Success in China E-Commerce: Your Tmall 101

Executive Summary

International brands and retailers looking to expand their presence in China face a complex market. Many retailers partner with established local players to tap into their knowledge, expertise and experience with the Chinese consumer. This guide provides an overview of the support online retailing giant Alibaba offers international brands and retailers looking to expand in China.

• Alibaba’s Tmall accounted for 60% of gross merchandise volume (GMV) in the online retail business-to-consumer (B2C) market in China in the third quarter of 2018, according to China Internet Watch and Analysis.
• Alibaba is the world’s largest online and mobile commerce company, with some 700 million monthly active users as of December 2018, according to company figures.
• Depending on their level of presence in the market, international brands and retailers can use Tmall, Tmall Global, Tmall Overseas Fulfillment (TOF) or Tmall Direct Imports (TDI).
• US baby skincare brand Evereden achieved a visit-to-purchase conversion rate of 15-20% during its first month on Tmall Global, according to Alibaba.
• Some 30% of total retail sales in China were online in 2018, according to eMarketer. China’s Internet retail sales are expected to grow at a 15% CAGR in the five years through 2023, to reach $1.2 trillion, according to Euromonitor International.

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