E-Commerce Platform Mode For Cross-Border Theme Tmall International Year Increased By 179%

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Announced the 2015 Q4 earnings report, of which Tmall international turnover increased by 179% last year. As of December 31, 2015, Tmall international has introduced 5400 overseas brands from more than 2000 countries in 53 countries and regions, most of which are the first overseas brands to enter the Chinese market.

The popularity of cross-border electricity providers is evident here.

As far as the business model is concerned, today's cross border business is mainly based on the two modes of self operation and platform, and the biggest difference is natural.

Whether the party has participated in the sales link of cross-border electricity providers will inevitably lead to different relationships between different modes of business and brand partners.

This comes from two main logic: 1., the rise of China's middle class, the recognition of product brand, and the maximization of the interests of 2. brands.

For foreign brands, especially famous brands, their entry into the Chinese market is not only to get sales revenue, but also to ensure that their brands will not be diluted too much after entering the Chinese market, and that enough brand premium space should be ensured.

But the buyer and self mode cross boundary electricity providers can solve the problem of short time branding shipments, but due to the limited mode, the brand is almost out of control in the sales process.

The quality of self purchase and buyer's mode depends too much on the professional ethics of the electronic business platform personnel. Once the integrity is broken, fake goods and parallel imports will overflow the market, and the biggest injury is the brand business.

Under this logic, Tmall international brand entry mode can ensure the controllability of the channel at the source, ensure the maximization of the brand quality in the market area, and ensure that its brand is not diluted in the "shipment".

Although the platform mode is the best choice for cross-border electricity providers, because a considerable number of entrepreneurs are in the initial stage due to their brand and user volume, they can only compromise on the mode of self-employed or buyers, and Tmall international, a purely brand name, has become an international brand.

Steady growth of economy makes China become

The "most desirable" market of the brand, while the unconventional and unsound system of Chinese traditional retailing industry has made the big brand "heart and heart" for the Chinese market. In the field of electricity supplier, the brand can be sold to the flagship store to achieve the maximization of sales volume and brand. Therefore, entering Tmall international has become the international brand's "No. 1 task".

As mentioned earlier, the Chinese market has become the focus of attacks on international brands, but because the expansion of traditional offline channels is slow and the investment is too large, online channels have become the most important channel for the brand side.

The dual needs of domestic demand and brand make cross-border electric business the hottest business area in the past two years. But as mentioned earlier, the overheating of the industry has spawned a series of quick success and instant benefits.

In terms of mode, the platform electricity supplier is the best mode to guarantee brand quality. But because of the objective conditions such as entrepreneurial team brand and basic users, this high threshold business is not effective for all entrepreneurs. Therefore, many entrepreneurs choose their own mode to maximize their product categories, and get users in the form of discount subsidies and other low cost forms.

Therefore, today's cross-border electricity supplier is a "grimy" market, on the one hand, users' demand for cross-border products is more and more vigorous. The growth rate of Tmall international last year is 179%, and on the other hand, the quality problems of cross-border e-commerce are repeatedly banned, which seriously affects the normal development of the industry.

Take the Jingdong, the representative of the self operated electricity supplier, for example, there have been many negative news reports on cross-border e-commerce since last year. If the media disclosed that the flower diapers were not authorized for the products of Kao, they had been restricted in Japan.

Subsequently, Costco unilaterally declared its flagship store of Jingdong as a Shanzhai store, and the official did not know it.

It is not difficult to find that the self run mode can solve the category problems of enterprises for a short time. However, because of the opacity of the procurement channels and the excessive purchase of the "treasure" on the quality of the purchasing staff, if the platform is slightly "draining", the quality of its products will be seriously out of control.

Cross border electricity supplier reshuffle is coming soon. The platform based cross-border electricity supplier mode has become the best choice of the industry. A considerable part of the self procurement business is facing the pain of scraping to reverse the defects of its own mode. In the view of iron elder brother, if the self operated electricity supplier wants to continue to go down, its products must obtain the authorization of the brand, and the hidden rules have nowhere to hide, so that the industry can develop normally.

Today, many of the self run cross-border electricity suppliers still stay in the stage of foreign buyers buying goods to the domestic stage, and the brand side is still difficult to control the sales links. However, iron elder brother believes that if we want to get the channel certification of the brand side, we must discard all the "covert means" nowadays, which has isolated many enterprises from the future development.