Maximizing the value of the supply chain LePar is not a simple O2O

In the era of Internet TV, LeTV, which uses both soft and hard tactics, always becomes the focus of industry opinion. Not long ago, the birth of LeTV's "LePar Super Partner" plan triggered discussions among industry insiders. Some analysts believe that this is LeTV's O2O transformation initiative and that the new plan is "far from the truth" of LeTV's "de-channelization" development principle.

Facing outside doubts about LePar, LeTV TV Vice President Zhang Zhiwei made a positive response on August 25, saying that the "LePar Super Partner" plan is not just a simple O2O, nor is it B2B, but an innovative "O2O+C2B+crowdfunding" multi-dimensional integrated cooperation model.

What is LePar?

LeTV's official explanation for "LePar Super Partner" is: the essence of LePar is that LeTV TV will provide a complete and efficient communication e-commerce platform, which is a platform for partners to place product orders, product circulation, information query, and operation settlement. The partner's offline experience store is responsible for providing users with product experience, demand confirmation, and order confirmation. After the order is confirmed, it will be transferred to this platform again.

Orders come before products, which is in line with LeTV's C2B and CP2C models. LeTV's backend system provides flexible supply after receiving orders. All partners do not need to pay or hold inventory. They can share inventory in 30 warehouses across the country without any business risks. As long as the partner's order is accurately and timely transferred to LeTV's backend system, LeTV will start related services simultaneously.

The so-called "crowd-funding marketing" represented by CP2C means that LeTV will set up an independent and unique account for each partner, which serves as the only ID card for the circulation, inquiry and settlement of all orders. However, each partner can set up unlimited sub-accounts, which means an independent LeTV experience store. Multiple sub-accounts can be set up to allow third-party social resources to be shared and sales promotion can be carried out in a profit-sharing model at a certain ratio.

Why is LeTV still “de-channeling” under LePar?

In a sense, there is no contradiction between LeEco's previous statement of "de-channelization" and the entry channel of this super partner. LePar is not a channel. LePar's business model is called CP2C. Although it seems difficult to understand, it is indeed LeEco's development concept that is different from the existing O2O model.

LeEco and "LePar Super Partners" have a cooperative relationship, not a transactional relationship. All LePar partners do not need to pay or hold back money, and their core responsibility is to provide experience, delivery, logistics, and after-sales related supporting services. The purpose of these partners joining is to enhance LeEco's service capabilities, reduce operating costs, and maximize the value of the supply chain.

Zhang Zhiwei believes that LePar's promotion of service localization is simply to bring the delivery, communication and after-sales links required by e-commerce to users. The cooperation with super partners is not for marketing purposes but to effectively reduce overall costs. The actual market benefits still come from order-driven. This is no different from LeTV's "de-channelization" model before the launch of the "LePar Super Partner" concept.

LeEco ecosystem is the cornerstone of LePar's development

LePar is not O2O. LePar is LeTV's own unique development model. The inaccurate analysis of "LePar Super Partner" by the outside world is nothing more than a lack of clarity about LeTV's ecological profit model.

From product sales commissions to the purchase of LeTV brand options, LeTV TV provides super partners with four levels of benefits. Whether it is application services, annual fee renewals, or derivative income such as movies, TV series, sports, music, and agriculture, they are all inseparable from LeTV's own complete development ecosystem.

From another perspective, "LePar Super Partner" was born on the LeEco ecosystem and requires strong support from all aspects. In other words, this model is currently only applicable to the LeEco ecosystem. If traditional O2O may be relatively simple and easy for most manufacturers, then the "copy" threshold of LePar is definitely much higher.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.