Reborn Entrepreneurial Giant

Google shopping is still Shopee. After intense discussions within Google, it may feel that it is cheaper to do it by itself. Therefore, the cooperation with Jumei has undergone a huge change in direction. If you switch to an e-commerce company that is not controlled by Quli, the talks will basically collapse. up.

Larry Page called and sent an email to apologize, explaining some of the reasons, what can Qu Li do, Google has thick thighs, Honor cannot do without Google Android for the time being, and Jumei Shopee has Google, so it can go more smoothly.

But if you want Shopee to cooperate, it is obviously not enough to have only one Google heroine that they are about to abandon. It is obviously not enough to invest in Shopee, but this company is firmly controlled by Jumei. From the supply chain to logistics, it is Jumei. Shopee is just a sales platform. Although it can meet the needs of Google shopping, the price is too high to be worthwhile.

Things have become like this, Qu Li really doesn't want to spend money to buy Google Zhongguo, and released the 2009 financial report forecast in advance, the annual sales revenue is about 35 billion, and the loss is about 1.5 billion. Shopee's revenue data was announced at the same time, with a profit of US$1.5 billion and a profit of US$100 million, mainly due to the serious loss of Jumei Logistics and the increase in marketing and promotion expenses.

The revenue of Jumei is very outrageous in China. In 2008, the sixth largest retail enterprise in China was Carrefour’s 33.8 billion soft sister currency. Jumei has entered the top 10 in the country in a few years. Isn’t this a miracle?

Soon, Wall Street responded to Jumei’s financial report, and its market value of US$8 billion broke through in an instant. Now its stock price exceeds US$40, and its market value is close to US$9 billion.

The sales of Jumei's entire platform are 60 billion, which is close to the company's market value, which has caused a lot of discussion. However, even though Jumei's market value may exceed 10 billion US dollars, Qu Li did not come forward to celebrate. It is really difficult to handle things on Google's side.

The Google Shopping column directly displays product pictures and prices in the search results. Consumers click to jump to the shopping website or official website, and users place orders. Google only plays the role of an information intermediary. What about the profit model of Google Shopping? Does Shopee pay advertising fee, click fee, or sales share? The problem is that Shopee has a stable flow, why should it cooperate with Google Shopping?

It is impossible for Amazon to have any cooperation with Google Shopping, just like Taobao blocks white search crawlers, and the e-commerce platform itself can sell advertisements, why use Google? So, Google proposed to bind Google search in Shopee's search box.

But no matter how we cooperate, Shopee’s scale itself is limited. Even if the development speed is fast, it will be difficult to show its due value at this time. As long as Google does not take a stake or acquire it, it is really difficult for Jumei to make an offer.

"If you don't want to cooperate, just say so!" Qu Li emailed Schmidt: "What do you think we should quote? Does Google Shopping provide traffic to e-commerce websites and pay for it, isn't it possible?"

"It can be traded by means of intellectual property rights..."

Qu Li looked at Wang Yunliang, a little dissatisfied, there is no way, why didn't he think of it? And to embarrass him.

Google Shopping signed a three-year e-procurement technology service and patent licensing contract with Jumei and Shope. The price is close to the advertising and service fees that Shopee needs to pay Google Shopping; Common stock, preferred stock and corporate debt, the size is about 1 billion US dollars.

In order to compensate Jumei, Google provided three years of free search technical support to Google China, and renegotiated after three years. As for Google play, there is no agreement, mainly because the investment and benefits are not proportional.

Qu Li really wants to start Google play. When it really wants to make money, Google can pay a certain price to take back the right to operate at any time.

The cooperation between Shopee and Google Shopping is set for three years, which is not too long. I thought I could get a sum of cash from Google, but I didn’t expect to have to pay a lot of money myself. It doesn't look like next year's financial report will look good, Qu Li is worried.

"Don't hold back, just laugh if you want." Lin Bing, who is also in Beijin, pushed Qu Li. It took nearly a month for Google and Jumei's team to finally come up with such a plan, although there are some demands Not satisfied, but overall satisfactory.

Employees of Google China (later renamed GuGe) can freely choose whether to stay in GuGe. Google’s business in China Women has been greatly reduced, and the Google China Women Research Institute has been retained. A team of about 50 people has moved to Shanghai to work. The vast majority of employees choose to join Jumei and stay in Guge. After all, only a few can stay in Google.

As a co-founder, board member, and chief technology officer, Lin Bing took over Guge, which is easier for him to accumulate experience than arranging people to go to Dongying to open up the market.

"But we are short of money!" Qu Li said Versailles, and Google provided 1 billion US dollars in cash. Although 500 million US dollars of it was used to acquire Google, there was still 500 million US dollars that could be used for business development.

The problem is that Jumei loses 2 billion or about 300 million U.S. dollars a year, which is not a small loss. And with the outbreak of the e-commerce market, the investment of Jumei Logistics will only increase year by year, oh, and the scale of income will also increase significantly.

Fortunately, Jumei’s annual revenue is 35 billion, and based on a gross profit of about 20%, it has a gross profit of about 7 billion. As long as it slows down the pace of development, profitability may not be a problem. But what about the loss of about 200 million U.S. dollars in 15 soft sister coins in fiscal year 2009?

"This is a problem between you and Lu Qi, don't look for me." Lin Bing resolutely shirked responsibility

"However, the heroine in the ancient songs doesn't seem to be profitable, so you don't want Jumei to support it?"

Qu Li's words quickly caused Lin Bing a headache. Before buying Gu Ge, he thought that Gu Ge would support Jumei. He couldn't do it, and he was ashamed.

"Baidu is an excellent company with a very good team..." Lin Bing began to think about how to deal with it in the future, how to challenge Baidu's leading position

"Isn't it just content review and manual fine-tuning? I believe you..." Qu Li heard a lot of introductions from them. Anyway, the whiteness technology is not good enough, mainly relying on manual intervention in the search results. There are also Internet products developed by Baidu, such as Tieba, MP3, and Baidu, which have brought a lot of traffic to Baidu.

"If there were only these things, Google would not have lost." Lin Bing and Qu Li have worked together for a long time, knowing that Qu Li attaches great importance to technology, but he does not think technology is a necessary condition for success. Influenced by this, he has a similar idea , There is a distance between market and technology.

The two chatted, and Qu Li agreed to the terms of cooperation. Lu Qi rushed to Beijin from Yangcheng, and Schmidt also rushed to Beijin from Silicon Valley. The cooperation between them also includes personnel cooperation. For example, Brady, the CEO of Shopee, chose Join Google Shopping as its direct lead.

Could it be Brady who made Google abandon Shopee? Qu Li didn't think too much about it. Running Shopee well is the best counterattack.

On December 15, Google and Jumei executives gathered together and held a press conference in Beijin, announcing the sale of part of Google’s China assets to Jumei, and at the same time, Jumei issued 10 million ordinary shares, some preferred shares and some bonds to Google. A total of 1 billion US dollars will be used to pay for the acquisition of Google and enterprise development. Shopee and Google have reached a series of cooperation agreements. After the transaction is completed, Google will hold about 5% of the shares in Jumei and will not participate in the board of directors.

At the press conference, many domestic and foreign reporters couldn't believe the news was true, so they didn't ask many profound questions. Once this news was announced on the Internet, it shocked the entire Chinese Internet market.

At first glance, Google is out of the Chinese market! Continue to watch Google pay for Jumei to acquire Google Zhongying. Why didn’t it come to me for such a good thing?