Rebirth of the big era of online games

Chapter 308 Unifying the National Express Company

Intra-city distribution, logistics, and express delivery are actually two different things.

Previously, Boiling Logistics was essentially intra-city distribution, and its main business was only the distribution of agricultural and sideline products, electronic products and so on. The business volume was not large.

Originally, Fang Jie just threw some money into it occasionally, and let Boiling Logistics grow wildly on its own. The extent to which it develops depends entirely on its own fortune.

But Wen Xuchun and his wife brought him a lot of surprises, especially Wen Xuchun's wife, who was ambitious like a desperate mistress.

Under the management of these two people, after six months of rapid development, Boiling Logistics has occupied 80% of Jiangcheng's agricultural and sideline products intra-city distribution market, established 7 offline distribution centers, and reached more than 200 distribution outlets.

Most of these outlets were not established by Boiling Logistics itself. Under the suggestion of Wen Xuchun and his wife, Boiling Logistics directly contacted the person in charge of the outlets of Postal Service, Shentong, and Yuantong, and asked them to join the chain and take on the delivery task part-time.

This is the same as when Wen Xuchun and his wife joined Boiling Logistics. At the beginning, everyone just said that they would do it by the way. The business still makes money!
The reason why the express delivery business is not making money at present is because e-commerce has not yet developed, or even not, and the people have not formed the habit of online consumption, and there is almost no express delivery business.

The courier companies are currently mainly supported by the logistics business, such as transporting large items, and filling the compartments with the courier items by the way, but in this way, the timeliness cannot be guaranteed.

The logic of the logistics business is to send a full vehicle, and charge according to weight or volume. If the vehicle is not full, it is a waste of resources, and it may cause a loss. Therefore, sometimes it will take several days before the vehicle is dispatched, and the vehicle is still not necessarily full. Customers often take ten days and a half months to get the goods. The postal service is a little better, but at least it takes a week to wait.

And the express delivery industry in the later generations, which can arrive in a few days or even the next day, was brought up by Taobao after 04.

So at present, pure express delivery does not make money. The profit of intra-city distribution of agricultural and sideline products actually exceeds the self-operated income of these outlets.

Zooming into the country, no one in logistics will throw money into the express industry. Everyone has not yet seen the prospect of the express industry.

Except for Fang Jie, of course.

Originally, he didn’t intend to devote too much energy to Boiling Logistics, but 51mai had too many problems in the express delivery link in SHE and Jay Chou’s album online sales project, and received many complaints from consumers, which also led to after-sales service. The cost has increased significantly.

That's all.

The key issue is that 51mai is discussing financing and listing!
If the express delivery problem cannot be effectively improved and solved, then the story of 51mai will be greatly discounted. Investors, especially the four big banks, are not fools. If your express delivery problem is not solved, why should we invest money in you?
In other words, you at least have to make a statement, make a show, and come up with a reasonable solution before we will invest money in you.

Otherwise, if this has always been the case, 51mai's online sales business, except for the digital product business, other businesses will be restricted, which will affect the revenue, and then your valuation of tens of billions will not be so much. ?

So in order to make more money and tell the story perfectly, Fang Jie had to turn his attention to Boiling Logistics.

With the current scale, level and strength of Boiling Logistics, even if the development speed is fast enough, it is obviously still unable to undertake the task of expanding 51mai's national online sales business.

So this needs to speed up the boiling stream again.

The way to speed up is very simple, that is, acquisitions.

You know, from October to November, Fang Jie received 10 million US dollars from the four major banks, a total of 11 million US dollars in financing.

The money is not for nothing. In addition to 51mai’s previous business stories, stories about the launch of the PHS business, music album sales, and self-built express delivery business, otherwise it would be impossible to convince the big four.

It is impossible to throw all the money into the Taiji Tower construction project like last time, but to use it to speed up the boiling logistics.

So throughout November, Fang Jie went around talking about acquisitions non-stop.

First, it spent 18 billion RMB to buy 78% of the shares of YTO Express.

YTO Express was established in Shanghai in April last year, with total assets of more than 4 million yuan. Before Boiling became a shareholder, the company had more than 8 shareholders, most of whom were offline postal outlets in the eastern region. Shareholders of private companies.

This time, Boiling settled in YTO Express, and directly became the absolute controlling shareholder, and obtained the resources of offline warehousing and express outlets in the Yangtze River Delta region of East China.

Then it spent another 18.7 billion RMB to obtain 78% of the shares of STO Express, becoming its absolute controlling shareholder and controlling the express network resources in the southeast region.

Later, it invested 29.4 billion yuan to acquire a 53% stake in SF Air Cargo, controlling the express delivery business in the Pearl River Delta region of South China.

After taking control of Shentong, Yuantong and SF Express, in the name of the controlling shareholder, it was proposed that the three companies jointly invest, plus the 30 billion from Boiling Logistics, to establish ZTO Express and North Express respectively, and set up markets in Central China and North China respectively.

This ZTO Express is not the ZTO Express in the previous life. ZTO Express has not yet been established at this time, so the ZTO Express in the history of the previous life just disappeared, and was named by Fang Jie, Zhang Guan and Li Dai.

After this showy operation, the four major banks spent almost none of the US$8 million in financing, but the story became bigger and bigger, and the promise to the four major banks was fulfilled, which made the four banks very satisfied.

The logistics and express delivery industry is not comparable to the Internet industry. It is a real fixed asset, such as distribution center warehouses in various places, large trucks of various types, SF Express’s cargo planes and small cargo airports. Tell a story.

Although the money is spent, the benefits that can be brought are real. Among other things, 51mai has the support of these express companies with businesses all over the country, and its revenue will inevitably skyrocket in the future.

In particular, after Fang Jie took control of these express companies, it didn't end there.

A more important move is: through the Internet cafe management system, he allowed Internet cafes across the country to join the express outlets.

That is to say, after consumers purchase physical products on 51mai, they can choose the courier company to deliver the goods to their home, or they can choose to pick up the goods at the nearest Internet cafe, and the Internet cafe can thus obtain additional express storage income!
In this way, the shortcomings of these express companies are completely made up for.

You must know that Shentong, Yuantong, and SF Express are still in the initial stage of development, and their outlets have not spread all over the country. Even in most third- and fourth-tier cities, only a small number of outlets have been initially established. I can't take care of it at all.

But Internet cafes are spread all over the country, and there are many more grassroots outlets than express delivery companies.

Even in rural areas, there are such outlets. It is impossible for courier companies to go from village to household, climb mountains and wading water to deliver courier, not to mention now, it will be difficult to do this even 20 years later, but to centralize the courier If you store it in the Internet cafe in the town, it will save a lot of trouble and the cost will be greatly reduced.

This move is absolutely Fang Jie's original creation. In his previous life, he did not form a courier network with Internet cafes as nodes. At the moment when the courier industry has not yet developed, it has cleverly formed a full coverage of the nationwide courier business!

(End of this chapter)