You can also watch celebrity live streams, win exclusive gifts, and participate in other VIP experiences that were previously offline-only, all through your mobile phone.
Such digital experiences are not limited to special events, but are fundamental to the Tmall Luxury Pavilion. As European watch and jewelry manufacturers look to China's luxury market for revenue and long-term opportunities, Tmall's sophisticated digital technology will help them gain an edge. .
The Times spoke to Janet Wang, general manager of Alibaba's Taobao and Tmall Group's Tmall Luxury Pavilion, to find out how the platforms are setting trends in attracting and retaining digitally savvy consumers. heard.
1. A rapidly growing portfolio of high-end brands
Wang said that in the last quarter, LVMH brands Tiffany, Chaumet and Hublot all launched online stores in the Tmall Luxury Pavilion, along with more than 200 premium and luxury brands. “All about accessories and watch brands”. Brands already hosted on the platform.
These include fellow LVMH brands Bvlgari, Fred, TAG Heuer and Zenith, followed by partnerships with various brands from Kering and Richemont dating back to 2018.
“It is no exaggeration to say that we have established the richest online hard luxury retail ecosystem in China,” said the company, which has more than 15 years of experience in digital business transformation and is expected to grow Tmall Luxury Pavilion's rapid growth from 2021. Mr. Wang, who has been leading the
To gain an edge in the competitive world of e-commerce, luxury brands around the world are leveraging the features of Tmall luxury pavilions, which combine offline and online products, to capture the attention of Chinese shoppers .
Tmall Luxury Pavilion is the first Chinese platform to host all five major luxury goods groups in one e-commerce destination. It has also become the platform of choice for international brands entering the Chinese market for the first time, including Italian luxury shoe brand Casadei and niche lighting manufacturer Flos.
In April, Tmall's Burberry flagship store celebrated its 10th anniversary. Back in 2014, the famous British fashion house became the first luxury brand to enter Tmall and has since amassed her 3.22 million fans on the platform. Burberry is a prime example of a brand that leverages the power of Tmall to continuously innovate digitally while engaging with consumers.
“Brands will focus on whether the platform can help grow their business and foster a long-term sustainable customer community,” Wang points out. She noted that Chaumet recently launched a world-exclusive Be My Love rose gold and pink sapphire necklace at the Tmall luxury pavilion, and that transactions from members accounted for more than 90 percent of the online shop's total sales when it first opened. I pointed out that From January of this year.
Chaumet will also be able to reach previously untapped customers in mainland China's 3rd and 4th tier cities where it did not have a physical store, leveraging the reach and vast user base of Tmall Luxury Pavilion. I'm proving it.
2. Focus on innovative digital capabilities and services
Through years of development and business experience, Wang said, “Tmall Luxury Pavilion's huge consumer base and unique platform characteristics give Tmall operational capabilities that cannot be obtained through social media or brick-and-mortar stores alone.” says.
Consumers, especially younger generations who have grown up surrounded by technology, actively engage with brands in the digital realm and pay special attention to brands that provide an emotional connection, making jewelry and watches that maintain or increase their value. I'm also very interested in
“This is a huge opportunity to deliver brand value and achieve long-term growth,” Wang said.
Tmall Luxury Pavilion can quickly and accurately turn consumer trends into actionable insights for brands, enabling them to quickly leverage new digital solutions that improve the shopping experience. These range from interactions with Metaverse idols to virtual try-on services using augmented reality (AR) and his one-on-one livestream consultations.
“Tmall Luxury Pavilion has become a multi-touchpoint medium where we can accurately drive product recommendations and shape consumer interactions,” Wang said, adding that this is exactly what brands need to acquire new customers. He added that this is what he is looking for. “Spreading the brand culture through the platform’s innovative technology is paramount.”
This platform, which brings together a wide variety of luxury brands, can be compared to Place Vendôme in Paris, which is famous for its collection of high-end jewelry stores. In fact, ahead of last year's Christmas and New Year holidays, Tmall Luxury Pavilion built an immersive digital recreation of Place Vendôme showcasing brands such as Boucheron, Graf and Jaeger-LeCoultre. The AR experience online he received over 500,000 visits.
3. Maintaining brand followers and gaining “VIC”
Tmall also stands out for its celebrity ambassador broadcasts and appearances, which streamline the sophisticated shopping experience and are highly effective at garnering dramatic engagement spikes and fan followings. These online events are often accompanied by exclusive gift giveaways.
Tmall effectively manages customer relationships with brand partners. Wang explains: “Brands can leverage Tmall Luxury Pavilion's comprehensive capabilities to expand the potential of their products and marketing strategies by communicating with consumers and completing the business loop.”
For example, Hublot's recently opened Tmall flagship store will feature Chinese actor and model Yosh Yu, Hublot's new brand ambassador, by displaying a silhouette five days before the official launch on April 2nd. also teased the watchmaker's new brand ambassador.
“Thousands of brand customers have already booked appointments through Tmall for ambassador unveilings,” Wang said. “As of April 2nd, the return visit rate reached 80%, helping the brand maintain and activate its accurate user base.” calling.
According to Wang, cultivating these loyal, digital-first users is paramount. “Compared to the average consumer, they have more purchasing power, are more loyal, and interact more frequently online, including revisiting products, bookmarking them, and adding them to carts. They are also more likely to make repeat purchases.”
Live streams are now the preferred choice of fashion brands for global events, as they have been proven to deliver incredible levels of consumer reach. Balenciaga's fall 2024 Paris Fashion Week show received 1.4 million views on Tmall, a record high, Wang noted. She further added, “During fashion week, the number of followers and members of brand stores increased by more than 10 times compared to normal days.”
4. Continuing evolution of the online shopping experience
As consumer needs and demands become more diverse and complex, experiential consumption is becoming more important, Wang said, adding, “The penetration rate of consumers' online spending is gradually increasing. ” states.
She added that Tmall Luxury Pavilion's short-term goal is to continue to provide consumers with an “online shopping experience that is as good or better than offline.” Strategies include offering online bookings for offline trade shows and replicating face-to-face services such as one-on-one consultations online.
To ensure that Tmall Luxury Pavilion continues to attract high-quality brand fans and VICs, Wang believes that in the future, data and technology can be used to help Chinese consumers “understand more about luxury brands.” He said there is a need to explore all kinds of innovations. Brands identify trends and growth opportunities. ”
Therefore, Chinese online shoppers are excited that the Tmall Luxury Pavilion will not only introduce more new brands and products, but also introduce new business formats such as boutique buyer stores and incubate further innovative projects in the pipeline. You can look forward to adding more.
With these continued advancements, Tmall Luxury Pavilion, together with our brand partners, remains committed to engaging our community of discerning shoppers and ensuring an immersive, insightful luxury journey.
Tmall and Tmall Luxury Pavilion are commercial initiatives of Alibaba Group Holding, which also owns the South China Morning Post.
