e-commerce trends 2014: what can we learn from china?
TRANSCRIPT
1
eCommerce on Steroids:An introduction to China’s social eCommerce brands and
what we can learn from them.
Nicky Szmala & Rachel Guo
June 2014 | Beijing
2
OUR AGENDA
Quick snapshot of China’s eCommerce landscape
What we can learn from them
Intro to social eCommerce-only brands
3
China’s Giant
eCommerce Industry
Photo Credit: https://www.flickr.com/photos/23860276@N05/3887510836/
In 2013 China’s Gross Merchant Value
reached USD 1.63 trillion
Source: iResearch, Jan. 2014
1.000.000.000.000(12 zeros)
Source: iResearch, Jan. 2014
269.4 million
eCommerce users
Source: iResearch, Jan. 2014
YoY Growth of
Mobile eCommerce:
165.4%
Source: iResearch, Jan. 2014
eCommerce in China
huge
fast growing
more and more mobile
10
China’s eCommerce Ecosystem
Photo credit: https://www.flickr.com/photos/15562978@N08/10149082793/
‹#›
Taobao
Tmall
Jingdong
Horizontal eCommerce Platforms
Electronic Products
Gome,Suning
Apparel
vip.com, Vancl
Grocery & Daily Necessity
SF-Best, 1haodian
Cosmetic
Jumei, Lefeng
Books
Dangdang, Amazon
Offline Service
Meituan, Nuomi, Dianping
VerticaleCommerce Websites
eCommerce
Brands
Xiaomi Smartisan
Liebo Crucco
Three
SquirrelsChu Orange
AFU Roseonly
Tangcha
Diaoye
Brisket
Duokan
Huangtaiji
Pancake
Taobao is replacing
Baidu for product search
eCommerce is tightly
integrated into
social channel
Jingdong-WeChat1 Dianping-QQ2 Taobao-Weibo3
600 Million Users 800 Million Users 500 Million Users
Data Source:We are Social, China Digital Landscape 2014
Shopping festival
In 2013, sales volume reached 4.8 billion USD
on Taobao Double 11 Festival
Express delivery
infrastructure
Community based
eCommerce stores
“Internet users in select countries who would buy a brand because
of a friend ‘Likes’ or follows it on a social networks”
Data Source: IPSOS OXT and Ipsos Global, 2012
CHINA
54%INDIA
44%
INDONESIA
39%
USA
15%AUSTRALIA
15%
SOUTH
KOREA
14%
JAPAN
6%
WOM
Social Media
Data Source: Accenture, Winning the Heart of Chinese Consumers, 2012
77.4%
92.7%
Emotional Story
Niche Target Audience
Communication is 100% Social
Experience
Functional Story
Sales Mechanics
Partnerships
Lei Jun – The Steve Jobs of China
Emotional Story
Functional Story
Experience
Sales Mechanics
Communication is 100% Social
Partnerships
Partnerships with Chinese telecom operators
Niche Target Audience
Electronic device fans, who are
passionate about being involved
in product development
College students, who are tech savvy but
have limited budget for smartphones
A gift for the only one in your life
Emotional Story
Functional Story
Roses are imported from exclusive gardens
high in the mountains of Ecuador
Chocolate is imported from Belgium and
made by Jean George, a three-star Michelin
restaurant in NYC
Experience
• Products are delivered in exquisite
packages by well dressed male
models
• Guaranteed to be delivered within
24 hours
Sales Mechanics
For the lifetime of each customer account, only a single recipient can be registered
Communication is 100% Social
109 comments
573 retweets
Partnerships
• Trendgroup Media: gains media and
celebrity resources
• Jean George Restaurant :
establishes a light-luxury image
Niche Target Audience
Urban, upper middle class males with
high demand for luxury experiences
and quality products
Well educated females with appreciation for
exclusive products and high expectation
around relationships
Emotional Story
Functional Story
Organic Fruit/Vegetable + Nutrition Recipe
Experience
Just-in-Time
ProductionKept Fresh On-Time Delivery
Sales Mechanics
Subscription Model
Communication is 100% Social
Partnerships
Shiyi Pan, as angel investor of HeyJuice, helped recruit celebrities
and business elites as early adopters
Niche Target Audience
The young, professional, LOHAS
females who have above
average income and invest in
their well being
3 Squirrels | 三只松鼠
Emotional Story
A cartoon story about three squirrels with story lines and
merchandise crowdsourced by the brand fan base
Sourcing of the best nuts and
building a distribution system to ensure freshness and high quality
Beijing
Functional Story
Wuhu
GZ
Experience
Shell Bag
Wet
Tissue
Clip
Customer
Feedback
Card
Card Case
Sales Mechanics
Niche Target Audience
Young people with tight budgets but willing to pay a little more
to enjoy better quality products and services
What is missing here?
Photo Credit: :https://www.flickr.com/photos/10687935@N04/3552576743/
Instead invest in:
KOLs
Social Ideas
Social Care
SEO
Product & Customer Experience
Social works.
For product launches.
And beyond.
What we can learn from eCommerce on Steroids:
Image Sources
Slide1: http://1.bp.blogspot.com
Slide 3:http://www.winnipegfilmgroup.com
Slide 9:http://www.liveforthepump.de
Slide 12: http://taobao.com
Slide 13: WeChat App, QQ App, Weibo web page
Slide 14，47:http://www.nipic.com/
Slide 16: http://www.ebrun.com
Slide 21,23,24,25,27:Xiaomi official website
Slide 22:http://coffeeticks.my
Slide26: http://bbs.xiaomi.cn/
Slide 28,36,50:http:www.gettyimages.cn/
Slide 29,30,31,33:http://www.roseonly.com.cn/
Slide 34: Roseonly Weibo and WeChat account
Slide 35: http://news.cecb2b.com
Slide 37,38,39,40,41,42,44: http://www.heyjuice.cn/
Slide 43: scity.weibo.10086.cn
Slide 45,46，49: http://www.3songshu.com/
Slide 51: http://architecturebehindmovies.wordpress.com
