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How does e-commerce operate a brand?

2017-10-25

  It has been nearly four years since I arrived in Taobao. From the original Taobao marketing department, then to the Tmall marketing department, then to the Tmall online operation department, and now to the Tmall conference operation box, it should be considered that it has experienced the business of the marketing department and members.

  Then today, I want to take a visit to the merchant for so many years before. I started visiting merchants in 2001, including those I came into contact with at that time. The first wave was from Xiamen, starting with XP, 361, and Hongxing Erke, because Hongxing Erke is also the first batch of merchants to exchange resources. When I went to Hongxing Erke, Tmall didn't want to connect them. Because the overall performance was too poor at that time, the store was about 1,000 yuan, and the monthly transaction was less than 200,000 yuan. Then at that time, Wu Rongzhao, the vice president of Hongxing Erke, was the boss's younger brother, and they were determined to do a good job in e-commerce. Because of the entire e-commerce department, the entire e-commerce department was also under the care of Wu Rong, and the marketing department was also under the control of him. So at that time we happened to have a brand growth plan, also known as the resource exchange plan, so we first helped it improve through resource exchange. So he provided him with some Taobao advertisements and resources.

How to run a brand in e-commerce

  At first, we found that the effect was not very good for giving him this advertisement and resource. Why? Because we generally have brand advertising, brand advertising may have advantages in this kind of brand communication, but it may not be of practical significance to stimulating store sales. Because for a store, the most core thing is just a few pieces, mainly from search traffic. This search mainly includes Taobao search and Tmall search. After I have experienced so many sellers, I found that some good stores, whether they are big brands or small sellers, may basically be better-made from traffic, which basically accounts for 50% or 60%. There is a brand under Danone Group. Danone Group has two brands that make milk powder, one is called Domestic and the other is called Karicare. For example, many people should know that it is quite well-known in China, but it also has some plans to exchange resources in China. We also gave it advertising space on Taobao homepage and Tmall homepage at that time, but in this year, we found that our reviews found that its sales performance was not so ideal. But its other brand, Karicare, was just beginning quietly when it was entered into Tmall. But later we found that its shops and company personnel didn't even know how to use the direct train. But when we visited it, its underwriting volume had reached more than 48 million, and almost all its traffic came from search. Karicare is mainly in her mother. We did a survey at that time. In fact, from a broad perspective, there are actually many people who know how beautiful they are than Karicare, but how did Karicare get started? It mainly depends on word of mouth and search. So, this time we know that, including search, may be the essential reason for the operation of the entire Taobao and Tmall store. Traffic like this is relatively good.

  I remember in 2010, Juhuasuan communicated with us and said they needed a lot of brands . But we don’t focus on the brand. We have nearly 500 well-known brands here, and they are unwilling to go to Juhuasuan. Why? Because they have to discount and reduce prices, they will greatly reduce their entire brand bargaining power. Brand bargaining power is the core part of the brand, so people were unwilling to use this way of activity at that time. And I remembered it very clearly at that time. There was a brand owner who said that when he was on an event, it might rise at the high point when he was on an event, and it would fall when he was not on an event. However, if it is done by relying on the basic operational capabilities of the store and using this kind of search traffic to successfully complete the transaction, usually your transaction volume will not slide after the entire traffic transaction is increased.

  We also analyzed at first why Juhuasuan is so popular? Including the gold coins at that time. I don't know if you have discovered that these activities are all searched. At that time, these activities may have initially suffered some losses, but it doesn't matter, because its sales are accumulated into the search, and it can improve your ranking in the search. So, that's the key to the problem. It was gradually cancelled later, from Juhuasuan, gold coins, and VIP, it seemed that it was gradually cancelled and bidding with that search. We found that some of the shops are also well-made, such as our period-to-department activities, which include some period-to-department exchange activities. Like our period activities, we found that it was OK, but the store generally felt that the feedback was good. Later we found that the activities of the period were also included in the search. So from this we can actually see that we have summarized it ourselves and found that this search ability should be considered a very important part of doing a good job in store operations.

How to run a brand in e-commerce

  Then we go up and find that a good store or a good e-commerce company has three more important abilities, the most basic one is called basic operation capabilities. How to evaluate your operational summary with basic operational capabilities? Now I would like to give you a suggestion, not to see how much sales each store brings to you every month and how much Juhuasuan brings to you every month, but to give them an indicator, that is, to see if the traffic it brings to you is 5,6,000, or 10,000 per month. In fact, if he can do this, he will have to do many aspects of work, including the title. Many people think that this is just an optimization of the title, but it is not that simple. As we all know, there is a very important academic major in searching, called "redefining a color". Behind this keyword is actually a concept of color. Then how to discover it? Some people in the early days may have searched for the drop-down box through Taobao, and it will have many such channels and tools that everyone will use. So what is the competition? Because there are still many boring and complicated tasks in it, such as disassembling words. Decompose these words and then recombinate them. Here you need to have a clear and profound understanding of the products and the industry. So in this process, to do a good job, you need to do many aspects, including product improvements, including your detailed description of the baby, and your customer service capabilities. Of course, there are many relatively core ones here.

  I remember that in this aspect, the more powerful people are actually not on Tmall, but on merchants. I remember that in 2010, when I went to Xiamen, I went to visit Hongxingerke, and I went to build a bluereader and started a blue company. At that time, there was a boy named Xiao Kong. He was operating the entire store, selling the plan, shooting, uploading the baby, and planning the customer service, and planning the event. He worked with another girl and could do 8 million yuan in sales a year, without any advertising.

  But we found that this boy and local e-commerce sales atmosphere in Xiamen are very good. They often gather together on weekends to discuss Taobao’s search rules, how to grasp the rules, and how to get more traffic. As a result, at that time, this little hole should be considered outstanding among the people. But his boss is a pity. His boss came back from Japan and was a little stingy, so he offered him 2,500 yuan a month. But the local salary in Xiamen is really not high, and the salary level is not high. The man behind was poached by Inman, and it was Inman's General Fang Fang Jianhua who poached him, as if he later became Inman's operation director. How far could they do at that time? It seems that if you can achieve 1 to 60, you can invest 1 yuan and produce 60 yuan. But by 2013, now and recently, what level can industry experts achieve? Being able to achieve the clothing field, and being able to achieve 1 to 12 means that you can produce 1 yuan and you can produce 12 yuan. This may be much higher than the same industry.

  We found that there are indeed many rules to find in this, which we call basic operational capabilities. So, I just said so much, just to tell you that based on the situation of our visits to the three companies and our previous summary, the improvement of basic operational capabilities may be considered a more important aspect for everyone.

  Today, I will mainly talk about Tmall’s plan this year. Then this is the "5 core things about Tmall in 2013" mentioned in some previous meetings, but since I mentioned it here, I certainly won't say that I will not repeat these 5 things in the original version. I will tell you that from these 5 things, we can see the five directions of Tmall. These five directions can provide you with some guidance in store operations and e-commerce, or provide you with some reference.

  The first one is the original saying "from a simple sales platform to a consumer connection platform." Let me translate it, which is to upgrade from the past promotional model including Double Eleven to branding, which is called branding. There was a brand in Xiamen, called Spotika Men's Clothing, which was a Taobao brand . I remember that at the beginning, it was almost the first men's clothing brands to enter Taobao Mall at that time, and it was a premier at that time. But later, including participating in Double Eleven events in 2011, its venue is very good. It has two venues, one is the men's clothing sub-venue and the other is the Taobao brand sub-venue. The traffic should be given quite sufficient and very sufficient. Then at that time, its sales volume was also very good in the end, with sales of about tens of millions. Finally, we found that this sales not only did not become its blessing, but became the beginning of a nightmare. (To be continued)

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