If the name ‘Alibaba’ wasn’t the first word came to your mind when talking about ANZ to China e-commerce, the missile must be deflected from its trajectory.
Years before ConnectX was appointed by the Alibaba Group as the only official partnership association in ANZ region for brand, product and Taobao online shop incubation, now trading as ANBA (Australia-New Zealand Buyers Association), we’ve already put our trading focus on the Taobao Global platform as the essential and most cost-effective marketing and sales channel for developing the Chinese market.
By 30/06/2019, the monthly active user number in Alibaba’s Taobao, Taobao Global and Tmall e-commerce platforms reached to 674,000,000. More importantly, over 70% of the increased users were from China’s 3rd, 4th and 5th tire cities. In another word, 50% of Chinese people were online shopping through Taobao, Taobao Global and Tmall platforms every month.
Back to ANBA and how we assisted our clients in developing the Chinese market from 0 to 1, we simply followed our ‘3-Phase Theory’. Phase 1: Build up brand endorsement and sales channel through Taobao Global. Phase 2: Work with distributors and look for a Tmall flagship store. Phase 3: Orders, orders and orders.
Take our client Cherub Rubs as an example. Cherub Rubs is a certified organic skin care range founded in 2004 that truly protects and cares for an infant’s delicate skin, helping even troubled skin conditions such as dry itchy skin, as well as red, chapped skin.
We worked with Cherub Rubs since Oct 2018 and their story began to be told in Taobao Global, between the Daigous in Australia and some of the Chinese social media platforms. We completed Phase 1 by mid-2019 when more and more Taobao Global shop owners (we call them Taobao Buyers) started selling the products. We started to contact our connections in mainland China and assigned the Sole Distributor to a company in Hangzhou, Zhejiang.
After more than half a year of Phase 2 operation, we have now successfully launched Cherub Rubs Tmall flagship store and JD flagship store with the distributors and the products were sold on Taobao Global, Tmall and JD platforms. Consistence orders are placed quarterly and the factory is running never as busier before.
I’d like to finish my article by pointing out 3 critical factors when developing the Chinese market.
- Developing the Chinese market should be an internal motivation. There were no successful stories like trying the Chinese market out for a few months and see how it goes.
- Specially when talking with the big and successful brands you would be certain that there were no sudden success.
- It is a 1.4 billion people’s market with millions of international brands.
President of ANBA,
General Manager of ConnectX
Stay Young, Dream Big.