Tmall Global has said that it will expand its efforts to help international brands reach the China market, aiming to bring 1,000 new ones onto its e-commerce platform in the coming 12 months.
The brand-incubation plan, announced through the livestreamed Tmall Global’s Global Partners Summit, is under the auspices of the $200 billion, five-year-import program the Alibaba platform unveiled at the first China International Import Expo in Shanghai in 2018.
Through the incubation centre, Tmall Global is not only stepping up its already-successful brand-registration process, it’s also offering a series of tools, incentives and campaigns to help the brands flourish in China.
“We’ve seen more and more brands choosing Tmall Global as their favored platform to tap into the China market. These brands quickly see the importance of the digital analytics we provide to better understand the Chinese consumers’ preferences and develop relevant strategies for their online business – and even to bolster their offline business,” says Alvin Liu, President of Tmall Import and Export.
To speed up the onboarding process, Tmall Global’s incubator program is rolling out an English-language customer-service and self-service registration system for brands, and the platform will ensure new storefronts will open within 30 days of registration.
For brands new to Tmall Global – defined as having registered in the past 12 months – the incubation center will serve as a free bridge to sell to the China market. China’s middle class, already bigger than the entire U.S. population, is set to double over the next several years, and with its interest in lifestyle upgrades, is an attractive market for overseas brands. Tmall Global’s aim is to help each new brand reach a GMV of RMB 1 million within their first 90 days in the incubation program.
Tmall Global will provide certain “assignments” to accelerate the enthusiasm of brands in the incubation program. Brands which hit pre-agreed targets will be upgraded to a higher level and be offered added benefits, such as commission fee reduction, and opportunities to participate in special events and programs.
Also, on the 21st of each month, top-performing brands in the incubation program will have access to livestreaming campaigns set up specifically for them and promoted on the Taobao Live channel. Other features of the program include Tmall Global’s marketing support during high-profile campaigns, such as Super Import Day.
Tmall Global last year piloted the incubation program prior to its wider rollout. Top sellers were in the cosmetics, medical care and personal care product categories, including brands such as Fenty Beauty, DPC and Brandfree.
According to Tmall Global, more than 25,000 brands from 92 countries and regions have come onto the platform. Over 80% of them are entering the China market for the first time.