雅安| 临沂| 兰州| 大同县| 济源| 资中| 聂拉木| 淄川| 青田| 阿克苏| 永吉| 太仆寺旗| 青阳| 樟树| 弓长岭| 荔浦| 博兴| 灵山| 岳池| 剑川| 延安| 锦州| 南沙岛| 鸡东| 赤壁| 绥中| 嘉荫| 繁峙| 温县| 林甸| 柏乡| 肇东| 乌兰| 香港| 新晃| 柳河| 焉耆| 于都| 阜康| 辽中| 崇礼| 呼伦贝尔| 定安| 富县| 富县| 普宁| 叙永| 江油| 冠县| 铅山| 绥德| 钦州| 赵县| 普宁| 漳州| 古冶| 江川| 汶川| 城步| 黑山| 平昌| 牟平| 同安| 长兴| 电白| 玉溪| 和顺| 普宁| 四方台| 察布查尔| 华安| 洛阳| 九江县| 集安| 伽师| 独山| 南宁| 贵南| 迁安| 夷陵| 察哈尔右翼后旗| 丽江| 松滋| 龙凤| 什邡| 吉隆| 确山| 宜丰| 江苏| 班玛| 高台| 云安| 澄迈| 昌邑| 酉阳| 荔波| 四会| 宝清| 社旗| 永平| 沅江| 盱眙| 石城| 建水| 张家界| 青阳| 印江| 绥阳| 西乌珠穆沁旗| 山海关| 水富| 承德县| 西宁| 肃南| 道县| 云霄| 金华| 上蔡| 永福| 怀集| 胶南| 三亚| 宁陕| 灌南| 武强| 开江| 丘北| 库伦旗| 浦口| 长安| 娄底| 临沭| 遵义县| 马祖| 霸州| 融安| 双辽| 红古| 湛江| 娄底| 金山屯| 黄陵| 丹凤| 阿拉尔| 望城| 桦甸| 茶陵| 蛟河| 富川| 铁岭县| 沁源| 旅顺口| 五家渠| 涠洲岛| 铜鼓| 普格| 敦化| 苍梧| 阜平| 新和| 宁晋| 库伦旗| 汉中| 咸阳| 石嘴山| 垦利| 闻喜| 陵川| 叙永| 阿拉尔| 河北| 六安| 玛曲| 怀仁| 讷河| 贵阳| 胶州| 阿巴嘎旗| 宁都| 高安| 双桥| 綦江| 元阳| 夷陵| 溆浦| 四方台| 偏关| 高安| 涪陵| 邯郸| 宝鸡| 进贤| 墨竹工卡| 彰化| 泗阳| 福安| 庆云| 龙游| 田东| 浦江| 赣榆| 榆社| 元谋| 南木林| 湖口| 阜新市| 大理| 麻栗坡| 洪湖| 江西| 柳林| 天津| 玉田| 永安| 岫岩| 宝山| 资中| 巴马| 恩平| 新平| 郴州| 广昌| 磁县| 惠东| 珠海| 红古| 新竹市| 东明| 沧州| 五台| 个旧| 巴青| 东丽| 滕州| 郎溪| 正阳| 城阳| 溧水| 修水| 南乐| 延川| 攀枝花| 顺德| 婺源| 衡山| 浮山| 香河| 徐州| 巴中| 大方| 攀枝花| 鄯善| 易门| 南皮| 雄县| 北辰| 台中县| 当涂| 祁县| 畹町| 皋兰| 浮山| 连州| 阳信| 百度
Global EditionASIA 中文双语Fran?ais
Business
Home / Business / Companies

Alibaba banking on lower-tier cities

By He Wei in Shanghai | China Daily | Updated: 2019-09-15 07:49
A visitor passes an advertisement of Juhuasuan, a group-buying and flash-sale platform of Alibaba, at an industrial expo in Nanjing, Jiangsu province. [Photo provided to China Daily]
百度 2015年以来,完美世界、巨人网络、盛大游戏(现更名为盛趣游戏)、空中网、创梦天地、中手游都已从海外退市。 百度 第七代经典iPad新品亮相,尺寸由原来的英寸扩大到英寸,也是当天被介绍的首款硬件产品。 百度 他说,这种担忧也反映在打车服务公司Uber和Lyft的投资者需求均低于预期——这两家公司的估值自上市以来都有所下降。 百度 黄洲镇 百度 解州镇 百度 津塘公路

E-commerce giant pump primes Juhuasuan to cash in on abundant opportunities

Times are changing fast at e-commerce behemoth Alibaba Group Holding Ltd. While store-openings from a range of global brands like Burberry to Ferragamo were the norm earlier, they have since been replaced by deals, bargains and growth in lower-tier cities.

Against flattened economic growth and brutally aggressive competition, Alibaba is now giving unprecedented priority to Juhuasuan, its group-buying and flash-sale platform, repositioning it as the top destination for consumers from smaller cities and townships.

The internet giant said recently that it will host a Super Bargain Day from Sept 1, halving prices for 1 million merchandise and giving out cash dividends, coupons and other perks. Unlike the more reputable Nov 11 annual sales event, the 10-day event is targeted at good-quality budget items.

"We see massive growth in lower-tier cities this year via the Juhuasuan platform. This is the engine fueling future growth and a bluesea market-meaning opportunities abound for each and every industry player to take a share," said Liu Bo, general manager of Juhuasuan.

Media publications and industry analysts often categorize Chinese cities into tiers, defining them based on population, gross domestic product and other criteria. Tier-one cities normally refer to super metropolises like Beijing and Shanghai.

Alibaba's strategy to penetrate into lower-tier markets has reaped some early gains. In the quarter ending June 30, over 70 percent of increased annual active consumers came from less developed markets. The company attributed the achievement to initiatives to cater to a broader user base, such as "using simpler interfaces for first-time or less-frequent users".

Realizing the potential, Juhuasuan has announced a slew of plans to rev up services. On the supply side, the platform aims to help manufacturers digitize their factories through consumer analytics and the internet of things technology. Liu said he hopes such efforts will foster 100,000 brands, create 1 million sought-after items and nurture 10,000 digital plants.

Another goal is to incubate more than 1,000 industry clusters worldwide. To this end, Juhuasuan plans to establish a new supply center, bridging upstream farmers and manufacturers with e-commerce merchants, while designing promotional campaigns to help them sell to consumers.

For instance, data and analytics helped tweak designs for Belle, whose 12,000 pairs of macaron-colored lace-up leather shoes, a co-creation with Alibaba, were snapped up in days during a midyear sales event.

"Over half of the buyers purchasing a pair came from third-tier cities and below," said Li Liang, executive managing director at Belle International. "Data-backed customization helps revamp the entire product cycle from design to manufacturing, whereas new marketing activities like livestreaming helped better reach out to customers."

To glue users to its platforms, Alibaba pledged to devote more resources to social media platforms, from popular microblogging service Weibo to short-video app Douyin and Kuaishou, as digital avenues for product launches and recommendations.

"We are seeing this powerful, secular force driving Alibaba revenue and shares, especially the population from lower-tier cities, which are just opening up," said Hari Srinivasan, senior research analyst at Neuberger Berman. "This can grow double digit for the next decade, so there is a lot of demand to go around."

Incentives for product sharing among family and friends will also be put in place, while no details were disclosed yet. This is a clear take on highflying archrival Pinduoduo, which leverages the bulk of 1 billion users of WeChat-the country's dominant messaging app-for group-buying value-formoney products.

"To deepen its penetration to lower-tier markets, Alibaba's unique strengths are its brand value as well as its army of well-established sub-platforms, and an entire ecosystem from logistics to financial services," said Cao Lei, research director of China E-Commerce Research Center.

In a 2018 report, Morgan Stanley wrote it expects consumption in China's lower-tier cities to triple to $6.9 trillion by 2030. The investment bank also found that consumers in smaller cities are catching up with tier-one and tier-two markets in valuing quality over price.

"In this context, even as social network seems to be the missing piece of the puzzle for Alibaba, the vast consumer market is not necessarily a zero-sum game," Cao said, adding that various players can expand the pie together using respective growth strategies.

Top
BACK TO THE TOP
English
Copyright 1995 - . All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to China Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.
License for publishing multimedia online 0108263

Registration Number: 130349
FOLLOW US
 
惠远镇 湖上乡 苏源颐和美地 高坪区 田夫仔 第四监狱 勐糯镇 兴城路街道 翻新
南开二纬路聚英里 燕丹顺天通市场 甘家庄 培新 扬中县 富城乡 南岸明珠 浒墅关镇 东张排
茂春 西客站 长安二零五所 阚家院子 铁血凯 北团镇 锦绣大道 五龙山 朝阳公园东门 克头村
https://www.whr.cc/bbsitemap.htm