Marketing

How German retailers benefit from it

[ad_1]

LnRiLWZpZWxke21hcmdpbi1ib3R0b206MC43NmVtfS50Yi1maWVsZC0tbGVmdHt0ZXh0LWFsaWduOmxlZnR9LnRiLWZpZWxkLS1jZW50ZXJ7dGV4dC1hbGlnbjpjZW50ZXJ9LnRiLWZpZWxkLS1yaWdodHt0ZXh0LWFsaWduOnJpZ2h0fS50Yi1maWVsZF9fc2t5cGVfcHJldmlld3twYWRkaW5nOjEwcHggMjBweDtib3JkZXItcmFkaXVzOjNweDtjb2xvcjojZmZmO2JhY2tncm91bmQ6IzAwYWZlZTtkaXNwbGF5OmlubGluZS1ibG9ja311bC5nbGlkZV9fc2xpZGVze21hcmdpbjowfQ ==

=

Chocolates, face masks, luxury watches, dietary supplements: there is a wide range of products that German and European brands sell on online platforms in China. High quality standards, innovation in combination with tradition and agile action are the success factors.

Chinese online platforms: Have you ever bought products online during a live stream? What is still a rarity in Germany has long been established in China. Numerous German companies are already using such technologies to attract digital-savvy Chinese customers – to the Alibaba platforms that’s 700 million per year – to bring their products closer.

The market is huge

There are suitable platforms and features for all product categories – from classic online shopping and direct interaction with Chinese customers to 3D tours of virtual shops. on Tmall Global, Alibaba Group’s cross-border e-commerce platform, more than 26,000 international brands from 84 countries are already using these options, including DM, Cosnova and Beurer. Breitling sells its watches through the B2C luxury platform Tmall Luxury Pavilion. Each brand designs and controls the virtual stores, including their own corporate identity, pricing, marketing and customer service.

Products from Germany – all the rage in China

The German drugstore company DM-Drogerie-Markt has had its own flagship store on Tmall Global since 2017. Well-known own brands such as Balea, Alverde, Mivolis, Balea Men and Sundance are available there. DM cooperates with Chinese influencers, so-called Key Opinion Leaders (KOLs), who explain and test products on Alibaba’s live streaming platform Taobao and thus bring them closer to their followers. “The beauty and care segments in particular are very popular in China,” says Kerstin Erbe, DM Managing Director responsible for the Product Management department. Austin Li, also known as “Lipstick Brother” and one of the most well-known KOLs in China, recorded 50 million viewers during the past 11.11 Global Shopping Festival – during a single stream for the Balea Day and Night Cream.

It is important for international brands to react specifically to cultural differences and peculiarities, such as special holidays in China. The German cosmetics brand Cosnova, which has had its own flagship store on Tmall Global since April 2019, uses this particularly cleverly. Cosnova started with a range specially tailored to Chinese customer needs, which has been continuously expanded and optimized ever since. With live streams and local influencers, Cosnova has built up a considerable following. It was only in October 2021 that almost a quarter of a million new customer visits were generated with the help of live streaming, also with Austin Li. In addition to addressing new customers and the established payment and logistics processes on the Alibaba platforms, Cosnova founder Christina Oster-Daum appreciates β€œthe possibility that we can target interested consumers who already know our brands and are eagerly awaiting them. ”

Chinese online platforms sell health – with German quality products

In general, “German engineering” is still the focus for German products, especially in the health sector. The Tmall Global Flagship Store of the Ulm-based family company Beurer, which specializes in health and wellness products, opened in 2015. For Beurer, the journey to China began with a product and price strategy tailored to the Chinese market – and the Global Shopping Festival on November 11. This highlight of the Chinese shopping calendar breaks all records every year. In 2020, German brands have on 11.11. Goods worth one billion euros sold to China via the Alibaba platforms.