In China, e-commerce is a bloodsport!

In China, e-commerce is a bloodsport!

Strange story about ecommerce in China !

A hot mess . This is what you will see on the first page of the very first e -commerce site in China. There is a bewildering series of banners , rows of links , icons touting promotions and discounts. It is a shock user interface that seems to bring out the worst in web design .
And it was designed that way.
"They want this atmosphere of shopping ," says Yu Gang, president and founder of Yihaodian , a leading online retailer in China. Why Chinese online sites look "chaotic" What you should know about business in China China a difficult market for online businesses
"Our consumers as a page that is very crowded , busy with lots of links so that they can open many windows at the same time . "

source : http://edition.cnn.com/2013/10/01/world/asia/lu-stout-china-e-commerce/

CEO of e -commerce giant Alibaba

 China technology investor and former CEO of e -commerce giant Alibaba , could not agree more : "When I worked for Alibaba, I cleaned the homepage on an international level , it only works not . ". Before the next IPO Alibaba, I had the full download from insiders e -commerce in China for CNN " on China. "
They tell me that in , crazy crazy world of mainland e -commerce, rules of the road in the West do not apply simply .
Superlative statistics are well known : China has the largest Internet population in the world with over 591 million users . China is the second largest market for online retail world , pointing to $ 210 billion in sales in 2012. Taobao, the e -commerce engine to Alibaba consumer benefits more important than eBay sales and Amazon combined . The magnitude of the e -commerce market in China is attractive . But it is also difficult to crack due in part to the lack of service delivery across the country question. "The logistics industry in China is highly fragmented , with people such as UPS and FedEx in China is still unable to provide national coverage and quality service ," said Yu out .

So many Chinese e-commerce companies  ...

So many Chinese e-commerce companies , including Yihaodian provide their own last mile delivery to reach customers with a network of mopeds and motorcycles.
Another point of distinction is the highly social nature of their clientele.

-" Social media is a big in China ," said Oliver Rust, senior vice president at Nielsen .

-"Fifty percent of consumers in China are leveraging social media to learn about new products . " 

-"Retailers need to engage in the social conversation and interact with tech-savvy consumers in China are becoming more open to increase e -commerce spending. " 

 And it is not just open a Weibo account registered . Online chat between customers and merchants is standard instant messaging integrated in almost every platform e -commerce .
But do not let all the talk of the sympathetic fool you shop . The company is brutal.
When David Wei was the head of Alibaba , he led the offensive to weaken and defeat eBay in China. "When Taobao fought against eBay , we identified ten things eBay made ​​in China - and we did it 100% differently ," he said.

Ebay ? 

So while eBay charged for his tuition, Taobao offered no tuition fees at all .
While eBay has used an auction model to classify lists , Taobao has used a model of retail classify fresh atop lists.
And while eBay limited between merchants and customers communication , Taobao has created an instant messaging tool to encourage communication between buyers and sellers.
Ebay finally closed its main site in China.
" The first ten things, the most important thing was eBay , winning their elements, their winning recipe in the United States , in fact become the poison killing their business in China ," said Wei .
So if you 're a brand manager , investor or entrepreneur naked eye the market, observe with an open mind and proceed with caution . In China , e-commerce is very competitive .

http://ecommerce-china.blogspot.com/

Ecommerce for the start-up fashion in China

Ecommerce for the start-up fashion in China

Chinese e-commerce goliaths like Taobao provide a powerful platform for start-up fashion and apparel e-tailers


The year 2013 will be remembered as one in which China has surpassed the United States as the largest market for digital retail world,  writes the author of a report published by Bain & Company,

564 million Internet users in the country and 242 million e- customers. 

 " Retail online already totaled 6 percent of all purchases ,"

Meanwhile, in the clothing sector , e -commerce sales represent an even larger share of the overall cake .

Approximately 13 percent, according to iResearch estimates .

But for most Chinese e-commerce is dominated by a few domestic giants, including Taobao, VANCL , M18 and Jingdong . In fact, the top five players control 65 percent of the online retail market in China, according Workshop Paribas.

In fact , Taobao alone - which consists of Taobao market, a consumer survey which is China's response to Ebay and Tmall , a site selling business-to -consumer on which brands can open and manage their own e-commerce stores - more than 50 percent of all retail spending online .

Faced with this reality , are trademarks of medium-sized retailers and sentenced to nibble at the edges of the growth of the party e-commerce in China?

Chinese society casual Metersbonwe recently failed to launch a platform independent e -commerce , despite investing millions of dollars in the initiative. Meanwhile, Mecoxlane , clothing once pure play e-tailer and accessories plans to launch a disconnected network of 400 stores to survive.

Indeed, many Chinese fashion and clothing brands have their options of e -commerce as a binary : launch with one of the key players, or wait . Some have decided to wait for a more favorable market environment , but the vast majority of fashion retailers have lined up with the giants of Chinese e- c0mmerce - positive results .

Being on the big sites like Tmall , which hosts more than 50,000 branded stores, allows retailers to tap into the eastern several million daily visitors site. " On 11 November 2012 a special shopping day like Cyber ​​Monday in the United States ,
Tmall had over 250 million visitors, almost the entire population of online shopping in China ," said Florence Shih , responsible international public relations Taobao Group .

At the end of the day , sales sales through Taobao and Tmall market had exceeded $ 3 billion .

By comparison , sales of the entire United States on Cyber ​​Monday in 2012 were less than $ 2 billion . In addition, the launch platform scale as Taobao, with their millions of users, is certainly a good way for brands and retailers to increase knowledge of consumer behavior online .

In fact, it turns out that instead of stopping the growth of e-commerce in China Goliaths offer many opportunities for highly profitable business online fashion medium to flee on their platforms forms , as evidenced by the success of companies like Justyle and Angel Citiz .

Justyle (简 时尚 品) 

www.justyle.org/‎
Founded in 2007 by Xu Qun with English partner Dr. Martin Shoben Research Center of London fashion , Justyle designs and sells clothing menswear for the mass market of China. With charm and vision, Mr. Xu , who goes by the nickname " Runzhi " ( borrowed form Chairman Mao himself) , has raised $ 15 million in investments Zhixin Capital, Balderton Capital and DFJ .

The company has no physical or traditional e -commerce stores. Instead , every day on his Tmall shop Justyle grows a wide range of fashion basics such as jackets . Prices are low - about 100 RMB ($ 16) for a T- shirt or RMB 300 for a jacket - but the volumes are high, up to 50,000 units a bestseller . With about 300,000 frequent buyers Justyle had sales of $ 80 million in 2012 and an annual growth rate of 400 percent.
But this has not been easy for Justyle . When BoF met Mr. Xu Jiaxing , last winter , optimizing its supply chain is a major concern . Indeed, Justyle struggled to plan purchases of fabric and thread correctly to match the extent of consumer demand .

Citiz Angel (天使 之 城)

shop217225.taobao.com/
 In 2004 , the founder Li Jing , also known as Miss "A" left a job in an insurance company to launch a fashion boutique on Ebay , which quickly gained popularity. To avoid increasing costs Ebay , Jing moved the store to Taobao market and today 's women's fashion brand online Angel Citiz is one of the best interpreters of Taobao , and in 2010 and 2011 , was voted a favorite customers.

From 2006 to 2009 , sales of Angel Citiz increased steadily at a rate of 300 percent per year. The success came from the selection of boutique products - from Japan , Korea and Europe - which were otherwise difficult to find in China. Miss "A" also modeled all products Angel Citiz itself, which was not only profitable, but makes for a funky shopping experience and distinctive.

In 2012, Angel Citiz income reached $ 38 million , and in the search for greater growth , Miss "A" sold 80 percent of shares in the company for $ 16 million to Liebo , another another fashion industry successful online which began modestly on Taobao Marketplace. The company started with an initial investment of RMB 1000 ($ 163), has since gone on to raise venture capital funds Matrix Partners and Sequoia Capital , and now leads annual sales of 500 million RMB


http://ecommerce-china.blogspot.com