MK Is Accused Of Cheating On Amazon Platform. Amazon Is Far Less Powerful Than Alibaba.

In less than a year, Gucci's parent company opened cloud, Chanel beauty and Michael Kors to turn around and join the Tmall camp. Alibaba's anti-counterfeiting operation is gaining more and more recognition.

According to the fashion business news, Doug Collins, the vice chairman of the House Judiciary Committee, said at an intellectual property hearing that most brands said that the US platform such as Amazon and eBay were only trying to make a superficial effort when they had the ability to actively protect consumers from counterfeit products, while Alibaba was able to work closely with brands and use high-tech means to crack down on counterfeit goods and protect consumers. The Wall Street journal has also reported earlier that luxury brands are more cautious about e-commerce and digitization, but are more cautious than Amazon. Luxury goods are more willing to cooperate with Alibaba.

On the day before the hearing, the Alibaba showed its latest anti-counterfeiting weapon "knowledge production protection technology brain" at the meeting of the national intellectual property survey center of the United States. This is a complex system composed of various technologies. On the basis of the original nine anti fake "black technology", three new technologies, including semantic emotion analysis, business panoramic view and live broadcast prevention and control system, are added to comprehensively cover the transaction link.

By contrast, Amazon's new two anti counterfeiting initiatives this year are obviously inferior. For example, a new project called "Project Zero" allows Brand Company to delete counterfeit products and provide third party lawyers for sellers and accused sellers.

It is reported that Alibaba's latest anti-counterfeiting system has the ability to scan 1 million orders per second, even though it is difficult to find a fake product from Taobao live broadcast of 60 thousand days per day. It is equivalent to finding a bow tie wrong by the host in more than 3.3 Spring Festival Gala, but it is not impossible for the brain with powerful computing power.

After the launch of the "brain protection protection technology brain" system, Alibaba was awarded the "global intellectual property protection and Technology Innovation Award" by Frederick Mostert, chairman of the global luxury law union in April 3rd at the global luxury law summit attended by luxury executives such as Hermes, Chanel, Louis Vuitton and Tiffany.

According to the annual report on intellectual property rights of Alibaba, in 2017 and 2018, Alibaba, under the help of a powerful anti-counterfeiting system, sent a total of 3544 false clues to Chinese law enforcement agencies, helping to arrest 3559 people involved, and destroying 2870 dens, involving an amount of about 12 billion 200 million yuan.

In 2018, 96% of the suspected infringement links were killed on the line, and the number of links dropped by the platform was 67%, 96% of the intellectual property complaints were dealt with in 24 hours, and the number of brand owners' complaints dropped by 32%. In addition, the number of suspected fake goods linked by consumers was reduced by 70%, and the amount of intellectual property infringement cases requested by the administrative law enforcement authorities was reduced by 64%. Only 10 thousand of the 10 thousand orders were suspected fake goods, down 26% from the same period last year.

In addition to continuous investment and escalation of counterfeiting technology, Alibaba's knowledge production protection system was formally implemented in 2018.

Li Xihan, director of intellectual property protection at Alibaba, revealed that in order to provide one-stop services to businesses, rights holders and even the third party in need, Ali has launched a product protection service market, and has launched an original protection plan to solve the problem of small and medium-sized original brand businesses' difficulties in ensuring rights and safeguarding rights. By the end of this year, more than 1000 brands have been settled.

In fact, behind the recent achievements, Alibaba has gone through a period of extremely "darkness". The fake issue on its platform has been one of the biggest obstacles for luxury brands to enter Tmall's platform to enter the electricity supplier.

Due to poor supervision, Alibaba's Taobao counterfeit products have been trading in an extremely large scale. Millions of suspected counterfeit products have been sold on Taobao every minute and every second, ranging from handbags, sportswear, jewelry to auto parts, and the scope of the attack has shocked the world.

In 2008, Office of the U.S.Trade Representative, the US trade representative office, formally placed Taobao, a Alibaba, on the blacklist of "malicious market". The office of the United States trade representative issues a list of notorious markets every year to list the online and physical markets that participate in or promote infringement or counterfeit products. In 2012, the US trade representative office decided to delete Taobao from the blacklist, but warned the Alibaba that it needed to make greater efforts.

In 2015, Kai Yun group's luxury brands Gucci and Yves Saint Laurent jointly filed a lawsuit in the federal court of Manhattan, accusing Alibaba of violating trademark and fraud related laws and regulations, demanding compensation for losses and giving injunctions to defendants. The lawsuit alleges that Alibaba had collusion with manufacturers to produce counterfeit goods and provide services for its sales and transportation.

In May 2016, Alibaba, which was not easy to join the international anti fake alliance IACC, was forced to quit after being unanimously opposed by Michael Kors, Longchamp and other luxury brands. Lee Kors, a long-term legal adviser of Michael Kors, even described Alibaba as the most dangerous phenomenon in the fashion industry.

Since then, Alibaba has begun to face up to the problem of counterfeit goods, closed down a large number of fake and selling businesses on Taobao, and began to cooperate with the major brands to fight against counterfeiting more closely. In order to show its determination to fight against counterfeiting, Alibaba set up the world's first "big data counterfeiting alliance" AACA, released the joint action plan with some 20 brand founding members who first joined, and appointed Matthew Bassiur, the former chief executive of apple, as the chief anti-counterfeiting officer, and added 200 full-time workers to cooperate with relevant government departments to crack down on counterfeiting.

At the same time, AACA is constantly seeking new ways, aiming to innovate and upgrade from the protection of knowledge production to governance. In order to increase the protection of knowledge production, AACA launched many new initiatives last year. For example, in the newly identified project, Alibaba set up special funds, based on the sales clues found in the big data, the joint rights people initiated the purchase appraisal.

With the increasing efforts to crack down on counterfeiting and the continuous growth of luxury consumers in China, luxury brands gradually set aside their prejudices and began to understand and accept the Alibaba that dominates the Chinese online market.

At present, AACA has more than 100 members from 16 countries and regions in the world, covering 12 industries including luxury goods, jewelry, clothing, intelligent equipment and so on. Apart from the first 20 members of Louis Vuitton, SWAROVSKI, Shiseido and earth, the 115 alliance members who also joined AACA include apple, Microsoft, Adidas and Cartire parent group, and UL, a global professional certification body engaged in safety testing and appraisal.

According to the fashion business express, during the three years from 2014 to 2016, only 11 luxury fashion brands, such as Burberry, Rimowa and LA MER La Mer, were settled in Tmall, averaging about 4 per year, but the number doubled rapidly to 8 in 2017. Not only the five largest departments of LVMH, the world's largest luxury goods group, have entered, Swatch group's Tissot, Armani's Armani Jeans, Marni and other brands also announced the inclusion of Tmall's luxury matrix.

In August 9, 2017, Tmall luxury APP Luxury Pavilion was formally launched. Only half a year ago, it attracted nearly 100 thousand million high-end members, including Baccarat, Bonpoint, Givenchy, Guerlain, Hugo Boss, Hennessy and other 50 luxury brands, including heavy luxury to light luxury, spanning clothing, leather goods, cosmetics and watches.

In August last year, Tiffany and Luxury Pavilion, who had been working with Alibaba for the first time, launched their first cooperation with a new flash shop. They started a new Tiffany Paper Flowers Flowers flower series in China, which was pre sold two weeks ahead of the physical store. The average price of products was between 20 thousand and 30 thousand yuan. Some people have pointed out that the cooperation with Luxury Pavilion has great significance for creating Tiffany that has been more than 180 years ago. This is the first time that the brand has released new jewelry through the online platform.

With the endorsement of mainstream brands such as LVMH, Swatch and Tiffany, more and more luxury brands began to cooperate with Tmall in the form of flagship store and virtual flash store. In July of this year, Chanel beauty and Michael Kors, who also expressed their mistrust of Alibaba, also announced that they were stationed in Tmall to open flagship stores. They were seen as another important milestone in Alibaba's conquering of luxury goods.

According to data from consulting firm L2, 26% of the world's luxury brands have entered Tmall's flagship store Tmall, which was 21% last year. HSBC surveyed 2000 luxury consumers and found that 65% of Chinese consumers are willing to buy luxury goods in Tmall.

However, analysts say that behind Alibaba and luxury brand relations, apart from AACA, what is more important is the change of luxury consciousness that Chinese high-end consumer big data and platforms have learned by Alibaba. According to Tmall data, at present, the top luxury goods consumers on Tmall account for nearly 50% of the post-90s generation. Their purchasing power is not much different from that of the 70 and the post-80s. They will also buy expensive jewellery, watches and ready-made clothes.

After deep cooperation with a number of luxury brands, Tmall is deeply aware of the new pattern and trend of upgrading and upgrading of China's consumption. The younger generation of consumers is rising rapidly, luxury consumption has already appeared inflection point, and about 600000000000 overseas consumption is returning to the online consumer platform represented by Tmall. The price is no longer the core of physical consumption, and experience and mental consumption are more and more meticulous.

It is learnt that almost every luxury brand now requires Tmall to create products and technologies at the same time. For brands, Tmall is more meaningful than sales growth for the acquisition of young users and the deep operation of members. In June 25th, Tmall released the "flagship store 2 upgrade plan", which will open to all Tmall businesses before the double 11 this year. Through the upgrading of tools and products, it will help brands to get through online and offline barriers and better operate consumers, so as to sustain high-speed growth.

In order to attract more overseas brands, Tmall International launched the first English website earlier this month to simplify the process of brand entry. The English website details the business scope of Tmall international and provides various solutions for overseas businessmen who plan to enter the Chinese market. At present, Tmall international has more than 20000 international brands from 77 countries and regions, covering over more than 4000 categories. In addition to English, Tmall international also plans to set up other introductory languages for its website, including Spanish, Japanese and Han Wen.

What it means is that Amazon has officially closed down the third party business in China in July. Gu Wei, vice president of Amazon China, said that Amazon will focus its resources on cross-border online shopping in the future. Another US retail giant WAL-MART also sold its Chinese e-commerce business to Jingdong in 2016.

No matter what industry, it is an eternal law to not advance or retreat. In this era of winner take all, Tmall has quietly changed the way of luxury brands entering China.