China's E-Tail Landscape: What's the Recipe for Success?

  |  May 31, 2013   |  Comments   |  

McKinsey China forecasts that e-tailing could reach $650 billion by 2020.

China is expected to surpass the U.S. in e-commerce spending for the first time this year and the country is expected to spend $265 billion in 2013, according to a retailing report. McKinsey China also forecasts that the online retailing (e-tailing) industry could reach $650 billion by 2020.

At SES Shanghai, Eddie Choi, executive director at Milton moderated a panel with Angela Au-Yeung, digital commerce director from Bleum Commerce and Lawrence Wang, TedtoChina director and former global digital manager at Lee Kum Kee on this topic.

The discussion explored various issues:

  • Should a brand open a Taobao store or set up a branded e-commerce site in China?
  • What are the challenges of having a separate digital marketing and e-commerce team within an organization?
  • Does social really drive commerce in China?
  • How does mobile play a role in China's e-commerce landscape?

Choi's insights to the panel discussion below:

Brands should adopt Taobao for their e-commerce development since it is a one-stop shop, less technical barrier. Besides, a brand should own its owned asset on Taobao, otherwise it will lose the property to the resellers who sell the same brand and product.

However, opening a TMall store has its limitations, such as having control over look and feel, and most importantly, the analytics is not comprehensive.

Mobile plays an important role but it's not for all product sectors. Products with presentation that fits into the mobile small screen will have better results. For example, cosmetics works better than apparel and fashion.

An e-commerce team within an organization structure can either partner with digital marketing or sales units. The latter tends to give better performance in terms of the return of the business.

Social may not directly contribute to e-commerce transactions but it develops influence toward the end result throughout the buying journey.

Subscribe to ClickZ Asia to receive your weekly dose of the region's latest trends, tips, and insights straight to your inbox.

ClickZ Live Toronto On the heels of a fantastic event in New York City, ClickZ Live is taking the fun and learning to Toronto, June 23-25. With over 15 years' experience delivering industry-leading events, ClickZ Live offers an action-packed, educationally-focused agenda covering all aspects of digital marketing. Register today!

ClickZ Live San Francisco Want to learn more? Join us at ClickZ Live San Francisco, Aug 10-12!
Educating marketers for over 15 years, ClickZ Live brings together industry thought leaders from the largest brands and agencies to deliver the most advanced, educational digital marketing agenda. Register today and save $500!

ABOUT THE AUTHOR

Adaline Lau

Adaline Lau, ClickZ Asia editor, oversees day-to-day editorial operations covering digital marketing from search to social media, mobile to analytics in the region. Before ClickZ, she was senior reporter at Marketing Magazine and has worked as a journalist for The Singapore Marketer and Asia Pacific Broadcasting. Connect with her @adalinelau or Google+.

COMMENTSCommenting policy

comments powered by Disqus

Get the ClickZ Analytics newsletter delivered to you. Subscribe today!

COMMENTS

UPCOMING EVENTS

Featured White Papers

Gartner Magic Quadrant for Digital Commerce

Gartner Magic Quadrant for Digital Commerce
This Magic Quadrant examines leading digital commerce platforms that enable organizations to build digital commerce sites. These commerce platforms facilitate purchasing transactions over the Web, and support the creation and continuing development of an online relationship with a consumer.

Paid Search in the Mobile Era

Paid Search in the Mobile Era
Google reports that paid search ads are currently driving 40+ million calls per month. Cost per click is increasing, paid search budgets are growing, and mobile continues to dominate. It's time to revamp old search strategies, reimagine stale best practices, and add new layers data to your analytics.

WEBINARS

Resources

Jobs

    • GREAT Campaign Project Coordinator
      GREAT Campaign Project Coordinator (British Consulate-General, New York) - New YorkThe GREAT Britain Campaign is seeking an energetic and creative...
    • Paid Search Senior Account Manager
      Paid Search Senior Account Manager (Hanapin Marketing) - BloomingtonHanapin Marketing is hiring a strategic Paid Search Senior Account Manager...
    • Paid Search Account Manager
      Paid Search Account Manager (Hanapin Marketing) - BloomingtonHanapin Marketing is hiring an experienced Paid Search Account Manager to...