“The toughest bone for e-commerce has become the biggest dark horse this year!” On August 27, ali home decoration ecological strategy summit, alibaba vice President, Tmall home decoration division general manager blowing snow said, home decoration digital advance of 3 years. In the next three years, the digital rate of home decoration will be increased from 10% to 20%, reaching 1 trillion yuan. Alibaba will integrate the forces of the economy, with science and technology as the guide, to promote the rise of the home decoration industry online.
On the press conference Tmall home decoration issued “localization”, “content”, “service upgrade”, “supply upgrade” four major strategies.
To be specific, the search for home decoration products on Taobao will give priority to displaying products in stores near the user, so as to realize online purchase and localized supply. Upgrade flagship store 2.0 to make consumption content scenization through 3D purchase and short video; The logistics service network is fully digitized to improve the coverage of delivery and installation; Use consumer insights to guide business product innovation and upgrade supply.
In the second quarter of 2020, the growth rate of home decoration orders ranked first in Tmall industry. Tmall President jiang fan said, “2020 is a milestone year for China’s home improvement industry. Tmall will continue to upgrade the consumer online experience with technology and product innovation, from ‘shelf display’ to ‘immersive shopping experience’.”
“We often laugh at ourselves over the last few years that home improvement has been a drag on Tmall. Investment has always been at the top of the list, driven by our willingness to spend several times more time and investment than any other industry to make a difference. Because it is truly needed by the common people. In the past 10 years, the Internet home decoration colleagues have been successive, we are more play more yong, more play more confidence. We see the future and we sink even more. With enough patience and good enough technology to change the industry!” Blowing snow indicates.
Affected by internal and external factors, Tmall transformation on the home decoration industry collective. In the home decoration industry online and offline overall negative growth, 618 Tmall home decoration bucked the trend up 61%.
In the past half year, more than 90,000 new home decoration brands have settled in Tmall, reaching the total number of Tmall in the past three years. Offline home decoration stores, export to the factory, as well as international brands, designer brands become the main force. On the consumption trend, smart home, induction lamps, sterilization lamps, smart clothes racks, lazy sofa and other categories in Tmall increase by more than four times.
In the past, the home decoration industry, with its emphasis on offline experience, opaque price, non-standardized delivery and complex service process, has been called the most difficult industry to be transformed online in the retail sector. Ten years ago Tmall set out to build the infrastructure for the long haul.
Based on alibaba’s profound technical accumulation, Tmall launched 3D shopping on a large scale in 618 in 2020. Through the live-action reproduction technology, offline household stores and products were transferred to mobile phones, allowing consumers to freely match sofa, tea table and other products on mobile phones and preview the effect in real time. Thirty-six million people used the service during that time, and the number of merchants who signed up for the service increased nine-fold. In addition, the 10 million registered designers, with a million real goods library, six seconds to complete the hd rendering.
Through in-depth integration with incredibly home, red star macalline and other industry insights, Tmall this year launched the “light store” small program, get through the online and offline, so that brand offline dealers can also enter Tmall. Consumers can not only browse the same city stores at any time and anywhere, but also give priority to displaying the products of nearby stores when searching home decoration products on Taobao, so as to realize “online purchase and local delivery”.
With alibaba’s strategic investment in the industry in thickness, it has established new experience and standards in after-sales service. Since 2013, alibaba began to take a stake in big logistics leading daily shun, suning logistics service providers and home decorating “viewing 007”, “potter” a lot, such as partners, currently large logistics in nearly 3000 counties across the country, 100% delivery and send one service, solve online home appliances, home outfit “the last kilometer” problem.
In the fiscal year 2019, the number of brands with Tmall home decoration turnover exceeding 100 million reached 115, double that of 2018. More than 2,000 brands grew at a rate of more than 100%. In Tmall, not only the Internet furniture brands like Lin’s wood industry, which has been the industry champion for 7 consecutive years, but also the new brands like iguola, which has been the top1 in Tmall for 3 years. Through the store digital, new retail, also let incredibly home, red star Macalline and other home stores operating efficiency doubled.