B2C (business-to-customer) companies wanting to sell goods and services in the Chinese market cannot beat Tmall for market penetration. This popular website sees traffic in excess of 700 million users monthly, and hundreds of millions of products are purchased and sold. These goods are locally manufactured or from abroad.
If you have been thinking about using Tmall for your business, here are five things about it that will get you on board and raring to go:
Tmall’s place in China’s e-commerce market
When you think about e-commerce in China, the first name that comes to mind is Alibaba. This leviathan online retailer is entrepreneur Jack Ma’s brainchild. Within the Alibaba offering are two platforms: Taobao for consumer-to-consumer sales and Tmall for business-to-consumer retailers. Created in 2008, Tmall allows brands to sell their goods throughout mainland China. Tmall Global came into being in 2014 and encourages substantial international brands to enter China’s retail market.
Fortunately, companies do not need to work alone to launch and operate on Tmall. According to WPIC Marketing and Technologies, hiring a Tmall agency partner helps navigate the platform and generate more sales.
When setting up a Tmall store, a retailer gets to choose a store format. Tmall has three. A Flagship Store is reserved for brands bearing a trademark. The store owner must be officially appointed by the relevant brand and hold the necessary authorizing documentation.
A Specialty Store is for merchants with authorization from a brand to sell products as a distributor without geographical limitations within mainland China. A Monopolized Store is an option for merchants with two or more brands within one of Tmall’s product categories. Merchants may only own one Monopolized Store in each product category.
There is bound to be an option that best suits your business when launching sales on Tmall’s platform. Provided you adhere to the platform’s paperwork requirements during the applications process, setting up a Tmall store should not be too challenging.
Access to Chinese customers
According to the adage, one must do what the Romans do when one is in Rome. The same applies when developing an e-commerce sales strategy in the Chinese market. Instead of reinventing the wheel when it comes to selling platforms, use Tmall’s reach and market penetration strength.
Tmall is the first place most Chinese people go when looking for products online. Not having yours on such an established platform could lose you access to millions of potential customers.
Alibaba’s other platform, Taobao, is popular among consumers buying and selling to others. However, Taobao is also a useful tool for Tmall store owners. Their Tmall store is promoted more than those on other platforms. Therefore, someone searching for a product in the same category as yours will see a promotion for your Tmall store. With a few clicks, that customer will be in your store browsing its range.
This promotion technique nets Tmall stores millions of dollars in sales annually. As customers are already interested in your product by virtue of their Taobao search, the conversion rate from browsing to buying is high.
An e-commerce venture on any platform is only as strong as the analytics it gets. Tmall has outstanding analytics tools that allow store owners to examine metrics such as sales and conversion rates. This is data that can be used to make constructive, strategic decisions about marketing and sales.
By perfecting your Tmall store, you prepare it for growing sales numbers, making the deposit, annual sales fee, and sales commission payable to Tmall well worth the investment. Percentages and amounts may vary from one product category to another.