Giving international brands a shot at selling into the largest market on Earth, during the largest online festival in the world, Tmall Global is opening up to 2,600 new international brands and incubating more than 2,000 in-demand overseas products, each with a GMV surpassing RMB 1 million, for 11.11.
According to Tmall Global, the number of new brands launched on the platform increased 125% and their paid GMV grown 113% year-on-year, respectively, from April to end of August, 2020. More than 200,000 products debuted from January to March this year.
“Due to the COVID-19 travel restrictions, there is significant growing demand for imported goods amongst Chinese consumers,” says Alvin Liu, President of Tmall Import and Export. “International brands need a trusted channel for reaching Chinese consumers, while domestic shoppers are looking for ways to buy more quality products from abroad. Our capabilities in consumer analytics, logistics, channel management and marketing support are making Tmall Global the premier meeting place for this activity.”
Livestreaming will be key
Livestreaming is a key channel for engaging Chinese consumers. Tmall Global has introduced an upgraded strategy to set up livestream studios in bonded warehouses and regional industrial parks to build shopping excitement.
Tmall Global already has livestreaming studios in a bonded warehouse in Hangzhou, where hosts interactively share their experience on imported products with their viewers. Currently, more than 1,000 overseas brands have participated in this initiative and generated more than RMB 100 million in revenue. The studios will be expanded to another 10 cities in China, including Hainan and Shanghai, in the upcoming year.
In addition to domestic and overseas KOLs, Tmall Global will work with leading celebrities and merchants to host livestreaming sessions in bonded warehouses. These sessions will include subsidies and promotions, such as offerings from Alibaba’s value-for-money branded product platform Juhuasuan, to further fuel import consumption.
This latest move is part of Tmall Global’s “Three New” strategy launched in September 2019. New categories, new brands and new products, collectively known as the “Three New,” are being featured on the platform to provide domestic consumers with greater shopping options.
The strategy has had an impressive impact. New products launched on Tmall Global surged by 130% year-on-year in the last financial year.
Also part of the announcement is the rebranding of Tmall Overseas Fulfilment (TOF) as Tmall Global Discovery Mall, reflecting a more customer-centric experience. Shoppers can now browse the platform to discover new brands and categories and purchase imported goods with ease.
Launched in 2014, Tmall Global is an extension of Alibaba Group’s Tmall platform that addresses the increasing Chinese consumer demand for international products and brands. It serves as the premier platform through which overseas brands and retailers reach Chinese consumers without the need for physical operations in China.