Reporter Gao Na
In recent years, many well-known enterprises in China have accelerated the pace of going overseas and become exporters of culture and lifestyle. A few days ago, the "2023 Global New Brand Insight Report" (hereinafter referred to as the "Report") released by Ebang Think Tank pointed out that new global brands should grasp the five major outlets such as live broadcast e-commerce, full hosting, and AIWe will make efforts in service and brand values, and transform and upgrade from the aspects of chain management and organizational management.
Take cross-border e-commerce as a link to innovation
In the first three quarters of 2023, ASEAN is China's largest partner, the European Union ranks second, and the United States drops to third. The scale of goods between China and emerging market countries has been increasing, and the import and export volume of countries along the "Belt and Road" has reached 1432 trillion yuan, accounting for 46% of China's total import and export value5%。
In the process of globalization, cross-border e-commerce is a strong incision, allowing Chinese enterprises to have a real connection with world consumers, and constantly accelerating the birth of new global brands.
The report defines the "new global brand", which refers to the brand that seizes the new opportunities of the global e-commerce market, is supported by the global business organization system, takes cross-border e-commerce as the innovation link, and aims to establish user trust and trust in the global market. New global brands usually show five characteristics: global omni-channel layout capabilities, digital interactive innovation of supply and demand, pursuit of quality brands, localized user thinking, and some characteristics of multinational companies.
The report points out that there are five major paths for new global brands to go overseas: first, original equipment manufacturers (OEMs) and original design manufacturers (ODMs) transform to build overseas brands, first lay out overseas offline stores, and then use cross-border e-commerce platforms to drive brand globalization;The second is that OEM and ODM derive their own brands, with strong support from the flexible ** chain, and brand globalization through multi-channel layoutThe third is the transformation of domestic online and offline brands into cross-border e-commerce, with the help of independent stations or third-party platforms, to expand business from domestic to overseas;Fourth, the transformation and upgrading of overseas products to overseas brands, with the help of independent stations or third-party online channels to create their own brands, and rapid growth in some sites;Fifth, the overseas offline layout extends online channels, extending and expanding from overseas offline channels to online channels.
To go to sea, you need to grasp the five major outlets
In the 21st century, the process of globalization is accelerating, and all economic entities around the world have established a new model of market economy with the concept of "openness, inclusiveness, innovation-driven, and win-win cooperation" and the goal of sustainable economic and ecological development. The report emphasizes that new global brands need to grasp the five major outlets in order to better face the challenges of the future.
Outlet one, fully managed. The cross-border e-commerce full custody model is similar to the platform self-operation model, the platform is responsible for store operation, warehousing, distribution, return and exchange, after-sales service and other links, and merchants only need to provide goods and stock up for warehousing. The core advantage of the full custody model is that the platform organizes the supporting services of the first chain in an intensive way to minimize the service cost of each link.
Outlet two, short ** and live broadcast e-commerce. The short** and live-streaming e-commerce models have rapidly spread to cross-border e-commerce. The closed-loop shopping link of "short ** + e-commerce" realizes the spread of brands and goods from word-of-mouth to stimulating purchases.
Outlet three, emerging markets. According to eMarketer data, Southeast Asia and Latin America are the only two markets in the world with e-commerce sales growth of more than 20% in 2022, followed by the Middle East and Africa, with a growth rate of 17%, far exceeding the global 12An average growth rate of 2%.
Fourth, the industrial belt. According to incomplete statistics, China has a total of more than 1110 industrial belts, most of which achieve intensive production in the form of physical regional industrial clusters, and under the vigorous guidance of cross-border e-commerce platforms, logistics, payment, marketing, technology and other overseas service providers, as well as local enterprises, traditional industrial belts are undergoing a new round of transformation and upgrading, and the quality, branding and differentiation capabilities of products have been continuously improved, providing rich products for brand globalization.
Fifth, scientific and technological innovation. In 2023, the AI boom will sweep the world. AI is bringing more scenarios to life, consumption, and production scenarios, and for new global brands, AI is not only the core competitiveness of enterprises, but also an opportunity for enterprises to seize competitive advantages.
Upgrade "soft power" to solve new pain points of customers
The external environment continues to change, and new brands are shifting from "through the cycle" to "new cycle". In the new cycle, new brands need to discover the opportunities, how to have both the "fish" and "bear's paws" of the new brand?The report points out that the core advantage of the new global brand is not low-cost products, but the ability to solve customer pain points. Efforts are made in service and brand values, capturing customers' new pain points through digital means, developing and iterating products, and then delivering products to customers as quickly as possible.
The first is to establish a competitive strategy of fighting the old with the new and fighting the slow with the fast. Even if it is far away from the consumer side, brands can still use digital tools to gain more accurate insight into the behavior and needs of overseas consumers, and rely on the flexibility, resilience and manufacturing capabilities of the first chain to quickly obtain local market demand.
The second is to build brand trust. Brand is not only the label of the product, but also the consumer's perception of the quality, reputation and uniqueness of the product, the power of the brand lies in its ability to touch the emotions of consumers and inspire their trust and loyalty.
The third is to establish a transnational management model. Cross-border e-commerce has led to the emergence of a large number of small, medium and micro multinational companies in China, forming a new business management model with the main characteristics of "headquarters in China, team overseas", "R&D in China, factory overseas", "operation in China, brand overseas" and so on.
Fourth, the mode of growth has changed from extensive growth to intensive growth. With the iteration of the overseas consumption environment, with the continuous rise of production and factor costs, profit margins have been further compressed, more and more new global brands have stepped out of the low-price competition track, and the industry is also transitioning from extensive growth to intensive growth.
Localization is an important layout of the brand. According to the report, the channel operation team, brand team and overseas marketing team are the core team composition of overseas brands5% and 325% of businesses have a team. In addition, 60% of the surveyed merchants have set up companies or work teams overseas, and merchants are paying more and more attention to localization, and the localization team can better get close to the market and serve users, which is an important layout for the international development of brands.
The report points out that overseas marketing is a key link for new global brands to actively reach consumers, tell brand stories, and establish brand mentality. Platform bidding and SEO are the most common marketing methods used by new global brands. Merchants who rely on third-party platforms to sell often choose platform bidding to attract traffic to brands and products**, with 46% of merchants applying this method and combining other marketing methods. Brand marketing ability is the most important ability for merchants, and 67% of merchants believe that brand marketing ability is the most important ability in the future. More than 60% of merchants agree that brand marketing, chain management and localization services are the three most important core competencies.