Foreign Brands Enter China'S Electricity Supplier Market, Wechat Takes Away Tmall Customers

For many years, brand as long as

In general, the establishment of official online shops can easily get users.

Last year, Tmall platform sales amounted to US $463 billion.

What is surprising is that the United States is very extravagant.

Coach suddenly closed its Tmall flagship store last month, and joined Cartire, IWC, MontBlanc and other luxury brand camps to choose a buying platform on WeChat.

This is the last time that Coach has withdrawn from Tmall since its second visit to Tmall last year. The brand entered Tmall for the first time in 2011, but its entry time was less than two months. As a result of the conflict between the two sides, Coach withdrew from Tmall.

Other luxury brands, such as Dior and Bvlgari, are promoting sales of WeChat products by conducting promotional activities with special products on Tanabata Festival this year.

Dior announced on the Tanabata Festival this year on its official WeChat public platform, "Lady Dior Small handbag Tanabata limited, online boutique sale," opened.

The brand is intended to hold 4 days of Tanabata Festival Promotion for 200 limited handbags priced at 28000 yuan, but the handbags have been snapped up within 24 hours after the announcement.

The attraction of WeChat attracts people's attention.

APP, an active user with more than 700 million people, combines the functions of social appointments, such as appointment, purchase of tickets, online shopping and shopping. It has a very strong viscosity and high utilization rate. It is not comparable to general shopping APP.

In the context of China Mobile's rapid growth in sales, according to data from Analysys think tank, by the end of 2015, 64.8% of online shopping activities were completed through mobile terminals, and this figure was only 9% at the end of 2013.

Because apart from WeChat, no other company can sit on such a large number of China Mobile users, WeChat's advantage is increasingly obvious.

According to a study released by McKinsey in April, 31% of WeChat users surveyed had used the brand to shop, which is two times that of last year.

The report also pointed out that consumption of clothing and personal care products, which account for 25% to 30% of the total consumption, is mostly impulse consumption.

WalktheChat Graziani Thomas, co-founder of the official WeChat account for enterprises, points out that WeChat's "walled garden" effect has created an unprecedented sense of trust for China's e-commerce platform.

If the brand builds up an e-commerce platform that consumers can visit by WeChat in the WeChat, even the third party website, consumers will feel secure, because everyone trusts WeChat, and can also use WeChat payment to buy, improving the efficiency of shopping.

At the same time, Tmall has been trapped in its fake problem.

Data from L2 consulting firm show that brands do not necessarily make profits in Tmall, because shops selling on Tmall platforms have a long running time. When consumers search for products, they usually have a higher ranking of products. In fact, only 12% of Tmall's search results are directed to the flagship store.

L2 consulting points out that the flagship store established by Tmall brand has no priority in consumer search for brands. Such a priority can only be obtained by a few luxury brands, such as Ports 1961, Burberry and Tommy Hilfige, which can get 90% of search priority.

Gucci and Michael Kors have been very sick of the Alibaba's selling problem. In the letter to the international alliance against counterfeiting, Alibaba said that Alibaba is the most dangerous existence in the fashion industry. Alibaba's strategy is confined to verbal support for brand law enforcement, but the problem of counterfeit goods on its trading platform has not been solved practically.

In May last year, Kai Yun group filed a lawsuit against Alibaba, accusing Ali of connivance in selling and taking advantage of it. Recently, the American Apparel Association again called for Alibaba to be included in the notorious market.

Of course, the problem of counterfeit goods exists not only in Tmall, but also in China's whole business environment.

Thomas Graziani emphasizes that products sold in WeChat are not suitable for every company, but only for those with a large number of loyal fans.

Thomas Graziani said that the success of Dior's 7th Festival promotions was due to its high brand awareness, and many brand fans took the initiative to spread the news on social media.

In addition, Dior's move has also been controversial, because Dior is the first luxury brand to sell handbags on WeChat platform.