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Mobile Commerce in China: 3 Brand Stories

3 brand stories from China Connect 2015 edition.

Discover how automotive brand DS, Chinese pure player Yihaodian and FMCG KFC China, Successfully leverage mobile in 2014.

http://www.chinaconnect.fr/

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Mobile Commerce in China: 3 Brand Stories

  1. 1. M Commerce in China 3 BRAND stORIEs  
  2. 2. 3’ ON M-Commerce in china (Video)
  3. 3. DS FIRSTautomobile brand to sell on WeChat
  4. 4. Target: Young  Modern  Business  Elite  with   an  Interna5onal  culture,  in  search   of  a  unique  and  very  contemporary   French  luxury  experience   "Chinese  consumers  want  a  new  type  of  premium  cars:  they  are  looking  for   technology  and  aesthe9cism”   Arnaud  Ribault  –  VP  Global  Sales  &  Marke8ng  at  DS  
  5. 5. Objective: Develop  an  innova5ve  e-­‐commerce   strategy  for  DS  5LS  while  illustra5ng   DS  brand  values:  progressive,   dis5nc5ve,  audacious.    
  6. 6. Strategy:   Leverage  WeChat  social   commerce  plaJorm  as  the  key   driver  for  conversa5on  and   sales  
  7. 7. IDea: First  automo5ve  crowdfunded  campaign,   with  3  new  e-­‐commerce  products:  
  8. 8. Pay 1 Yuan and Get a 1 Yuan gift: People  who  pay  1  Yuan  can  benefit  DS  5LS  Luxurious   feast:  a  100  000  KM  free  maintenance  for  3  years  
  9. 9. “DS OrdersBao ”: Pay  5  000  RMB  in  deposit,  and  get  11,11  RMB  per  day”   * *the  name  «  ordersbao  »  is  inspired  from  Alibaba’s  «  Yulebao  »,  the  crowdsourced  film  investment  fund  launched  march  31   2014  witch  met  its  funding  target  of  $11.77  million  (73  million  yuan)  a_er  just  five  days  
  10. 10. “1 Yuan Premium DS Crowdfunding”: Create  a  mobile  internet  circle  sales  mode   ¥  
  11. 11. •  40  000  people  opened  an   account  on  DS  Crowdfunding   •  600  000  have  paid  1¥  for  their   friend  to  get  a  car   •  5  500  cars  sold  using  this   WeChat  Crowdfunding   9 Months Campaign Results “We   want   to   develop   WeChat   as   an   Ecommerce   plaDorm   [...]   The   biggest   challenge  with  WeChat  was  to  embark  with  us  all  our  dealers,  and  to  make   them  understand  how  to  leverage  it  and  work  with  it”   Arnaud  Ribault  –  VP  Global  Sales  &  Marke8ng  at  DS  
  12. 12.                                                                                                                                                                                                                                                                                                                        Source:  Yihaodian   YIHAODIAN Embracing mobile commerce
  13. 13. YHD N°6 2013 CHINA B2C ECOMMERCE WEBSITE Source:  advandgent.com  
  14. 14. 68.7   67.7   65.7   34.0   10.0   7.0   7.0   6.0   5.1   3      JingDong          Tmall    Yihaodian          Amazon          Suning              Jumei            Yixun          VIP.com          Womai                      Dangdang   YHD ranked N°3 most capable e-commerce companies in china* *The  5  following  capaci5es  were  totalized  to  give  these  scores  (rated  over  100  points)  :  commercial  strength,  strategic   strength,  opera5onal  strength,  marke5ng  strength,  organiza5on  and  capacity  building                Source  :  KantarRetail  
  15. 15. age Of yihaodian customers 38,00%   22,30%   20,80%   8,60%   5,30%   4,70%   25-­‐30   19-­‐24   31-­‐35   36-­‐40   41-­‐45   over  45   Source  :  Yihaodian  
  16. 16. % Of customers By Income 9,4% 1,9% 17,8% 33,2% 37,8% 12,0% 30,8% 25,9% 18,5% 13,7% Above  5000RMB     3000  –  5000  RMB       2000  –  3000  RMB     Below  2000  RMB     No  Income     Online  Shoppers      YHD  Customers   Source  :  Yihaodian  
  17. 17. GENDER YHD customer vs overall customer 34%   52%   66%   48%   0%   10%   20%   30%   40%   50%   60%   70%   YHD  Customer   Overall  Ne9zen   Male   Female   Source  :  Yihaodian  
  18. 18. Typical yhd customer Primarily White Collar High Income High Consumption 19 – 40 Years Old
  19. 19. YIHAODIANVirtual stores… In the subway,
  20. 20. ... TO PLAY AND WIN, in the streetS
  21. 21. …TO 1,000 ACROSS THE COUNTRY (video)
  22. 22. “We deliver goods in less than 3 hours”Chris guo – VP YIHAODIAN “Supply chain is the key to compete in the E-commerce market. Tmall has just half of the value chain: they don’t deliver the goods by themselves”
  23. 23. KFC CHINA the magic mobile gameplay recipe
  24. 24. objectives •  Build  KFC  China  brand   •  Generate  engagement   •  Drive  purchase  
  25. 25. Strategy •  Build  a  3D  Tap  Tap  branded   game     •  Develop  O2O  ac5va5on  
  26. 26. IDEA •  Associate  famous  Korean   Boy’s  Band  EXO-­‐M   •  Create  EXO-­‐M  figurine   Toys  with  QR  codes  to   unlock  game  levels     “The   opportunity   of   really   leveraging   games   for   brands   is   par9cularly   important   today   because   the   cost   for   building   a   game   on   mobile   is   far   less   expensive  than  on  a  console  or  PC  ”   Thomas  Meyer  –  Co-­‐founder  of  Mobile  Now  Group  
  27. 27. TVC : campaign launch (video)
  28. 28. TVC: Game Launch (video)
  29. 29. Results “Brands   are   selling   entertainment,   That   is   why   there’s   a   real   synergis9c   symbiosis   with   games,   because   they   are   a   perfect   media   to   create   that   experience,  and  even  to  sell  products”   Thomas  Meyer  –  Co-­‐founder  of  Mobile  Now  Group  
  30. 30. Game Launch day: DeC. 29, 2014 •  Within  2  weeks:  reached  20  years  of  accumulated  game  play   •  Within  4  weeks:  30  years     •  As  of  April  10,  2015:  43  years     •  +1.6  Million  downloads  
  31. 31. TOP MUSIC GAME •  Top  music  game  in  China  for  many  days  (Android  &  Apple)   •  Accidentally  reached  N°2  Music  App  in  Japan  too  (Apple)  
  32. 32. Millions of meals sold Millions  of  downloads  +  Toys  produced  =  Millions  of  meals  sold  
  33. 33.                                                                                          Source:  Mobile  Now  Group   On  launch  day,  figurine  toys  were  already  sold  in  China  on  Tmall.     The  day  a_er,  in  Asia,  toys  were  available  on  an  Ecommerce  website   in  Thailand,  selling  the  whole  collec5on  with  pre-­‐payment  in  a  8  to   10  day  delivery.   Anecdote
  34. 34.                       Twiber:  @ChinaconnectEU     www.chinaconnect.fr  

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