it is a share or a holding, or what kind of form?
Wu Jiajuan: We will use Xiaomi as the main axis in the domestic cognitive ecological chain, but Xiaomi's upstream is without a supply chain system. Fulian Network has relied on Foxconn over the past 30 years to accumulate innovations, including production and production. R & D, the entire industrial chain, we have a strong pillar to support. We want to build Rich Connect as an ecological platform for resources, capital, value, and benefit sharing. We hope to use the word "enable". Enabling all of our partners, including strategic partners, including the products of our small hatchery incubators that we have just mentioned, we hope to create a supply-sharing ecosystem through Foxconn’s network. This is our long-term vision. This is also the first time we have mentioned the concept of rich networking ecosystem empowerment.
Yuan Xuezhi: In terms of the domestic market, Xiaomi is a respectable adversary. It does do a lot of groundbreaking moves. However, in terms of the global market, the global market and the needs of different places, the ecological environment in various places is very diverse. It is empowerment or investment, or strategic cooperation. I think we will all do, but what we are thinking is a bigger issue.
Xiaomi said that all our profits must never exceed 5%. I think this is actually a matter worth discussing. If I were Burberry or LV today, I would like to enjoy some products with higher levels or higher spirits today. At the time, I would also stipulate that I have only 5% of the profits. I think that such a layout is a good market topic from Xiaomi itself. But from a realistic point of view, it may be that many brands must have more than 5% of the profits. Profits can survive. This is why we have to upgrade consumption. Why do we pursue the improvement of spiritual civilization? If today's regulations stipulate that the income of a certain painter must be as much as that of a factory worker, I think this is not true fairness. .
When we say that we are fair, we have fairness and fairness. We can see that fairness will only bring about a decline in innovation. This is how we see Xiaomi’s current strong supply chain. I think this It is not necessarily good news for some products or for some innovative products.
Our approach is not the same. Our approach is to empower Foxconn's manufacturing capabilities, that is to say what you want to do. What do you think your products need to be profitable to support your future R&D, future sustainable development and progress? , We are here to respect each other, the subjective willingness of partner companies or cooperative products to help them make better products.
In this process, reducing costs and reducing deposits, that is, controlling costs must be important. However, with Foxconn as a high-value-added, high-margin product such as Apple, we are definitely not just pursuing 5%, under such a phenomenon as consumption upgrades. , Our life is gradual. Maybe I feel happy when I am 20 years old when I buy a 200 piece. I may not think so when I was 30. I have the ability to enjoy better when I was 40 or 50 years old. In a more refined life, perhaps some products are not what I want. A complete ecology cannot just be a one-size-fits-all approach. It must give the consumer a gradual process, giving him more choices under all kinds of tempting conditions. It's the ecology we imagine. For the customers we serve, we certainly do some very cheap products. This is based on the part of OEM. We also do some very sophisticated, high-priced products. There are enough choices for consumers to make decisions for consumers.
Q: The concept of human-computer interaction has been proposed for a long time. There are also many attempts. How do you keep the market going and how do you accept it?
Yuan Xuezhi: We have an internal argument for planning this whole intelligent product. We call it 11 screen 3 network 2 cloud 1 tone, 11 screens say from the smallest watch, to the mobile phone, to the PC, to the commercial screen, 11 screen 3 Net 2 Cloud 1 tone, where 1 tone speaks voice interaction.
The vast majority of the voice market we are watching in China is mimicking the ecology of foreign Amazon or Google home. Its products are very similar. To be honest, some of these products are also manufactured by Foxconn, so we are Voice products, whether it is hardware or application is very familiar, but why did we only launch Aofei robot today? I think the living environment is different. Although different interaction methods are voice, but it has different application scenarios and national conditions.
For example, when the old Americans were working at work, they all turned on the sound, the radio, and all the way to the office. We saw that everyone's driving habits in China are so loud that people who listen to music are not so many. Many in the United States are The independent house is the house form of the house. Like myself, I can play music. But at home, I can’t dare to open loud sounds, wear headphones to practice, why not? Fear of arguing people. With speech sound, the speaker's exhibition, is it right? Does it really apply to China's living environment? And from the sales point of view, we revealed to everyone an interesting message: The sales volume of headphones in China is higher than the sales volume of audio. This is the living environment and national conditions I said before. The situation is decided differently.
We decided to use voice robots as the first product of our home IoT, not only because of our emphasis on this IP, but also because we want to try what is truly suitable for the people's lifestyle, not just a simple voice speaker. I feel intelligent.
Voice interaction is of course a very important new technology. All people value it. The form of its expression may have different possibilities. We did not grab the first time to compete with other brands to say what we are doing. The voice sound, in fact, is a judgment after our thinking.
Q: As mentioned earlier, the two parties mainly focused on IP cooperation, manufacturing cooperation and channel cooperation. The biggest support Foxconn can give is on manufacturing. Can we understand that for future similar cooperation, Foxconn will apply this? Set of patterns.
Yuan Xuezhi: Investment-related, centering on the entire ecosystem of Fulian. Furennet is a smart home industry ecosystem that encompasses five environments, including smart product industry chains, smart new retail, smart education, and smart Business Model. And intelligent services, in the follow-up of the entire industry investment, as long as it is targeted at the five ring nodes, we have actually been deploying. In the near future within six months we may gradually see our part in the five industries, there will be multi-dimensional The industrial layout is even better whether it is cooperation or strategic investment.
Now whether it is in the domestic hardware vendors or the entire IP business, they still look at the entire industry of Foxconn strong manufacturing capabilities, including our screen manufacturing R & D capabilities and so on.
Q: Foxconn started its e-commerce business very early this year. How is this integrated into the rich network?
Yuan Xuezhi: The position of Rich Connect in the group is called C2C, and we are the only platform in the group to build Componet for manufacturing to the last consumer. I think the biggest difference is branding. In the past, whether we were doing e-commerce or not. , Or is the sales channels open to communication, I think that because we must consider the characteristics of the era, so we may think of us as e-commerce, do channels, do flying Tiger Tesco ... but the biggest difference with the previous Our concept, when you open your hands, you can welcome anyone, including traditional retailers, some innovative maker platforms, some content services you may not even think of, and we are all in touch. After more and more people understand our direction, there will be more and more people coming into contact with us. This speed will increase in the next two to three years, and it will go very quickly. Now in our group, Industrial Internet is a web, home Internet is also a web.
Wu Jiajuan: I will add to our recent deployment. The marketing president has just mentioned that Amoy Fu has come true. In 2014, it was established that the goal was to see a lot of creators. At the time of Taobao, there were more than 4 million. The settlers of the home platform had only 200,000 truly profitable companies. At that time we had been considering how we could empower them, including integrating Foxconn's upstream industrial strength into Ali’s consumption channels to make the entire empowerment possible. With dreams, feelings of the makers of the product, manufacturers give them a good platform, so that they really have a systematic concept from the draft of the product to proofing, to the later production, sales, operations, etc.. Foxconn from 2014 We have always hoped that we can create such a spirit, and we will continue to refer to the entire platform of Fulink. Whether it is this year or next year, these two years must be a big foundation for the rich network.
Q: How many people are currently in the Rich Connect team?
Yuan Xuezhi: We now have nearly 40,000 people, but there are so many of our front lines, including sales, service teams, maintenance teams, and even our logistics.
Yuan Xuezhi: Let me talk a little bit about the relationship between Rich Connect and Sharp. This may be a bit confusing for many people. Rich Connect is an important component of our group. It may be just one of them for me. Sharp is also An important member of the group, but it is also one of them. You can think of us as Sharp's general agent in China and we are also responsible for Sharp's promotion and sales services in China. Sharp is one of us. A manageable brand, but not only this brand, but later we also welcome all kinds of services, products with good brands can join our system, so that we can truly achieve from the front-end Component The last consumer service, this is the platform we want to build.
After we cooperated with Sharp in the previous year, Sharp achieved a preliminary company's operating success last year and began to make profits in business operations. However, Sharp also has its own mission. It has a global market to do. Among them, Fulianwang first uses the Chinese market as Basic, we first set up the C2C platform in China, and we may also go to the sea in the future. We will also do more services in other countries and in different regions.
Q: The competition between Rich Connect and the e-commerce company is quite fierce.
Yuan Xuezhi: I think not just e-commerce. I think the e-commerce bonus has almost reached the top. It's not just that I'm saying this alone. There is no longer a bonus for new traffic growth, including a relatively saturated number of people surfing the Internet. The demand is not as strong as before. I think this is a sign of market saturation.
Over the past few years we have seen several big giant companies are desperately moving down the line, hoping to bring OMO out, that is, to get the same experience both online and offline, online and offline circulation services, online and offline. We all get the same quality of service offline. This is something that everyone is doing. We are also doing it. Just saying that Rich Connect was actually an e-commerce business based on 3C appliance sales in the group. This is Rich Connect. In its own transformation, it only sells 3C home appliances, sells its products from its own factory and sells it, and turns it into a full service. This is what I mean by platformization. Later when we start selling vegetables, fruits, we don’t want to It feels weird, it will happen.
Q: From the perspective of Rich Connect, you definitely want to access every brand that you are willing to cooperate with. Will there be an exclusive need for them after empowering them? For example, robots and other TVs announced today can copy this set?
Yuan Xuezhi: This thing is similar to chasing my girlfriend. I know you first. After you met, you are willing to follow this person. After a long time, it's really appropriate. Then you get married. It's just that this is not morally correct. The network will be polygamous. Just like Orion cooperates with us today. It actually does not only cooperate with us. It will also cooperate with other platforms to do other products. We don’t oppose this, if only In fact, our family cooperation has also narrowed the potential of this IP development in the future.
Wu Jiajuan: I add a concept here. The most objective point of empowerment is that the two sides complement each other strategically. Therefore, the empowering part is to let the other side make this market a shared, win-win platform. Just like you said just now. We will not have exclusivity. Absolutely not. In the entire strategy of the two parties, whether it is tacit understanding or the degree of integration of the brand, it is to look at our subsequent long-term cooperation and see how the solution emerges.
Yuan Xuezhi: This is a dynamic matter. It is not quite the same as other so-called eco-friendly companies. We maintain a good relationship of friendship and cooperation. There is a long-term relationship, and we can also become a full-scale cooperative relationship. There are many Possibly, we also hope to maintain this possibility, because in the dynamic development to find the maximization of the interests of both parties or the maximization of multiple interests, I think it is in line with the concept of the current platform. This is my idea.
Moderator: Usually there are a lot of media reporters to ask me a question, about the relationship between Rich Connect and AIoT Ecology of Rich Connect, and how Rich Connect was transformed from a mall into a platform like this, today we borrow this The Chief Marketing Officer gave us an introduction to this issue. It was how we changed from a 3C professional store to an AIoT platform.
Yuan Xuezhi: Before Richnet.com was more of a 3C e-commerce provider, with 3C e-commerce as the foundation, it was necessary to have some functions that it had in terms of brand or service, maintenance, and logistics. But when we walked on this platform To this day, pure e-commerce can no longer meet the needs of us who want to be fully empowered. Therefore, we are taking advantage of the Sharp brand and we are also making changes, including Sharp stores and rich network stores. , We have 15000-17000 service locations in the country.
In the future, as we can cultivate more talents on this platform to attract more people to join us, we may soon turn our so-called specialty stores into flagship stores into experience stores. This is actually On the basis of the existing foundation, we will gradually grow up to fruition. For us, from the electricity supplier to the offline, the online and offline communication, and the introduction of more services in the future, many of the foundations are To give an example, our own mobile phone, we own, so we have a platform like creating a customer. In fact, it is to do maintenance service. The maintenance service itself is an important part of our service. The television in the home is broken. , The home air conditioner is broken to be repaired, Service also includes such replacement materials behind the empty net filter, etc. If there is a problem with Sharp's air conditioner, please do not wash it, All are part of the service. With such business Growing up, we have cultivated many talents with different functions in our team. This is something that has not been found in the past. I just used service as an example. Let’s think about this service. When it comes to your home, we have our own logistics team. We have a lot of our own warehouses in the country. This is something we didn't say in the past. From these places we can see that our prototype has already appeared. Then we just say we To focus more on certain business segments that have business value or that we are willing to amplify to gradually enhance the business capabilities of each segment. This is the process we grew up.
When we talk about the platform, you have to serve them. When these brands come in, not just saying that I'm helping you build, then promoting, selling, service, even the user’s word of mouth you need to take care of. These things are all rich. The work of networking. We are talking about why this platform is more and more confident, because with the practice of the past few years, we have also been serving our customers, such as Sharp, in the process of growing up in silence. During the process, we gradually grew up. Today, we feel that we have the ability to come up with more powerful brands, or IP content like Orr, or even different possible formats. With cooperation, in the next six months, one year, I believe that people will see more and more such things happen.
As we have more and more supporters, the rich network is becoming more and more shaped. We can truly realize the transition from 3C to full life services and home Internet services. This is the past year and more we have seen. The story of the development of the rich network.
Q: Today's theme is to create family intelligence. We care more about how you choose to use a scene. Is there a strong connection between children and TV?
Yuan Xuezhi: Let me give you an example. Today we are talking about smart products and we have opened a back door for moms. What do we mean by that? We can type in the APP 'Do not sleep again. Let's kick your butt', let the robot speak, give the children Something must be checked by parents. There are many things in this function not only to make children happy, but he also began to consider how parents can use different ways to play tricks with children. This is also a kind of life fun.
Intelligence, how does AI make sense for families and users? This is an important goal for us to release this product today. Think down to this idea and think that today we are doing a new gift for Children on Children’s Day. What about Valentine's Day? Valentine's Day? Father's Day, Mother's Day? We can really conceive people, what kind of people, because for me, I'm Marketing, everyone has not dug down The value, if any, of how we use hardware and services to empower such an environment.
Take the elderly as an example. China is now an increasingly aging society. Services for the elderly are getting more and more attention. How does technology enable the elderly to enjoy a happier old age in this process because my family has The old man, so I care about their health.
We also have some children who are not safe on the road to school, the future of car networking. How do we ensure that these cars are safe on the road? I mean that the imagination is very big. After AI joins the world of home appliances or electronic products, it Suddenly it becomes a completely different thing, so why does this part of us begin to think more positively forward, how does AI serve all people in our lives, and it is more diverse, and it is definitely not for everyone to buy afterwards? A same mobile phone can satisfy. The elderly may have smart products that suit him. Women may have smart products suitable for women. There may be suitable products between lovers. The imagination is very big. These things are what we want. To try out, our team’s knowledge structure and capabilities are certainly not sufficient. Why should we spread our hands and talk to outside companies with ideas to understand their ideas? How can we use Foxconn’s capabilities to empower people? He. It is very important in this middle point that we have not forgotten that Foxconn itself is a hardware company, so it comes out with other BAT soft strengths. The so-called Internet companies we send are called +Internet, which is hardware plus the Internet. They call Internet+, it's the Internet plus entities, so we go from hard to soft in both directions. We really face each other at a certain stage. In the current situation, we are more cooperative. The future may not be a big platform. When we think in an open manner, we will cooperate with others in the future. This is +Internet and Internet+. Based on their respective advantages, how do we all work together for the future intelligent society and intelligent life? This is not necessarily a simple competition among enterprises. It is often a competing one. Relationships, In the exercise of different ideas, we can find some points of better cooperation.
