blue nile word 版本.doc

The Second Chapter Case AnalysisBLUE NILE 班 级：09级电子商务1班 组 员：周焕 宋海芳 王小龙 蔡东良日 期：2012年9月29日 1、 Company Profile Blue Nile Inc. (NASDAQ: NILE) is the worlds largest online diamond jewelry sellers. it Was established in 1999. located in Seattle, Washington, United States. Blue Nile since 1999 has been to grow and develop, and has now become the largest online retailers of certified diamonds and jewelry superior. According to Internet Retailer Magazine reports Blue Niles scale is larger than the total followed by the networks three largest jeweler scale. Blue Nile is a public listed company listed on the NASDAQ its symbol is NILE. Platinum won the Bizrate hair excellence, the award recognizes those actual customers as the company has the best network customer service. Blue Nile is ever the only this Award jeweler, and won the award every year since 2002.二、History of development The end of 1998, an MBA from Stanford University, engaged in business consulting work, Mark. Vardon the (Mark Vadon) intends to buy an engagement ring to his fiancee. Shorts wearing a T-shirt, he walked into a luxury jewelry store in San Francisco, the result of neglect and contempt by the clerk of the Wadden Wohuo. Back home, he searched the Internet a lot about diamonds, in a shop to buy a ring before fancy, the price is only half of the jewelry store. In 2001, Blue Nile net revenues of more than 48 million dollars, the total revenue of over 120 million U.S. dollars in 2003, 2004, landing Nasdaq. The filing shows, Blue Nile net revenues of $ 332.9 million in fiscal 2010. According to the the google financial data, Blue Nile todays market value of $ 723 million, is the worlds largest online jewelry sellers.三、Products and Services Blue Nile offers 7 days a week 24 hours a day around the clock phone diamond jewelry consultancy services non-commissioned Diamond and Jewelry Consultants Blue Nile to provide customers with professional-class diamond jewelry consulting services. Distinguished service without pressure in their professional and rich diamondJewelry Knowledge is the Blue Nile by customers spoke highly of the one of the main reasons. Blue Nile are now starting to provide Chinese diamond jewelry consultancy services to Chinese customers can directly dial the toll-free hotline 400-120-0764 can be in the United States and the Chinese diamond jewelryadviser calls. Blue Nile customers a more convenient way to buy the jewelry. The simple design and the operating system to provide customers with tens of thousands of independently certified diamonds and a classic collection of jewelry, giving customers tens of thousands of extraordinary. And the price is 6-7% off the price of traditional jewelry retailers homogeneous products. Knowledge to provide customers with product identification, to enable consumers to make an informed choice, the main principles of the Blue Nile.四、Strength Quality: At Blue Nile, luxury does not mean consumption too much, it means more. Our price is cheaper than traditional jewelers, but we are able to provide you with the high quality of precious jewelry, top technology and you can not from ordinary jeweler carat diamond. Convenient: our commitment: do not put pressure on, not persecution, not posturing. You can ask us any questions, we will make every effort to meet you. Our non-commissioned Diamond & Jewelry Consultants are available 24-hour full service. The professional jewelry literacy make you become a diamond expert. Blue Niles Build Your Own Ring feature that allows you to create your dream ring. Free post: Every single Blue Nile Order, we will carefully pack your hands (free courier), sent via FedEx. All Blue Nile diamonds are professional assessment and independent grading report. If for any reason you are not satisfied with our products, you can be returned within 30 days. Lifelong commitment: our products, you can sit back and relax. All Blue Nile diamonds, engagement rings and other jewelry to choose high-quality materials. The Blue Nile lifelong guarantee commitment will bear all production, manufacturing and process defects .五、Profit model and operating characteristics Using a combination of e-commerce experience store mode, no physical store. Wadden decided to create a whole new shopping patterns: a blend of traditional shopping element, while integrated into a simple, high-quality, professional, high-value, the ultimate luxury shopping experience. This is the Blue Nile.六、Growth direction In the case of the recent poor performance of the company, in the third quarter of 2011, the company proposed the following growth direction. First of all, the Blue Nile in the international market will actively explore. The most important thing is the emphasis on the Asia-Pacific region a rapid increase in the number of middle-class. The company will enter the Chinese mainland market in 2012. In addition, the company will expand the business of non-engagement ring field. The company expects the new investment makes profits continue to be under pressure, but the new expansion of the business will service the wider population, higher margins and win more repeat business. From the 2011 performance point of view, this decision is really effective, it brought a 22% order growth in the non-diamond ring business, and to make every single spending amount to an increase of 30%. Finally, the company intends to increase diamond ring types and more add-on products, improve customer every single spending to stimulate.七、Financial Analysis Growth dragged down by the surge in diamond costs and operating expenses, although in 2011 the companys operating income has increased slightly, but net profit fell by nearly 20%. If diamond prices for companies is good news for diamond prices rebounded again, the companys profit margins will continue to be under pressure. Growth dragged down by the surge in diamond costs and operating expenses, although in 2011 the companys operating income has increased slightly, but net profit fell by nearly 20%. If diamond prices for companies is good news for diamond prices rebounded again, the companys profit margins will continue to be under pressure. Advance procurement rather than based on the immediate orders of the consumers to purchase, the company will need to employ a visionary procurement division to choose the products may sell large, otherwise it will be faced with the dilemma of the inventory backlog. Beautiful growth of an average of 34.6% in 2002 and 2007, the companys operating income of the Blue Nile in the last five years, lost the momentum of rapid growth, the average revenue growth of only 6.5%; five-year operating income of U.S. businessaverage growth of only 2.8%, a 8.6% growth rate lower than competitors Tiffanys U.S. operations. The companys net profit as weak operating income growth began to stagnate. 2002-2007 average net profit growth of 60.7%, negative 2.8% growth in net profit for the past five years.八、Price trends The last five years, and the Blue Nile companys share price in mid-2007 to early 2009 fell more than 50% in 2010 and early 2011, the two Mogao thereafter to 60, but now and again returned tohovering below 30. Blue Nile shares rose 5 -53.5%. Blue Nile stock compound annual decline in five years -14.2% -0.56% annual return of the S & P index, behind, more lagging far behind the 4.6% annual gain in the luxury goods industry. Even the view from the initial release of the days closing price, the stock price in the eight years of being a total return of -13.2%, nor profitable long-term investors.九、Industry trends U.S. jewelry industry concentration is poor, only 28.1% of the market share of the top 20 jeweler. Engagement Ring total jewelry sales ratio of less than 10%, and in recent years there is a recession, is a popular market. Blue Nile flagship engagement ring business network jewelers in the United States has 50% market share, but most people tend to buy an engagement ring in the physical store, the company sales in the sub-sectors of the engagement ring only 4% of the market share. Diamond engagement ring market, the most important factor is the natural number of married each year in the United States population. Marriage more and more people to buy a diamond engagement ring. As shown, since 2001, the number of total marriage of the U.S. population is in slow decline. Erode market share from the entity under the line jeweler Blue Nile, but the pie is getting smaller and smaller. The companys competitors include both physical stores mainly in the high-end jewelers and retailers, such as Tiffany, Macys, Saks, as well as low-end hypermarkets and jewelers, such as Target, SearsSignet jewelry, including other electricity providers such as Amazon, Ebay, include diamond upstream supplier. The store into the field of online sales to bring competitive pressures, because the more people trust them familiar