www射-国产免费一级-欧美福利-亚洲成人福利-成人一区在线观看-亚州成人

US EUROPE AFRICA ASIA 中文
Business / View

Luxury brands face the uphill e-commerce climb

By Adam Xu (China Daily) Updated: 2015-12-17 11:09

The Singles Day shopping event this year recorded 91.2 billion yuan ($14.19 billion) in sales on Tmall, signifying the undeniable development of e-commerce. For a considerable period of time, Taobao was the symbol of China's e-commerce and viewed as the Chinese version of eBay among foreigners. It was regarded as a low-end player in the customer-to-customer market. Western brands used to consider China's e-commerce channels a sewer for disposing discounted products and dumping inventories.

That is true to some extent: Consumption capacity and affordability in e-commerce are still limited despite recent growth. Top brands have been prudent in entering into China's e-commerce, especially in collaborating with Alibaba over the past three to five years. Today, with China's e-commerce market booming, Western brands, including luxury brands, have begun to rethink their e-commerce strategies in China's market.

Over the past three to five years, growth in China's e-commerce has impelled Western brands to think differently.

They're also looking at China's e-commerce market differently because of the end in growth for luxury brands after the nation imposed its austerity measures on lavish spending and implemented its anti-corruption campaign. Since then, China's roaring e-commerce has appeared to be a lifesaving straw.

These luxury brands have also been confronted with tremendous challenges in expanding their offline sales. Increasing rent and labor costs and the reckless expansion of shopping centers have led to marginal effects on top line growth.

Tmall's success and Alibaba's US listing have led Western brands to change their perception of Chinese e-commerce, particularly its astounding size and growth rate. The 57.1 billion yuan in sales for Tmall on Singles Day last year is comparable to the offline sales numbers for the Black Friday event in the United States in 2014. But the astronomical 91.2 billion yuan in sales for Singles Day this year has rocked the retail industry around the world.

Western brands must also think about the post-1980 and post-1990 generations who have become the main online consumer group in China. Their dominance of this market can be seen in the apparel business, with growth rates of entry-level luxury brands taking the throne from cheaper brands that used to make up the majority of e-commerce sales. This consumption capacity is getting progressively closer to the price range offered by luxury brands.

Through e-commerce channels, these two generations make purchases and deepen their knowledge of certain brands.

Nevertheless, many top Western brands have a vague understanding of China's e-commerce, which is why they find it to be important yet difficult. Many have no idea how to get started. The feeling of insecurity haunts many executives at many multinational corporations and top brands who have attached great importance to Chinese e-commerce. What's the next step?

Several years ago, a number of luxury brands dipped their toes into different markets. None chose China. Today, a few luxury brands are looking to work with Tmall.

But which type of brand is better suited for starting an e-commerce site? Although prices in the Chinese e-commerce market are rising fast, they are still relatively low. To put it simply, lower tier brands find it easier to get into e-commerce, while prestige brands need time to cultivate their e-commerce markets.

Uniqlo and Decathlon are two good examples. They are both successful in China and their offline retail experience is superb. The two brands define their products as populist and high-quality, targeting various consumer groups. Uniqlo ranked atop the apparel industry for Singles Day 2015.

Due to their limited consumer group and high pricing, luxury brands need to find their starting points to find and cultivate e-commerce customers.

The author is a Shanghai-based partner with Strategy&.

Hot Topics

Editor's Picks
...
主站蜘蛛池模板: 91精品国产免费久久久久久 | 欧美片欧美日韩国产综合片 | 国产呦系列 | 国产精品合集久久久久青苹果 | 美女黄网站视频 | 韩国三级大全久久网站 | 黄色片亚洲 | 精产网红自拍在线 | 国产一级aaaaa毛片欧美 | 99视频精品全国免费 | 国产小网站 | 美女张开腿给男生桶下面视频 | 国产亚洲自在精品久久 | 欧美一级纶理片免费 | 婷婷色九月综合激情丁香 | 在线观看国产情趣免费视频 | 99久久国产综合精品五月天 | 欧美一级片免费 | 欧美成人一级视频 | 日韩性色 | 美女视频大全视频a免费九 美女视频大全网站免费 | 免费三级网| 精品韩国主播福利视频在线观看一 | 视频二区在线观看 | 99在线观看巨臀大臀视频 | 欧美精品一区视频 | 特级毛片| 亚洲精品国自产拍在线观看 | 男人天堂网在线 | 成人看片黄a在线观看 | 国产毛片一区 | 欧美一级久久久久久久大 | 在线观看国产日本 | 怡红院亚洲怡红院首页 | 国产视频久久久久 | 国产福利微拍精品一区二区 | 日韩国产成人资源精品视频 | 免费被黄网站在观看 | 国产精品yjizz视频网一二区 | 99视频国产精品 | 国产丶欧美丶日韩丶不卡影视 |