Tmall's new product strategy was released in 2019, and 10 billion new products are ready to go

　　On January 7, Tmall President Jing Jie announced at the "First China New Product Consumption Ceremony" that "new products will be an important strategy for Tmall in 2019", and proposed the "Double Hundred Plan" to invest 10 billion yuan in resources to provide traffic exposure, supply chain innovation, new product research and development, cross-border cooperation and other services for brand new products, and aim to incubate 100 new products with a single product transaction of over 100 million yuan.

　　According to Tmall data, there are more than 75 million severe new product users on Tmall. These "new chasing people" buy more than 17 new products every year on average.

　　Last year, Tmall sold more than 100 new products per second on average. In 2018, there were more than 50 million new products on Tmall, an increase of nearly 1,000% over 2016. The proportion of new products sold has also increased from 22% in 2016 to 31%.

　　"Consumers are actually pursuing quality life, and new products will become one of Tmall's primary strategies in 2019." Jing Jie, president of Tmall Business Group, said at the China New Product Consumption Ceremony.

　　On the same day, senior executives of Tmall's top 100 brands such as Estee Lauder, Lancome, Armani, Givenchy, Nike, Adidas, Apple, Huawei, Dyson, BV, Valentino, Procter and Gambling attended the launch ceremony of Tmall's 2019 new product strategy release, and talked about the new product ecosystem. In 2019, Tmall will provide real-time feedback on consumer insights, data-driven product research and development, flexible supply chain management, and global precise marketing, so as to make the first launch success rate of new products higher and more certain.

　　The "2018 China New Product Consumption Trend Report" released by Tmall and Alibaba Research Institute shows that in 2018, more than 200,000 brands from around the world first launched more than 50 million new products on Tmall, with the number of releases increasing by 300% year-on-year; in 2018, Tmall's heavy consumption of new products exceeded 75 million, and the proportion of new product transactions increased by 7% compared with the previous year. New lipsticks, shoes and bags, mobile phones, and household appliances became the most purchased categories.

　　Today, Tmall has become the number one platform for the first launch of new products in the global brand. As of 2018, more than 60% of globally renowned brands chose Tmall for the first launch. Behind this, Tmall has been planning for a long time to create an efficient new product incubation model.

　　In March 2017, Tmall launched the "Little Black Box" new product exclusive channel, providing new product first launch, with potential customer insights, precise trials, trial sales strategies, and listing strategies to help brands improve the success rate of new product first launches. In addition, Tmall has also established a new product innovation center to help brand owners understand new product opportunities, inspire brand new product creativity, and test and verify new product models.

　　A typical example is that in 2018, the high-end beauty brand Estee Lauder, tried the medical beauty and skin care field for the first time, and developed the essence of linear carving. With the help of Tmall, this new product became the top 1 in the high-end essence industry in just 30 days. "As far as I know, Tmall is the first in the industry to propose a cyclical new product operation solution. The first launch of new products is not just one day, but also creates a hit product through 30 days of continuous incubation." Gary Chu, general manager of online marketing at Estee Lauder Group, said that with the help of Tmall to tune user portraits and precise user trials, the incubation cycle of new products has been greatly shortened.

　　The popular cosmetics abroad often appear to be "unacceptable to the local environment" when entering China. The skin and aesthetics of Chinese people are different, and the localization of foreign popular products has always been a difficult problem. In March 2018, Maybelline FIT me liquid foundation, which "on average one sold every 5 seconds in the United States", chose to be launched on Tmall, easily breaking this "curse", selling 110,000 units a day, and breaking three industry records.

　　The "2018 China New Product Consumption Trend Report" released by Tmall and Alibaba Research Institute shows that in 2018, more than 200,000 brands from around the world first launched more than 50 million new products on Tmall, with the number of releases increasing by 300% year-on-year; in 2018, Tmall's heavy consumption of new products exceeded 75 million, and the proportion of new product transactions increased by 7% compared with the previous year. New lipsticks, shoes and bags, mobile phones, and household appliances became the most purchased categories.

　　According to statistics, 82% of the new products participating in the Tmall new product incubation program over the past year will become the top 3 hits in the category daily sales in 30 days, and the brand's new product incubation cycle has dropped from 18 months to 9 months on average.

　　Duan Ling, director of Tmall Brand Marketing Center, said that in 2019, Tmall's new product incubation plan will be open to mid- and low-rise merchants, so that more innovative brands can participate. Duan Ling revealed that Tmall’s small black box will be fully redesigned, and high-quality new products will be differentiated on Taobao and Tmall APPs. At the same time, product-based customization will be opened for consumers, becoming the main battlefield for consumers to obtain first-hand new product information.