How to leverage one of the most important platforms your brand has never heard of
Selling to China and selling on Tmall are nearly synonymous: Leveraging the biggest online B2C platform in the world’s biggest e-commerce market go hand-in-hand. However, another platform of which brands looking to sell to China should take note is Alibaba’s platform for flash sales- Juhuasuan.
Learn about how WPIC can help launch your Tmall flagship store
What is Juhuasuan?
Juhuasuan bills itself as a marketing and group-buying platform that helps brands selling to China on Tmall and Taobao achieve better results. It offers daily deals in the form of flash sales that promote heavily discounted products. Since 2019, Alibaba Group has looked to brand Juhuasuan as a top destination for consumers in fast growing lower-tiered cities. The company announced it would inject 10 billion yuan into the platform to compete with Pinduoduo in lower-tiered cities and across China.
Why is Juhuasuan useful?
Western brands that might be already selling on Tmall but are looking to launch a new product or increase brand awareness can leverage Juhuasuan to reach a broader audience. Costco, for example, used Juhuasuan to promote a two-day sales event through which they were able to sell 20,000 jars of mixed nuts. Though Costco already had already been selling on Tmall Global at the time of the flash sale, this kind of sales volume could likely not be achieved through Tmall alone.
Penetration into Tier 3 and 4 cities
Brands selling to China are wise to consider the massive growth potential found in cities outside of Beijing and Shanghai. Nearly 800 million Chinese people have been lifted out of poverty since 1980. As those residents begin to generate disposable income and look to access products once reserved for residents of large metropolises, consumers are turning to online platforms to access those goods. Leveraging Juhuasuan flash sales can be highly effective in markets where high-quality products are sought after and competitive pricing is revered.
Closing the expertise gap
A Juhuasuan campaign has the potential to increase traffic and attract new customers. A brand that is new to selling on Tmall or selling to China broadly can generally leverage Juhuasuan’s marketing capacity in parallel with their own Tmall store to maximise growth. China’s competitive e-commerce market forces brands to produce high growth items, buoyed by promotional campaigns that allow companies to entrench themselves in the market— the power of Juhuasuan campaigns can help to provide that.
What to do now
Selling to China on Juhuasuan and other Chinese platforms requires a data-driven approach. A desire to sell to Tier 3 and 4 cities is not sufficient—the consumer diversity within these regions must be accounted for. The right China marketing agency can equip brands with the analytics they need in selling to China or selling on Tmall.
An effective China marketing agency will also possess the knowledge and experience of selling and exporting to China. Opening a Tmall store can be challenging for those who lack understanding of the Chinese e-commerce and bureaucratic ecosystems.
The right Tmall partners are adept at cutting through red tape and establishing a web presence in China—not to mention providing warehousing and logistics services necessary in exporting to China.
If your brand is interested in unlocking the power of Juhuasuan and Tmall to increase your ability to sell to China, contacting the right partner should be your first step.