Abstract: Many factories are using 1688 to understand the Chinese market and complete the counterattack
Author | Wang Xiaoling
Two years ago, Xie Cuifen faced what was probably the biggest challenge in her life.
She is the sales person in charge of "Jia Shifa", an outdoor product company in Foshan . She mainly sells outdoor folding tables and chairs, camp beds, barbecue grills, canopies and other camping supplies. The products are positioned in the mid-to-high-end group and have attracted a lot of attention. Loved by overseas customers. The global pandemic in 2020 has made it difficult for them, who mainly engage in offline foreign trade business, to find a clear future.
Considering that the domestic consumer market has developed rapidly in recent years, Jiashifa decided to try domestic sales. Under the epidemic, e-commerce is of course the best choice, but this foundry has never been exposed to online business before. Xie Cuifen explained that their business is very traditional, and the main source of new orders is participating in offline exhibitions and signing orders. If
wants to sell domestically, it needs to build its own brand and learn to do retail when the domestic outdoor market is not yet mature. These are areas that Jashifa has never set foot in.
started preparations for registration at the end of 2020, and Jashifa will have its own brand Areffa in September 2021. Soon, they opened a flagship store on the e-commerce platform. Among them, Areffa’s category ranking rose from more than 3,000 to more than 90 in the Tmall flagship store in just 3 months. However, brands with factory strength still hope to integrate B-side and C-side platforms and combine online and offline to expand brand awareness.
At this time, a friend recommended that she try to open a 1688 Integrity Pass . For factories, the operation of 1688 is relatively convenient and the process is simple.
1688 is a domestic trade B2B platform under Alibaba . It is known in the industry as "the source of Chinese e-commerce" and has formed the mentality of "when looking for a factory, go to 1688". In the mood to try, Xie Cuifen led a team of several people to open a 1688 store and bought an entry-level Chengxintong membership priced at 6,688 yuan. In fact, the Areffa team, which has no operational experience, is also worried about whether it can achieve rapid success on 1688. Moreover, considering that the price range of their products is between 400 and 1,000 yuan, Xie Cuifen does not have high expectations. The final result of
far exceeded expectations. In just one year, Jiashifa has built its own e-commerce team and figured out a set of strategies. The entire company's sales volume has been 2.5 times that of the past year.
There are more than 6 million factories in China. In recent times, whether it is the relocation of manufacturing industries or the challenges from , Vietnam and , news of concern for Chinese factories has come from time to time.
So, what are the advantages of Chinese factories? In the past few decades, we have relied on many advantages, including demographic dividend, talent dividend, large market size, complete industrial chain, etc. These resource endowments of the entire market are the soil on which Chinese factories thrive.
However, there is one advantage that has almost never been mentioned, that is, these factories should be the factories that understand the Chinese market best in the world. The reason is simple. In the era of global division of labor, if there is no suitable stage, it will be difficult for factories in the upper reaches of the industrial chain to passively accept orders. This advantage will be difficult to exert.
Now, many factories are using 1688 to understand the Chinese market and complete counterattacks.
Super Factory Evolution
1688 There are more than 1 million sellers settled in, half of them are factories.
In 2020, the "Report on Digital Transformation of Industrial Belts" released by the Ministry of Commerce shows that the 1688 platform covers 172 first-level industrial belts, accounting for approximately 70% of the number of first-level industrial belts in the country, and has become the mainstay of the digital transformation and upgrading of small and medium-sized enterprises in industrial belts. aisle.
Going back to two years ago, Xie Cuifen's problem was, how could the late Jia Shifa stand out among these hundreds of thousands of factories?
Fortunately, while Areffa was exploring the domestic demand market, young people in the Chinese market gradually fell in love with an activity called exquisite camping. In the past two years, young people who have been suffocated at home have gone to suburbs, green parks and even green lawns on the roadside to set up tents and embrace nature.
What rises with exquisite camping is the need for equipment. According to the "2022 Taobao Tmall Camping Trend White Paper" previously released by 618, camping methods have upgraded from traditional park camping and hiking camping to exquisite camping consumption. Tent, canopy, folding table, folding chair , moisture-proof mat , and campervan have become the standard six-piece set for many camping youths.
But this opportunity seems a bit sudden for Jashifa. First of all, orders in the domestic market are very different from foreign trade orders.
According to Tang Lihua, head of 1688 User Operations and Development Center, in addition to physical store owners and Taobao retailers, more and more small and medium-sized emerging e-commerce buyers appear in the entire e-commerce system, and come to 1688 to purchase goods one after another, enriching 1688's User structure. In response to the procurement needs of different buyer groups such as Taobao store owners, offline physical stores, anchors, cross-border, community group purchases, , Xiaohongshu, Douyin , Kuaishou, etc., 1688 has specially built corresponding supply matching scenarios, and Provide business opportunities that reflect future market sales trends.
However, Jiashifa is still lucky. In terms of product positioning, Xie Cuifen found that in just two years, the Chinese camping market has developed from entry-level to sophisticated camping, and has caught up with Japanese and Korean players in terms of equipment. Therefore, in terms of products, Jiashifa does not need to make too many adjustments. It only needs to make slight adjustments in design to match the market.
As for buyers on 1688, in addition to online and offline outdoor stores, there are also small batch orders brought by content e-commerce companies such as Doukuai and some camping enthusiasts. Compared with past foreign orders, they seem very trivial. But this has little impact on Jashifa's production, because outdoor furniture is mainly handmade and does not involve too many flexible adjustments to the production line. The key problem for
is that to catch up with this trend, the market needs to know the existence of this factory in Foshan, and to understand their products, it needs to invest more advertising expenses. It is even more difficult for the factory to make a decision before it makes any money.
Fortunately, the factory was not the only one who discovered the problem. Less than a month after Jiashifa’s 1688 store went online, the 1688 platform began to promote a project called “Super Factory” in Foshan.
Super Factory is a membership service launched by 1688 in September 2020. It focuses on discovering high-quality factories at the top of the Chinese market, helping them build official websites, learn scenario marketing and consumer trend insights, etc., to further expand the market. These factories do not necessarily have huge output, but generally have their own R&D capabilities, flexible production capabilities and certain channel capabilities.
According to 1688, among the approximately 1 million Chengxintong members on the platform, less than 1% are super factories, numbering approximately 6,000.
This is because Super Factory members have set a certain threshold. The Gigafactory is also an important measure taken by 1688 to optimize supply in recent years.
1688 was developed from the domestic wholesale business of Ali . It was also the parent business of Ali B2B listed in Hong Kong. After delisting from the Hong Kong Stock Exchange in 2012, its trading code 1688 was retained and became the name of this business.
20 Over the years, the positioning of 1688 has been adjusted several times. In 2012, it established its positioning from information matching to a trading platform. After several years of exploration, 1688 entered the third stage in 2017. In addition to the original information service plus transaction service, it also Strengthened marketing services. This year, a “KA Plan” was also formulated. From the name of the plan, it is easy to see that the goal is to serve top sellers.
finds high-quality supplies for buyers, which is the key to the development of 1688. In 1688's definition, high-quality suppliers are those treasure factories, hidden champions, individual champions, little giants, leading companies in the industry, and " specialization, special new " companies. They share some common characteristics: flexible production capabilities, channel building capabilities, customer relationship maintenance capabilities, etc. These capabilities are exactly the direction of development of China's manufacturing industry.
super factory is one of the important products provided for these high-quality suppliers. Jiashifa just meets the requirements of the Gigafactory.Although the price of
is not cheap (about 110,000 yuan), Xie Cuifen decided to use this membership to replace the factory’s advertising investment. In June 2021, Jiashifa became a Gigafactory member of 1688. In the end, this project brought many orders to Jiashifa that exceeded expectations, including large customers, social e-commerce, and group purchase orders from social platforms.
Supply chain branding bonus
At the beginning of this year, a Korean friend of Xie Cuifen sent her a screenshot, which showed Areffa’s Korean purchasing information. “Now there are Korean purchasing agents buying our products from China.”
This is something that I couldn’t have imagined having worked as an OEM for more than ten years. The
world factory has brought us the miracle of economic growth in the past few decades, and also gave birth to the legend of " Dongguan once there is a traffic jam, the world will stop working". However, the foundry did not give birth to a strong brand, and the growth dividend did not extend to the next step of industrial development. Previously, the dividends of high-quality supply chain branding, such as NetEase Selected and Miniso , were actually more equivalent to e-commerce retail platforms.
On various carefully selected platforms, the "same brand" tag used to be a powerful traffic tool. Soochow Securities believes that my country has multiple high-quality industrial chain clusters and many excellent foundries. These suppliers can produce high-quality and low-priced goods, and many of them are internationally renowned suppliers.
Soochow Securities analysis said that due to the lack of "brands", the products of many high-quality suppliers have been unable to realize their due value, and have even spawned abnormal business formats such as "copycats". Therefore, we need "Chinese brands" to integrate domestic high-quality supply chain resources, where there are huge opportunities, which we call "high-quality supply chain branding."
Now, foundries can also use 1688 to strengthen their supply chain brands and increase profit margins.
For example, Jinan Sainuo Environmental Protection Company has been producing cannon fog machines for urban cleaning, but the profits are not high. When the boss Han Qixin went to Beijing to attend an exhibition five years ago, he discovered that the imported snowmaking machine cost hundreds of thousands, and there were no mature domestic factories. In fact, even in very cold places, ski resorts still need snowmaking machines to improve track conditions. They are the same infrastructure as the ice and snow sports that are gradually emerging in our country.
The cannon fog machine and the snow making machine have similar principles. They both compress water and spray it out. However, the requirements of the snow making machine are higher and more precise, but this can be achieved by Sano's existing production line. However, in addition to product upgrades, snowmaking machines also require local supporting services, because problems may arise due to turbid water quality, mismatched sockets (snowmaking machines use industrial electricity), or even the local temperature is up to standard but the humidity is too high.
and 1688's ground team are generally stationed locally, which can effectively help them solve local customer problems and save a lot of communication costs. Secondly, the 1688 certification allows customers to feel confident about factories like them that have just started making products, thereby obtaining a more stable customer base. Now, 40% of Sano's customers are from 1688, and it also sells its products to Russia.
Another factory that is working hard to do retail during the epidemic is Shanghai Xinmai Food, with revenue on 1688 in 2021 of nearly 8 million yuan.
But only two years ago, Dong Fanming had not heard of 1688. He is currently the general manager of Shanghai Xinmai Food, a second-generation factory worker. Xinmai Food was founded by Dong Fanming's father and is a food supply chain enterprise with a history of more than 20 years.
In 2020, Dong Fanming resigned from Silicon Valley. While studying at Stanford University, he studied data scienceartificial intelligence. He wants to build Xinmai into a modern factory. In addition to building a smart factory, he also wants to build Xinmai brand and channels.
Xinmai is a well-known food ODM company in Shanghai, the foundry behind many big names.
has two R&D bases in Shanghai and Tokyo. Xinmai’s strength in food development cannot be underestimated.
Abstract: Many factories are using 1688 to understand the Chinese market and complete the counterattack
Author | Wang Xiaoling
Two years ago, Xie Cuifen faced what was probably the biggest challenge in her life.
She is the sales person in charge of "Jia Shifa", an outdoor product company in Foshan . She mainly sells outdoor folding tables and chairs, camp beds, barbecue grills, canopies and other camping supplies. The products are positioned in the mid-to-high-end group and have attracted a lot of attention. Loved by overseas customers. The global pandemic in 2020 has made it difficult for them, who mainly engage in offline foreign trade business, to find a clear future.
Considering that the domestic consumer market has developed rapidly in recent years, Jiashifa decided to try domestic sales. Under the epidemic, e-commerce is of course the best choice, but this foundry has never been exposed to online business before. Xie Cuifen explained that their business is very traditional, and the main source of new orders is participating in offline exhibitions and signing orders. If
wants to sell domestically, it needs to build its own brand and learn to do retail when the domestic outdoor market is not yet mature. These are areas that Jashifa has never set foot in.
started preparations for registration at the end of 2020, and Jashifa will have its own brand Areffa in September 2021. Soon, they opened a flagship store on the e-commerce platform. Among them, Areffa’s category ranking rose from more than 3,000 to more than 90 in the Tmall flagship store in just 3 months. However, brands with factory strength still hope to integrate B-side and C-side platforms and combine online and offline to expand brand awareness.
At this time, a friend recommended that she try to open a 1688 Integrity Pass . For factories, the operation of 1688 is relatively convenient and the process is simple.
1688 is a domestic trade B2B platform under Alibaba . It is known in the industry as "the source of Chinese e-commerce" and has formed the mentality of "when looking for a factory, go to 1688". In the mood to try, Xie Cuifen led a team of several people to open a 1688 store and bought an entry-level Chengxintong membership priced at 6,688 yuan. In fact, the Areffa team, which has no operational experience, is also worried about whether it can achieve rapid success on 1688. Moreover, considering that the price range of their products is between 400 and 1,000 yuan, Xie Cuifen does not have high expectations. The final result of
far exceeded expectations. In just one year, Jiashifa has built its own e-commerce team and figured out a set of strategies. The entire company's sales volume has been 2.5 times that of the past year.
There are more than 6 million factories in China. In recent times, whether it is the relocation of manufacturing industries or the challenges from , Vietnam and , news of concern for Chinese factories has come from time to time.
So, what are the advantages of Chinese factories? In the past few decades, we have relied on many advantages, including demographic dividend, talent dividend, large market size, complete industrial chain, etc. These resource endowments of the entire market are the soil on which Chinese factories thrive.
However, there is one advantage that has almost never been mentioned, that is, these factories should be the factories that understand the Chinese market best in the world. The reason is simple. In the era of global division of labor, if there is no suitable stage, it will be difficult for factories in the upper reaches of the industrial chain to passively accept orders. This advantage will be difficult to exert.
Now, many factories are using 1688 to understand the Chinese market and complete counterattacks.
Super Factory Evolution
1688 There are more than 1 million sellers settled in, half of them are factories.
In 2020, the "Report on Digital Transformation of Industrial Belts" released by the Ministry of Commerce shows that the 1688 platform covers 172 first-level industrial belts, accounting for approximately 70% of the number of first-level industrial belts in the country, and has become the mainstay of the digital transformation and upgrading of small and medium-sized enterprises in industrial belts. aisle.
Going back to two years ago, Xie Cuifen's problem was, how could the late Jia Shifa stand out among these hundreds of thousands of factories?
Fortunately, while Areffa was exploring the domestic demand market, young people in the Chinese market gradually fell in love with an activity called exquisite camping. In the past two years, young people who have been suffocated at home have gone to suburbs, green parks and even green lawns on the roadside to set up tents and embrace nature.
What rises with exquisite camping is the need for equipment. According to the "2022 Taobao Tmall Camping Trend White Paper" previously released by 618, camping methods have upgraded from traditional park camping and hiking camping to exquisite camping consumption. Tent, canopy, folding table, folding chair , moisture-proof mat , and campervan have become the standard six-piece set for many camping youths.
But this opportunity seems a bit sudden for Jashifa. First of all, orders in the domestic market are very different from foreign trade orders.
According to Tang Lihua, head of 1688 User Operations and Development Center, in addition to physical store owners and Taobao retailers, more and more small and medium-sized emerging e-commerce buyers appear in the entire e-commerce system, and come to 1688 to purchase goods one after another, enriching 1688's User structure. In response to the procurement needs of different buyer groups such as Taobao store owners, offline physical stores, anchors, cross-border, community group purchases, , Xiaohongshu, Douyin , Kuaishou, etc., 1688 has specially built corresponding supply matching scenarios, and Provide business opportunities that reflect future market sales trends.
However, Jiashifa is still lucky. In terms of product positioning, Xie Cuifen found that in just two years, the Chinese camping market has developed from entry-level to sophisticated camping, and has caught up with Japanese and Korean players in terms of equipment. Therefore, in terms of products, Jiashifa does not need to make too many adjustments. It only needs to make slight adjustments in design to match the market.
As for buyers on 1688, in addition to online and offline outdoor stores, there are also small batch orders brought by content e-commerce companies such as Doukuai and some camping enthusiasts. Compared with past foreign orders, they seem very trivial. But this has little impact on Jashifa's production, because outdoor furniture is mainly handmade and does not involve too many flexible adjustments to the production line. The key problem for
is that to catch up with this trend, the market needs to know the existence of this factory in Foshan, and to understand their products, it needs to invest more advertising expenses. It is even more difficult for the factory to make a decision before it makes any money.
Fortunately, the factory was not the only one who discovered the problem. Less than a month after Jiashifa’s 1688 store went online, the 1688 platform began to promote a project called “Super Factory” in Foshan.
Super Factory is a membership service launched by 1688 in September 2020. It focuses on discovering high-quality factories at the top of the Chinese market, helping them build official websites, learn scenario marketing and consumer trend insights, etc., to further expand the market. These factories do not necessarily have huge output, but generally have their own R&D capabilities, flexible production capabilities and certain channel capabilities.
According to 1688, among the approximately 1 million Chengxintong members on the platform, less than 1% are super factories, numbering approximately 6,000.
This is because Super Factory members have set a certain threshold. The Gigafactory is also an important measure taken by 1688 to optimize supply in recent years.
1688 was developed from the domestic wholesale business of Ali . It was also the parent business of Ali B2B listed in Hong Kong. After delisting from the Hong Kong Stock Exchange in 2012, its trading code 1688 was retained and became the name of this business.
20 Over the years, the positioning of 1688 has been adjusted several times. In 2012, it established its positioning from information matching to a trading platform. After several years of exploration, 1688 entered the third stage in 2017. In addition to the original information service plus transaction service, it also Strengthened marketing services. This year, a “KA Plan” was also formulated. From the name of the plan, it is easy to see that the goal is to serve top sellers.
finds high-quality supplies for buyers, which is the key to the development of 1688. In 1688's definition, high-quality suppliers are those treasure factories, hidden champions, individual champions, little giants, leading companies in the industry, and " specialization, special new " companies. They share some common characteristics: flexible production capabilities, channel building capabilities, customer relationship maintenance capabilities, etc. These capabilities are exactly the direction of development of China's manufacturing industry.
super factory is one of the important products provided for these high-quality suppliers. Jiashifa just meets the requirements of the Gigafactory.Although the price of
is not cheap (about 110,000 yuan), Xie Cuifen decided to use this membership to replace the factory’s advertising investment. In June 2021, Jiashifa became a Gigafactory member of 1688. In the end, this project brought many orders to Jiashifa that exceeded expectations, including large customers, social e-commerce, and group purchase orders from social platforms.
Supply chain branding bonus
At the beginning of this year, a Korean friend of Xie Cuifen sent her a screenshot, which showed Areffa’s Korean purchasing information. “Now there are Korean purchasing agents buying our products from China.”
This is something that I couldn’t have imagined having worked as an OEM for more than ten years. The
world factory has brought us the miracle of economic growth in the past few decades, and also gave birth to the legend of " Dongguan once there is a traffic jam, the world will stop working". However, the foundry did not give birth to a strong brand, and the growth dividend did not extend to the next step of industrial development. Previously, the dividends of high-quality supply chain branding, such as NetEase Selected and Miniso , were actually more equivalent to e-commerce retail platforms.
On various carefully selected platforms, the "same brand" tag used to be a powerful traffic tool. Soochow Securities believes that my country has multiple high-quality industrial chain clusters and many excellent foundries. These suppliers can produce high-quality and low-priced goods, and many of them are internationally renowned suppliers.
Soochow Securities analysis said that due to the lack of "brands", the products of many high-quality suppliers have been unable to realize their due value, and have even spawned abnormal business formats such as "copycats". Therefore, we need "Chinese brands" to integrate domestic high-quality supply chain resources, where there are huge opportunities, which we call "high-quality supply chain branding."
Now, foundries can also use 1688 to strengthen their supply chain brands and increase profit margins.
For example, Jinan Sainuo Environmental Protection Company has been producing cannon fog machines for urban cleaning, but the profits are not high. When the boss Han Qixin went to Beijing to attend an exhibition five years ago, he discovered that the imported snowmaking machine cost hundreds of thousands, and there were no mature domestic factories. In fact, even in very cold places, ski resorts still need snowmaking machines to improve track conditions. They are the same infrastructure as the ice and snow sports that are gradually emerging in our country.
The cannon fog machine and the snow making machine have similar principles. They both compress water and spray it out. However, the requirements of the snow making machine are higher and more precise, but this can be achieved by Sano's existing production line. However, in addition to product upgrades, snowmaking machines also require local supporting services, because problems may arise due to turbid water quality, mismatched sockets (snowmaking machines use industrial electricity), or even the local temperature is up to standard but the humidity is too high.
and 1688's ground team are generally stationed locally, which can effectively help them solve local customer problems and save a lot of communication costs. Secondly, the 1688 certification allows customers to feel confident about factories like them that have just started making products, thereby obtaining a more stable customer base. Now, 40% of Sano's customers are from 1688, and it also sells its products to Russia.
Another factory that is working hard to do retail during the epidemic is Shanghai Xinmai Food, with revenue on 1688 in 2021 of nearly 8 million yuan.
But only two years ago, Dong Fanming had not heard of 1688. He is currently the general manager of Shanghai Xinmai Food, a second-generation factory worker. Xinmai Food was founded by Dong Fanming's father and is a food supply chain enterprise with a history of more than 20 years.
In 2020, Dong Fanming resigned from Silicon Valley. While studying at Stanford University, he studied data scienceartificial intelligence. He wants to build Xinmai into a modern factory. In addition to building a smart factory, he also wants to build Xinmai brand and channels.
Xinmai is a well-known food ODM company in Shanghai, the foundry behind many big names.
has two R&D bases in Shanghai and Tokyo. Xinmai’s strength in food development cannot be underestimated.At the end of 2021, at the fifth Shanghai Butterfly Pastry Skills Competition, Shanghai Xinmai Food Industry Co., Ltd., Shanghai Laoxiangzhai Food Co., Ltd., and Shanghai Harbin Food Factory Co., Ltd. won the team gold medal. It is not easy for
to win the gold medal in the butterfly cake competition. Butterfly cake is regarded as the representative of Shanghai-style dim sum. In this competition, almost all the big companies making butterfly cakes in Shanghai were present. The competition system not only competes with professionalism, but also tests Innovative, the works created by the contestants range from mini models the size of fingernails to two-color butterfly puff pastry.
But the profit margin of ODM is limited after all.
In the speech video of the 1688 Second Super Factory Competition held in April this year, Dong Fanming said that of Xinmai’s previous revenue, 200 million came from OEM, and its own brand sales were only 1 million, less than 5%. As for the difference, he gave the example that the gross profit of six walnuts is more than 50%, while the profit of OEM is less than 10%. Xinmai must upgrade its supply chain brand.
According to "Financial Eleven", Xinmai's breaking point was also joining the Gigafactory project. When a waiter from 1688 found him, Dong Fanming believed that the Gigafactory was to 1688 what , Tmall, and were to Taobao, with the opportunity to make dividends. Dong Fanming decided to invest 100,000 yuan to see what could be done. The final result of
is that in 2021, Xinmai spent a total of 200,000 yuan on membership fees and advertising fees on 1688, earned nearly 8 million yuan in revenue on this platform, and gained new high-end customers such as French Le Cordon Bleu.
Two years ago, why hadn’t even a second-generation factory like Dong Fanming heard of 1688? Why can 1688 now bring high-quality customers to Xinmai, even customers from far abroad?
In fact, 1688 is no longer just the B2B trading platform in everyone’s impression, but a high-quality supply matching system built around buyers’ needs to find high-quality supplies. Starting from the end of 2020, while promoting the super factory, 1688 will establish a production area development center, sort out the supply chain in the industrial belt, establish and improve standards, and improve the factory's light customization capabilities. On this basis, the factory-finding channel was launched to allow customers to find good factories and more smoothly match customization needs.
According to "LatePost", starting from January this year, with the appointment of the new president of 1688, the first big change perceived by the business department was that KPIs were replaced by the OKR system. The President's "O" was also discussed for seven or eight rounds.
first retreated and returned to the fundamental question: "Originally, I just thought that I was awesome, but this awesomeness is essentially the cow of the times and the cow of China. Looking back, what did we bring to our customers?"
On the last day of last year, Alibaba domestic The GMV-driven model of e-commerce has been officially stopped. Taobao as a whole has begun to shift from a transaction-matching orientation to a consumption service orientation, improving user retention and repurchase orientation. As Taobao’s “strong lower body” and the most mainstream core supply support for Alibaba’s domestic e-commerce sector, 1688’s rules have also changed. In the past,
platform rules encouraged merchants to increase GMV and conduct promotions. Now, the emphasis is on allowing merchants to focus on products and services, making it easier for customers to do business.
1688 has a clearer direction - back to user experience and high-quality supply. The former is the original intention of putting customers first, and the latter is 1688’s core competitiveness. These two keywords point to more certain customer value, including improving buyers’ purchasing experience, merchants’ new customer conversion rate, and old customer repurchase rate.
high-quality factory also discovered the opportunities brought by this direction. Dong Fanming calls 1688 a blue ocean, a blue ocean belonging to factories.
The most knowledgeable about China’s dividends
Jiashifa and Xinmai, in addition to 1688, Taobao and Tmall, have also established other content e-commerce platforms such as Douyin, Xiaohongshu and so on. Through these platforms, they can gain insight into consumers’ first-hand demand information and timely feedback.
Xie Cuifen said that she is also a camping enthusiast and often organizes KOLs to camp together. "When I was camping, I had the same feeling I had when I was a kid. I saw what people in other tents were eating and chatted with each other."
KOLs like these also often give her feedback on product suggestions.Once, a northern camping expert suggested whether the camping chair could be equipped with a seat cushion? Because the winter in the north is really too cold. "This is something that we Guangdong people can hardly think of."
Xinmai has made various attempts in the past year. For example, AI can be used to select products that suit market demand and improve the response speed of the supply chain. The operation of
1688 also often communicates with the factory. Once, the product manager of Xinmai was considering how to upgrade a small flower cookie to create a hit. The operation of 1688 accidentally complained that this product needs to be packed with ice packs when shipped in summer, otherwise it will melt, which is very troublesome. This sentence inspired Xinmai that they can make "GELATO in cookies (Italian handmade ice cream, soft taste)". After finding this selling point, the upgraded product immediately "sold out" on 1688.
Dong Fanming said that the waiter at 1688 knows the factory very well and knows what the factory needs to do to do better on the platform.
Dong Fanming found that many buyer groups are Internet celebrity brands that were previously inaccessible offline. "They began to contact us proactively, hoping that we would supply them with goods, including some major foreign brands that also expressed requests for long-term cooperation."
This is completely different from the traditional model that relies on personal connections and relationships. Based on this trend, this also gave him more confidence, "This year we have set an online goal of reaching 10 million yuan." Dong Fanming specially set up a special team to control new market trends.
For Jia Shifa, the difficulty in doing retail at the current stage is mainly to accumulate refined operational capabilities. Over the past year or so, 1688’s waiters and operations staff have helped a lot in this regard.
1688 Li Tao (named Lan Ding), head of the clothing industry of the large operation team, said that this year 1688 will focus on promoting the "Butler-style Origin Service Plan". More than 20,000 origin service waiters across the country will provide personal service to merchants and help merchants quickly improve their e-commerce business operation capabilities. Taking Guangzhou Women's Clothing as an example, through the guidance of localized service waiters, the transition period for new merchants has been shortened from more than 90 days to less than 60 days, which has greatly improved the business efficiency of the merchants.
Today, more than 200 Guangzhou Shisanhang stalls are active on 1688, covering 50% of the offline top stalls.
The high-quality supply behind these leading stalls is directly connected to sellers on Taobao and Tmall through 1688, the "entering Taobao" bridgehead brought by the industry. Through 1688, Thirteen Banks is accelerating its advancement into Taobao. In May 2022, a small number of Taobao merchants can already see a special area for offline stalls that is still in "grey testing" on the workbench " Qianniu ", mainly products from the Thirteenth Line stall. These High-quality supply is "turned online" through 1688. The
super factory project not only brings customers to the factory, but more importantly, it also provides supply chain services to the factory. Chen Sheng, head of the 1688 Origin Development Center, told the media, “The first is customizable services, which help factories customize products for new brands and new channels on the market. The second is to help factories with distribution. Some large factories do not focus on wholesale. , but how to build online digital distribution channels, then 1688 will help them establish online distribution capabilities. The third is to allow factories to have light customization capabilities. For example, some companies need to add their own logo when buying products, or If the packaging needs to be changed, the factory can respond quickly. "
And 1688 is also deeply involved in the factory's rapid response capabilities, such as quickly producing product renderings according to the buyer's needs, two-hour proofing, 72-hour delivery, and lightning customization. In terms of
logistics, 1688 links Cainiao to collect goods at your doorstep. The factory only handles production, and the delivery issue can be left to the platform. During the epidemic, 1688, as a B2B e-commerce company, sometimes delivered goods more efficiently than B2C e-commerce companies, with a 48-hour collection rate of 88%, and this number includes cities affected by the epidemic.
These services are all designed to help factories adapt to changes in China's consumer and retail markets.
This year, 1688 began to launch the flagship project in Foshan, and Jiashifa also joined in. The corresponding SKA (Super Key Account) marketing budget for this project is one million. Xie Cuifen said that we must make good use of this advertising investment to expand sales.
And SKA also has a "value-added service", which is centralized training for business leaders. Xie Cuifen believes that this CEO class is very helpful to her. The teachers share very practical practical experience, such as how to refine the selling points of products, how to differentiate them, and how to expose the selling points during promotion.
"This made us realize that our online store still has many shortcomings." Xie Cuifen said.
Xie Cuifen has completely changed her understanding of 1688. She originally thought that the average demand of customers on this platform may not be large, and more of them are flexible small orders. But now, several of Areffa’s most important customers are obtained from 1688.
Li Tao said that for brand factories and leading industrial factories, 1688 combines different business scenarios of spot wholesale, heavy customization and light customization, and provides three equity tools , namely speed education, gold medal manufacturing and lightning customization. , specifically designed to help merchants conduct e-commerce operations in a more streamlined and efficient manner. Specifically,
provides merchants with flexible production and quick return capabilities for small orders, providing product tool capabilities that prioritize quick returns, helping merchants quickly identify downstream trend styles, timely launch refurbished products in response to market demand, and achieve explosive sales. .
Moreover, for major manufacturers in the production area, 1688 is equipped with production service personnel and training courses in five key business areas across the country, from online tutoring to offline 1-to-1 door-to-door business review, to help merchants do a good job in B2B in an all-round way Business.
For factories, stepping out of the comfort zone to do retail and branding, the biggest gain is not only growth, but the greater value is seeing a broader future.
Xie Cuifen went to Hangzhou in June this year to attend the 1688 Member CEO Class. A pet products owner’s sharing left a deep impression on her.
"He said that he has six online stores, which were also developed on 1688. Before 1688, the factory was immersed in production. But 1688 allowed him to see the space for learning and growth, and he now spends every year studying The money was more than 300,000. At that time, I felt I had seen my future.”
.Once, a northern camping expert suggested whether the camping chair could be equipped with a seat cushion? Because the winter in the north is really too cold. "This is something that we Guangdong people can hardly think of."
Xinmai has made various attempts in the past year. For example, AI can be used to select products that suit market demand and improve the response speed of the supply chain. The operation of
1688 also often communicates with the factory. Once, the product manager of Xinmai was considering how to upgrade a small flower cookie to create a hit. The operation of 1688 accidentally complained that this product needs to be packed with ice packs when shipped in summer, otherwise it will melt, which is very troublesome. This sentence inspired Xinmai that they can make "GELATO in cookies (Italian handmade ice cream, soft taste)". After finding this selling point, the upgraded product immediately "sold out" on 1688.
Dong Fanming said that the waiter at 1688 knows the factory very well and knows what the factory needs to do to do better on the platform.
Dong Fanming found that many buyer groups are Internet celebrity brands that were previously inaccessible offline. "They began to contact us proactively, hoping that we would supply them with goods, including some major foreign brands that also expressed requests for long-term cooperation."
This is completely different from the traditional model that relies on personal connections and relationships. Based on this trend, this also gave him more confidence, "This year we have set an online goal of reaching 10 million yuan." Dong Fanming specially set up a special team to control new market trends.
For Jia Shifa, the difficulty in doing retail at the current stage is mainly to accumulate refined operational capabilities. Over the past year or so, 1688’s waiters and operations staff have helped a lot in this regard.
1688 Li Tao (named Lan Ding), head of the clothing industry of the large operation team, said that this year 1688 will focus on promoting the "Butler-style Origin Service Plan". More than 20,000 origin service waiters across the country will provide personal service to merchants and help merchants quickly improve their e-commerce business operation capabilities. Taking Guangzhou Women's Clothing as an example, through the guidance of localized service waiters, the transition period for new merchants has been shortened from more than 90 days to less than 60 days, which has greatly improved the business efficiency of the merchants.
Today, more than 200 Guangzhou Shisanhang stalls are active on 1688, covering 50% of the offline top stalls.
The high-quality supply behind these leading stalls is directly connected to sellers on Taobao and Tmall through 1688, the "entering Taobao" bridgehead brought by the industry. Through 1688, Thirteen Banks is accelerating its advancement into Taobao. In May 2022, a small number of Taobao merchants can already see a special area for offline stalls that is still in "grey testing" on the workbench " Qianniu ", mainly products from the Thirteenth Line stall. These High-quality supply is "turned online" through 1688. The
super factory project not only brings customers to the factory, but more importantly, it also provides supply chain services to the factory. Chen Sheng, head of the 1688 Origin Development Center, told the media, “The first is customizable services, which help factories customize products for new brands and new channels on the market. The second is to help factories with distribution. Some large factories do not focus on wholesale. , but how to build online digital distribution channels, then 1688 will help them establish online distribution capabilities. The third is to allow factories to have light customization capabilities. For example, some companies need to add their own logo when buying products, or If the packaging needs to be changed, the factory can respond quickly. "
And 1688 is also deeply involved in the factory's rapid response capabilities, such as quickly producing product renderings according to the buyer's needs, two-hour proofing, 72-hour delivery, and lightning customization. In terms of
logistics, 1688 links Cainiao to collect goods at your doorstep. The factory only handles production, and the delivery issue can be left to the platform. During the epidemic, 1688, as a B2B e-commerce company, sometimes delivered goods more efficiently than B2C e-commerce companies, with a 48-hour collection rate of 88%, and this number includes cities affected by the epidemic.
These services are all designed to help factories adapt to changes in China's consumer and retail markets.
This year, 1688 began to launch the flagship project in Foshan, and Jiashifa also joined in. The corresponding SKA (Super Key Account) marketing budget for this project is one million. Xie Cuifen said that we must make good use of this advertising investment to expand sales.
And SKA also has a "value-added service", which is centralized training for business leaders. Xie Cuifen believes that this CEO class is very helpful to her. The teachers share very practical practical experience, such as how to refine the selling points of products, how to differentiate them, and how to expose the selling points during promotion.
"This made us realize that our online store still has many shortcomings." Xie Cuifen said.
Xie Cuifen has completely changed her understanding of 1688. She originally thought that the average demand of customers on this platform may not be large, and more of them are flexible small orders. But now, several of Areffa’s most important customers are obtained from 1688.
Li Tao said that for brand factories and leading industrial factories, 1688 combines different business scenarios of spot wholesale, heavy customization and light customization, and provides three equity tools , namely speed education, gold medal manufacturing and lightning customization. , specifically designed to help merchants conduct e-commerce operations in a more streamlined and efficient manner. Specifically,
provides merchants with flexible production and quick return capabilities for small orders, providing product tool capabilities that prioritize quick returns, helping merchants quickly identify downstream trend styles, timely launch refurbished products in response to market demand, and achieve explosive sales. .
Moreover, for major manufacturers in the production area, 1688 is equipped with production service personnel and training courses in five key business areas across the country, from online tutoring to offline 1-to-1 door-to-door business review, to help merchants do a good job in B2B in an all-round way Business.
For factories, stepping out of the comfort zone to do retail and branding, the biggest gain is not only growth, but the greater value is seeing a broader future.
Xie Cuifen went to Hangzhou in June this year to attend the 1688 Member CEO Class. A pet products owner’s sharing left a deep impression on her.
"He said that he has six online stores, which were also developed on 1688. Before 1688, the factory was immersed in production. But 1688 allowed him to see the space for learning and growth, and he now spends every year studying The money was more than 300,000. At that time, I felt I had seen my future.”
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