1. Introduction to Tmall Global Platform
Tmall Global is a sub-channel under Tmall Mall that Alibaba Group announced to be officially launched in February 2014. Tmall Global mainly provides domestic consumers with overseas imported goods. Merchants settled in Tmall Global are all corporate entities outside mainland China and have overseas retail qualifications; the goods sold are all originated overseas or sold overseas, and are officially entered into China through international logistics through Chinese customs.
2. Analysis of Tmall Global Platform Operation Model
Tmall Global is a platform-based cross-border import e-commerce operation model. Tmall Global is a platform model for merchants to settle in. Currently, merchants settled in Tmall Global are divided into four categories: brand flagship stores, store-type flagship stores, specialty stores, and franchise stores. Brand flagship stores refer to brand flagship stores that operate goods belonging to one or more private brands and all brands belong to the same actual controller. The more common brand flagship stores in Tmall Global are those that are authorized by the brand operator alone.
The logistics model of Tmall Global is mainly a combination of bonded warehouses and domestic express delivery and logistics. Tmall International has established multiple bonded warehouses in China to prepare goods in advance. On May 28, 2013, Alibaba and Intime, together with SF Express, Fuxing, STO Express, YTO Express, ZTO Express, Yunda Express and related financial institutions, established “Cainiao Network Technology Co., Ltd.”. Cainiao Logistics has established bonded warehouses in Hangzhou, Guangzhou and Ningbo, providing strong support for Tmall International’s bonded stocking model.
The payment tool connected to Tmall International is Alipay, a payment brand under Alibaba. Consumers can purchase imported products by paying in RMB through Alipay. Ant Huabei, a credit consumer loan product, provides consumers with consumer loan products and supports 30-day interest-free service. Consumers can consume first and repay later. There is also Ant Jiebei consumer credit, which has a lower interest rate. Yu’ebao, a balance financial management product, provides consumers with balance financial management services. Funds can be deposited in Yu’ebao to obtain income, and can also be used by users for shopping payments.
Tmall International’s marketing mainly relies on shopping festival promotions and new media marketing. Shopping festivals are mainly “June 18”, “Double Eleven” and “Black Friday”. In 2017, Tmall Global’s “Double Eleven” single-day orders accounted for more than 70% of the total number of cross-border import e-commerce orders in the country on that day. On November 25, 2017, Tmall Global released its “Black Friday” results, with the first-day transaction volume exceeding the sum of the three consecutive days of “Black Friday” the previous year, with a year-on-year increase of more than 200%. In addition to the shopping carnival, the Flash Sale Global Channel updates products at 9 o’clock every day, with limited time and quantity, to stimulate consumption with low prices, while increasing user activity and stickiness.