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Meituan’s success can not be departed from its efforts on online and offline, which is easy to be ignored by others, especially when Meituan succeeds in take out industry, the same O2O model. The success of Meituan is not by chance, but because of its efforts on both online and offline. So, it is important to do empirical research. However, there are little empirical research about online and offline can be found. Therefore, it is important and necessary, also innovative to carry out this research.
Questionnaires will be designed for both sellers and customers and they will be and interviewed to study it. From the aspect of online, the paper will study what it does to attract customers to pay online; about the offline aspect, it will use questionnaires to see what makes both sellers and customers satisfied and what problems they face during consumption on Meituan, interview to find its advantages. Meanwhile, choose another GB website like Lashou to make a contrast to support my hypothesis. I hope this study will bring some inspirations to people who are really interested in this field.
In this thesis, there are mainly 5 parts. First, Chapter One will do a brief introduction about the present situation of GB websites in China; then, secondly, literature review, about other scholars’ works related to this topic both at home and aboard; thirdly, in Chapter Three, research method, how the questionnaires are designed, how to choose the target population the places where the study can be carried out, and the data collected from the research; through analysis, the result will be discussed with Lashou to be tested and verified; finally, the conclusion will come in Chapter Five. Related works that this thesis has mentioned will be listed in References.
Chapter Two Literature Review
2.1 Background Reference
2.1.1 What is O2O
O2O means Online to Offline, Online Mall releases information about products and services on discount to attract customers, if customers want to buy, they have to pay online, then they can get certain consumption password, by which they can achieve the products or enjoy the services they order online. With the development of Internet and Web, O2O can be seen as a new e-commerce model (Lu, and Li, 2013 p. 98-101). Here, there are three parties joining in: sellers, consumers and a third party. Meituan acts as a third party to save the money until sellers input the password getting from customers into the computer, after which, the money will be saved into the account of sellers, they can draw out money after a fixed period signed in the contract with Meituan.
2.1.2 What is Group buying (GB)
Marketing pursues win-win results, which are firms gain profits and customers achieve certain products or enjoy certain services at a desired price. As science and technology develop, people are used to online shopping, and then come “tuango” in China, which translates as team buying. “Several people---sometimes friends, but possibly strangers connected over the internet-agreed to approach a vendor of a specific product in order to collectively bargain (haggle) with the proprietor as a group in order to get discounts (Zhang, 2012).” As time goes by, a specific website appears to act as a intermediary by which citizens can buy things on discount. The GB website will contact with sellers and let them show their products and services to attract customers’ attention, and if customers need it, they need to pay online to the GB website, after deal, the money will be paid to sellers by the website. In China, Many people, especially students are used to buy things on GB websites, such as Meituan, Dazhong dianping and Nuomi. These GB websites will update their data in time to give customers more choices and discounts.
2.1.3 Meituan, the first gainer
GB website started from the USA, where the founder of Meituan Wang Xing being enlightened. As the first GB website in China, Meituan is the first gainer as well. By 2014, Meituan almost take up 60% of the market, as it develops better an better, many other GB websites close their companies forever. How can it survive from nearly 3000 companies of the same trade? O2O is the most common marketing strategy which GB companies use, so its success cannot depart from its efforts on it.