An introduction to the Social Commerce in China. This presentation will introduce a number of the social networks and eCommerce players like Renren, Kaixin, Sina, Tencent, QQ and Taobao.

1. Social Commerce
in China

2. The evolution of Chinese social media
is happen now with the merging of
eCommerce

3. Enter
CHINESE SOCIAL
COMMERCE
3

4. The Fast Facts - Chinese
eCommerce
“142MM online shopping users by June 2010” CNNIC, June 2010

5. The Fast Facts - Chinese Social
Media
Chinese social networking habits:
• 420 million Internet users in China, 75% of whom are under 34.
• 221 million bloggers.
• 222 million creators of online video.
• 272 million instant messaging users.
• 108 million online shoppers.
• 265 million online gamers.
• 321 million users who download music.
• 40% of Chinese Web users are creators, compared with 21% of
Americans.
• hina’s virtual goods were a $5 billion market in 2009
C

6. We are seeing 2 types of Social
Commerce Platforms

7. Social Media on eCommerce
Platforms
An example
Taobao launched its social network called “Tao Jianghu”

8. eCommerce on Social Networking
Platforms
An example
Starbucks partnered with iPartment
(www.ipart.cn) to target young affluent
Chinese women.
You also see many examples emerging on Renren (a new Groupon like
function has just been released).

9. How can I leverage Social
Commerce?
9

10. Follow some simple guidelines

11. Listen
Use social media analytics to understand what ‘netizens’ are doing
and saying about social commerce? Monitor your competitors
Fast Fact
From a sample of 130 Chinese based company, 65% of respondents said
they’re not using any listening tools to monitor what their customers are
saying about their brand (SinoTech Group, June 2010 )

12. Understand
… and how is your audience different from netizens in other
markets and sectors.
• What are their motivations for purchasing online?
• How do they interact with different social media eCommerce
channels?
• How to they interact with each other across these channels?
• What drives them to participate and spread messages?
• What kinds of messages will they be receptive to?
Fast Fact
China’s largest Internet service portal is Tencent, with 1 billion
accounts (485 million active users)

13. Be visible
Find the right channel and audience.. trial a number of low cost/
effort pilot tests using difference social elements and techniques
such as:
• Social Ads & Apps
• Forums & Communities
• Social Shopping
• Recommendations and Referrals
• Ratings and Reviews
• SMO (Social Media Optimization)
Fast Fact
117 million connect anonymously via bulletin board system (BBS).
They’re where people go to find topic-based communities and where
consumers talk about products and services.

14. Use incentives
Why should netizens engage with your brand and
spread your message?
Is it social currency?
Opinion leadership among peers?
Timely and compelling content?
Access to exclusive promotions?
Incorporate incentives that will drive interest and
participation.
Fast Fact
China is currently the fastest growing and second largest luxury goods
market in the world, second only to Japan. It is expected to reach the
number one spot by 2015. (China’s National Bureau of Statistics, 2010)

15. Gain Trust
Be authentic and transparent in communicating across social
media.
Try to add legitimate value to netizens’ online experiences. Most
importantly, don’t try to deceive this group– they are smart and it
will only lead to backlash and reputational damage.
Fast Fact
Zhenai, the largest online dating site in the world, has 22 million
accounts. Matches are made via 350 dating counselors who get direct
feedback that improves users’ dating and success rates. Prices start @
$450-600/month

16. Social Media is changing
rapidly..
What Should I Measure?

17. Defining KPIs
When defining KPIs, follow these guidelines:
• Choose metrics that actually translate into business context –
quantitative & qualitative
• Define more than just “attention” metrics
• Define KPIs that are actionable
• Don’t just create “blanket” KPIs
• Remember: it’s okay to be unique

18. Examples of Actionable KPIs
• Number of people in a specific location who follow us on a micro-
blog (i.e., Sina in China or Twitter in West)
• Reduction in support costs
• Number of product improvement suggestions from renren fans (or
Facebook in West)
• Increase in product reviews & ratings
• Reduction in sales cycles

19. Other KPIs to Consider
• Volume of consumer-created • Interaction/engagement rate
buzz
• Number of interactions
• Seasonality of buzz
• Store locator views
• Rate of virality
• Registrations by channel
• Embeds/installs
• User-initiated views
• Increases in searches
• Attributes of tags
• Ranking improvements
• Demographics

20. What tool can I use for Social
Media Analytics in China?

21. SinoBuzz™ is an online reputation management solution, a powerful tool for
monitoring and managing online brand, measuring public awareness, sentiment,
influence, and tracing authoritative sources.
[www.sinotechgroup.com.cn]
It provides insights into customer retention and loyalty through analysis of
customer comments towards brands, products, services and sponsored events.

22. outperforming our competition
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Email: info@sinotechgroup.com.cn
Web: www.sinotechgroup.com.cn
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