Alibaba Focuses On "Net Red Economy" To Enhance Social Impact For Taobao Drainage

In March, Alibaba (hereinafter referred to as ALI) convened 250 media to Hangzhou headquarters, announced that its electricity supplier turnover (GMV) exceeded 2016 yuan in the 2016 fiscal year, and that it is expected to exceed WAL-MART in the 2016 fiscal year and become the largest retail platform in the world.

GMV broke through 3 trillion. Why is Ali still eyeing it?

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This argument has caused some controversy, but anyway, the rapid growth of Ali platform is a fact.

And not to see how the foreign media commented, Ali Ali's current growth trend, simply calculated according to GMV, Ali is more than WAL-MART sooner or later.

It should be said that Ali is indeed rich and powerful, and is becoming stronger and stronger.

But GMV has broken through 3 trillion yuan, and Ali has recently been eyeing the net red economy which is not very conspicuous.

In March 1st, Alibaba group CEO Zhang Yong delivered a speech at the 2016 Tmall global business conference in Hangzhou. "These two years user behavior has changed so fast that a large number of consumers have moved to the mobile terminal. Today we are in the wireless era."

He pointed out that Ali wireless has three important directions, that is, to realize community-based, content oriented and life service in wireless.

For the first time, he affirmed the importance of net red. He also said Ali would set up a team based on Tao's operation and content operation.

It is reported that there are hundreds of net red shop on Taobao platform, has more than 5000 fans, they rely on social networking to quickly introduce fashion trends, Taobao on the pre-sale, customization, with a strong fan appeal to get a better sales, forming a new business model.

Since the 9 month of 2015, Taobao has set up IFASHION platform for net red.

This time, Zhang Yong's position has affirmed the importance of net red to Taobao again.

Although the whole scale is not large, why does Ali start to focus on the net red economy?

Patterns mature through market testing.

Net red shop is a new phenomenon in recent years, but its representative fans' economic model has a long history.

The atmosphere in China started with entertainment stars.

In the early stage of Hong Kong and Taiwan entertainment circles, Edison Chan (mmm, the main character of the pornographic door), Jay Chou, Li Chen, Willber Pan, Show Luo and others all had their own tidal shops, and had already gathered a lot of popularity and became more prosperous.

These fashion stars make fashions of fashion with their dress taste, integrate their fashion attitude into the tide card concept, increase their popularity and create fashion trends, and of course, they make a lot of money.

Later, Li Jing used this idea to set up a happy bee net and signed many star brands.

With the popularity and appeal of celebrities, the development of related businesses has expanded rapidly. At that time, Le bee network has become a new supplier of e-commerce.

Although the competition was intense and there were some problems in operation, vip.com was purchased by Lok bee net, but its fans economic mode opened up a new window for other emerging vertical businesses in the future.

Compared with the star's high price and lack of professionalism, the net red that has a value or expertise is much more popular.

There was no scruples about their identity and fame. The net red economy quickly found its seats in cosmetics, clothing and other fast moving products.

Many vertical electricity providers such as mogujie.com, Xiao Hong book and so on take the net red economy as the electricity supplier breakthrough, while some net red spontaneously opens shop in Taobao, attempts to realize the fan realization.

Net red economy in the industry has also been widely recognized, even mentor Li Kaifu also affirmed and optimistic attitude.

The prospect is good, plus the business model has passed the market test. There is almost no risk. Ali naturally can not ignore this potential market power.

Traffic, traffic, traffic, important things say three times.

Another important reason why Ali is staring at the red economy is that the net red economy can bring a very considerable flow from outside the station.

After rapid development, Taobao's traffic growth rate is getting slower and slower.

On the one hand, the high-speed development period of the electricity supplier has passed. The ceiling of Taobao's self generated traffic appears; on the other hand, the arrival of mobile social networking era, the rapid rise of vertical APP of mobile Internet, and the diversion of Taobao traffic from outside.

And the sellers and brands that are stationed in Taobao are still growing, which requires more traffic to meet the needs of sellers and brands.

Ali shares Sina micro-blog, in addition to the layout of social interaction against Tencent, another important purpose is to guide Taobao traffic.

So we can see that after becoming a shareholder, Ali signed a long-term agreement with sina micro-blog, and put a lot of advertisements on it, so that the Taobao direct train and drilling exhibition were full of eyes.

In recent years, Ali has acquired frequent moves in the field of O2O, e-commerce, mobile Internet, social software, cultural media, logistics and finance.

Ali's acquisition is very complicated, and can not be explained by technical integration. Instead, it is more like monopolization of electricity suppliers through acquisitions. Therefore, some people say that the purpose of Ali's acquisition is only one: give me traffic!

Net red is the group that can bring its own traffic. The number of fans in the top web is 100 million, and hundreds of thousands of fans are more red.

They are

Shop, there is no need to flow from Taobao's existing flow pool, but a large number of fans from outside the station to rush back to Taobao, buy net red shop goods.

It is reported that some of the red shop shops on the new turnover can be broken tens of millions of yuan, the performance is no less than some well-known clothing brands.

Just as Taobao traffic is a big headache, Ali suddenly discovered that the net red group with its own flow is tantamount to providing timely help.

In fact, in addition to traffic and trading volume, net red relies on its powerful influence on social networks, and brings back considerable new users to Taobao.

Enhancing social influence and involvement in content production

Net red's social influence is also a factor of Ali's optimism.

When it comes to BAT, people often think that Ali connects people and commodities.

To be careful, Taobao connects sellers and users through commodities, Tmall connects sellers and users through brands, while net red connects users and commodities through social connections.

Net red economy, which is a strong relationship between commodities, users and social networking, is what Ali wants to break through but has never been able to do.

In the mobile Internet era, the impact of social interaction on people's lives is almost pervasive, and the electricity supplier is no exception.

The concept of social business is also rising. Micro business can be said to be the pioneer. Although we are bombarded by the mask method of friends circle, we can not deny the pioneering role of micro business. It has been claimed that the outstanding performance of the mask micro business has been over 100 million yuan a year.

In addition, the community + business model has become the direction of many mobile APP penetration into the electricity supplier, and social and content efforts are being made to increase user trust and viscosity.

Micro-blog, unfamiliar street and other social applications are also eager to try to get a slice of it, of which micro-blog has already launched micro-blog stores.

In foreign countries, Facebook and Twitter began to test the shopping buttons in 2014, aiming at impulse lovers.

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Although domestic social networking providers are not enough to shake Ali's dominance, the influence is growing steadily.

The small businesses that are mixed with each other are going through the standardized knockout competitions. The shops with formal platforms such as praise and micro Union are growing rapidly, and beauty makeup, women's clothing and cross-border electricity providers have opened their way to social networking providers.

As we all know, social interaction has always been the short board of Ali and the pain of heart.

Ali is not worried about the social platform itself, it cares about social changes may change the user's shopping habits, resulting in Ali's electricity supplier traffic and sales were copied, shaken the basic business, before blocking WeChat is based on this consideration.

An important reason for Ali to invest in micro-blog and unfamiliar street is to enhance the right to speak socially.

Net red economy was born, so Ali found a breakthrough in social networking applications.

There is no need to control social platforms. Through net red, you can get through all social platforms and sell products.

Net red social strong relationship, making the major social platform for their own use, this is Ali's most desired results.

In addition to relying solely on the face of the face of the value, there is another kind of professional red men in the net, such as beauty, clothing and other aspects of the grassroots or star experts.

They provide high quality content related to the use of merchandise, although at present, they are mostly involved in advertising by marketing, but their influence in the future will not be weaker than that of the 15 minute cone of 15 minutes.

Because the content of professional skills is far more vitality than facial value and novelty.

Through them, Ali can also intervene in content production from simple commodity sales, and get rid of the original pure selling mode and promote the upgrading of the electronic business mode.

Of course, these are relatively far away, and may take time to verify.

Net red instead of Amoy brand has become a new driving force for Taobao's growth.

Once upon a time, Amoy brand was the most active growth force on Ali platform.

With the flow bonus and the early first mover advantage, many Amoy brands emerged, creating an electricity business myth and promoting the performance of Ali.

But with the establishment of Tmall's predecessor Taobao mall, the short spring of the Amoy brand is coming to an end.

In the case of Tmall becoming increasingly strategic and resource oriented, Taobao has become the entrance of Tmall traffic.

A large number of Amoy brands have been hit by traditional brands after being settled in Tmall. The acquisition has been lucky. More Amoy brands have disappeared from the list of sales, and only a few have survived stubbornly.

With the introduction of the brand invitation system in 2015, Tmall did not open up to the emerging brands. The growth of the brand has disappeared. Taobao's growth path is limited, and Taobao is losing its original vitality.

Despite the fact that Taobao's importance to Alibaba has been decreasing from the point of view of revenue, Taobao, as the mother of Ali, has played a very significant role in supporting Tmall and Tmall internationally.

Ali recently has an action, that is, Tmall international to Taobao C shop to start the distribution mode, on the surface is to support the development of Taobao C store.

The actual situation is just the opposite. Because of Tmall's insufficient international traffic, the purpose of launching the distribution is to increase sales volume by Tmall's international diversion through Taobao's large traffic volume.

Without Taobao, Ali will suffer a lot of business, including Tmall, which is booming.

But the problem is that the business of Taobao sellers is becoming more and more difficult. How to ensure the enthusiasm and growth space of Taobao platform sellers, so that Taobao can become a traffic pool and seller repository for supporting the overall business of Ali.

After the Amoy brand is withered, this problem is particularly urgent.

The rise of net red economy has provided a new feasible mode for Taobao to pform from personal brand to commercial brand. It is expected that in the future, Ali will introduce a special plan to support the pfer and upgrading of the net red brand with influence and sales volume to Tmall.

The introduction of net red economy catfish will find a new way to promote Taobao's small sellers, and also bring Taobao back to life, which is conducive to the ecological balance and development of Taobao.

Net red economy or becoming the next hot spot of e-commerce competition

To sum up, Ali is eyeing the net red economy cake. It is nothing more than seeing the new business model that has passed the market test. It can not only bring flow and users to itself, but also break through the restrictions of social networking, bring new vitality to Taobao and promote market prosperity.

3 trillion although GMV is high, it wants to achieve the goal of doubling in the next few years. Besides natural growth, Ali has to think of other ways. The net red economy is a good direction.

It is worth mentioning that, as Ali's competitors, Jingdong has also noted the potential of the net red economy. It is reported that Jingdong clothing focused on building a daring plan in 2016.

Unlike Ali's net red, it is different from the direct shop of Jingdong. The net red and fashion media who enter the Jingdong have participated in the "fashion partner".

Jingdong also has its own unique advantage, that is, Jingdong stores can get through with WeChat, so that net red can give full play to social advantages and get more rapid growth.

In the future, the development of the red economy of the electronic commerce network, the battle of Ali Jingdong will probably become a major attraction, while other social business providers also have their own opportunities. After all, they pay more attention to input and focus, which is the guarantee of success.