Alibaba, the marketing laboratory for luxury brands

85 billion dollars. This is the revenue that Alibaba achieved last year on its various platforms during the Global Shopping Festival, which took place this year from October 24 to November 11, 2022 around “Single Day” (11/11, say “double 11” ), Singles’ Day in China. Commercially taken over by Alibaba since 2009, this holiday has become the world’s leading commercial event ahead of Black Friday. 290,000 sellers participated in the operation this year.

Unlike Black Friday, which centers on promotions, “Double 11” is not only expected of Chinese consumers to find bargains. It also allows you to get your hands on limited series, exclusive and new products. For Alibaba, this is the right time to launch its own marketing innovations that will allow brands to impress their customers.

Loyalty, NFT and Metaverse

For the 2022 edition, the Chinese e-commerce giant, owner of AliExpress, Taobao and Tmall, has launched a turnkey loyalty program for advertisers, linked to the NFT collections already available since last year. and its metaverse Taobao Life. Yes, you read that right, it’s all the marketing “buzz words” of the year combined into a single commercial proposal. 40,000 NFTs, called “digital collectibles,” have been created over the past year by about sixty luxury brands on Alibaba.

“We create the entire digital loyalty infrastructure for brands, turnkey”explains to L’Usine Digitale Nicolas Cano, director of international development for Tmall Fashion & Luxury, the luxury and premium corner of Alibaba launched in 2017, which is particularly suitable for this type of marketing.

Build loyalty to compensate for the slowdown in growth

Alibaba’s new loyalty program, called Metapass, is reserved for the best customers according to criteria defined by the brands, and entitles them to exclusive benefits, such as the opportunity to test drive a Maserati or attend the watch fair in Shanghai. It complements the loyalty programs of the brands themselves and 88 VIP, which is somewhat similar to Amazon Prime at Alibaba and brings together 25 million subscribers who spend an average of $8,000 a year on the group’s merchant sites.

“Loyalty is really the battle this year”, says ClĂ©mence Jarry, associate director of the With agency, which supports brands in their development on the Chinese market. In the current context of slowing e-commerce growth due to inflation and Covid-related restrictions, Alibaba saw its sales decline in the second quarter, which is unusual.

Live shopping, a phenomenon in China

This desire to integrate customer and brand experiences is reflected in the tools created by Alibaba for live shopping, which are intended to be “seamless”. 300 million people participated in home shopping sessions on Taobao Live in 2022, said Alibaba France co-head Paul de Billy. For the Coty group (Burberry, Calvin Klein, Hugo Boss, Gucci…), for example, live shopping accounted for 40% of sales on Alibaba this year. Still underdeveloped in Europe, live streaming purchases represent a $300 billion market in China, according to Insider Intelligence.

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