The 7th BECS Global Brand E-Commerce Summit, co-sponsored by Bloomberg Businessweek and Baozun Inc., concluded successfully in Shanghai on June 29, 2023. The summit, chaired by Li Jian, publisher of Bloomberg Businessweek business group and executive director of Hypermedia Group, centred around the theme of "Excellence To Extraordinary".

During the summit, which comprises over 700 guests and employees, industry leaders shared insights on how brands can be on the pathway to becoming extraordinary brands and partners by embracing growth and innovation while adapting to the dynamic Chinese market. 

 

Beyond eCommerce Excellence: The Path to Extraordinary

In the first session, Vincent Qiu, CEO of Baozun Inc., delivered an opening speech titled "Origins of the Extraordinary". He highlighted the pandemic-induced challenges faced by the industry in the past three years, including the deceleration of eCommerce development. 

However, the eCommerce market recovered rather quickly as well. This is mainly attributed to the size of the market and the tech capabilities, expertise, and mature use of big data that outpace other industries. Vincent stressed Baozun's commitment to pursuing excellence and achieving remarkable results.

 

Achieving Extraordinary Growth through Qualitative Change

Lu Xiuqiong, a global expert partner of Bain & Company, discussed the pain points faced by two brands and offered solutions in her speech on "Extraordinary Growth, From Quantitative Change to Qualitative Change". 

1. It’s not a decrease in consumer spending during the pandemic. Instead, it’s the lack of desire to shop.
2. There is limited growth and profitability across channels.

How can we change growth from quantitative to qualitative? How can marketing change from generating traffic to nurturing constant demand? 

Being people-oriented

Firstly, we must return to being people-oriented. What do consumers want today? Everyone still pursues a high-quality life. Of course, consumers with different spending power have different definitions of high-quality. 

Today, the products you consume and buy are an extension of your outward personality. Consumer demand has shifted from emotionally driven consumption to logic-driven consumption. It is necessary to upgrade from tactical diligence to more strategic dimensions to achieve the three E's to create new value and increase profitability:

• Improving effectiveness (Effectiveness)
• Increasing efficiency (Efficacy) 
• Promoting efficiency (Efficiency)

 

Building Strong Partnerships for Extraordinary Success

Liu Peng, President of Taotian Group (Taobao & Tmall Group)'s Brand Business Development Center, stressed the importance of collaboration between platforms and brands in his speech titled "Breathing New Life, Building Extraordinary Wisdom". 

Beyond sales and revenue generated, Liu pointed out how platforms should prioritise user management and support brands to achieve customer success while navigating evolving consumer preferences. Data-driven operations play a crucial role in helping brands create exceptional customer experiences and build strong brand loyalty.

As a brand operation centre, Tmall prioritises these three principles for their team:

• Devote time to befriend users. Invest time in building relationships with users. A user who is willing to spend time is more precious than one who’s willing to spend money.
• Become a long-term partner to the brand. Brands and platforms succeed and fail together. Having to collaborate together sets both parties up for mutual success.
• Partner with suppliers of ecosystems. As a platform, we need Baozun, ISV (Independent Software Vendor), and AI service providers for a more holistic ecosystem. It is only through this that everyone can achieve a win-win situation.

 

Maximising eCommerce Potential: Omnichannel Strategies, Technological Empowerment, and Consumer-Centric Approaches

Yu Junrui, CFO of Baozun Inc., believes that across mid to long-term, eCommerce operations will rely on the increased effectiveness of the omnichannel strategy and the network. Also, brands that invest in developing tech infrastructure and data-driven capabilities while focusing on a customer-centric strategy will value add by providing an enjoyable shopping experience that is catered to their customer demographic. 

Zhu Xiaowei, Vice President of eCommerce and digital intelligence at Moët Hennessy Diageo Wines (China), identified three core values for long-term brand sustainability: 

1. Upholding brand DNA by conveying value concepts to consumers
2. Consistently attract consumers with big promotions
3. Transcending commercial pursuits through an entrepreneurial spirit, humanistic approach, and commitment to environmental sustainability

 

The Power of Community Through Authenticity and User-Centric Approach For Social Commerce

Minako, General Manager of Xiaohongshu Commercial Marketing Center, delivered a keynote speech titled "Immersing In The Trends & Growing With The Wind". She highlighted the importance of genuine user needs and user-generated content (UGC) in driving interactive behaviour within Xiaohongshu's community.

The community thrives on the authenticity and heartfelt content shared by individuals, fostering an environment where trends and scenarios originate organically. Here, the saying "ordinary people help ordinary people" resonates, reflecting the trust and genuine connections among Chinese users who come together as a group of ordinary individuals.

Read More: Social Listening & eCommerce: How Relevant Is It For Brands In 2023?

 

Innovating With Chinese Shoppers in Mind

Leaders from various brands shared their experiences on innovation during the round table discussion on "Innovate To Become Extraordinary". Joyce Chang, CMO of Baozun Inc., shared how international brands can better assimilate into the Chinese market.

How international brands can assimilate into Chinese market

For international brands, there are many layers of communication with the headquarters - taking up significant time and effort. The local team must be convinced of their efforts and develop a marketing plan that is catered to Chinese consumers while aligned with the brand direction. 

Wu Xiao, General Manager of HOKA's China, advocates for Chinese-specific publicity in China. For HOKA, the key is in the community. Building a brand’s influence in community groups is key to understanding the pulse of local consumers. Moreover, the product itself must be good enough to drive long-term demand. 

On the other hand, Li He, head of Moroccanoil China, highlighted the importance of an omnichannel approach that integrates social commerce and eCommerce. Being a latecomer to the game, Moroccanoil is limited in their market share and operational capabilities. What they need is a partner with well-established capabilities to grow with them. Baozun offers battle-tested infrastructure and big data required to support their eCommerce blueprint in China. 

 

Conclusion

Over the past three years, the change in lifestyle has promoted the rapid development of the eCommerce industry. At the same time, consumers' shopping behaviours have become more rational. Every major platform is working hard to improve its infrastructure to better support logistics, services, merchants, supply chains, etc.

As the leader and pioneer for eCommerce services in China, Baozun Group continues to innovate with our three business units: Baozun eCommerce, Baozun Brand Management, and Baozun International. We continue to empower brands with our flagship service, BOCDOP (Baozun Omni-Channel Digital Operation Platform), to reach new heights. 

 

Read Less...