How do Western brandsenter Chinese e-commerce platforms such as Tmall and JD.com? How to open a store?
Taobao, JD.com and Pinduoduo are the top three largest e-commerce platforms in China. In 2020, as Covid-2019 played a dramatic role, the temporary closure of offline stores led to the growth of e-commerce, and more Chinese people turned to online shopping. The e-commerce industry has accounted for 36% of China's total sales, and it has grown by 5.9% by the first quarter of 2020.
In the first quarter of 2020, Tmall's sales of physical goods increased by 10% year-on-year. As of the end of 2019, the total value of all orders from JD.com increased by 24%. Pinduoduo’s sales increased from RMB 557 billion in the first quarter of 2019 to RMB 1.15 trillion in the first quarter of 2020, and sales increased by 108%.
According to China's e-commerce market data monitoring report, the best-selling products in 2020 are snacks, maternity wear and women's fashion. Snacks and nuts increased by 54%, mothers and infants increased by 36.5%, and fashion women increased by 31%. Of course, men's fashion, men's fashion cosmetics and perfumes, beauty and personal care products are also increasing, respectively 29%, 27%, 25%.
The growth rate of e-commerce in China still has great potential. As a foreign wholesale or retail brand wishing to enter the Chinese market or establish a new online sales channel, you may want to understand these things. For example, how to enter the Chinese e-commerce platform? And what materials are needed to open Taobao, Tmall, Jingdong and other stores?
- Basic Information:
lb. Registration documents or business license of the company that opened the store
lc. Statement of authorized representative of the company
le.Open a bank account or bank statement
lg. Authorization of the brand owner
- For overseas companies, use foreign trademarks to open Tmall international stores or JD international stores for cross-border e-commerce. Note the following:
la.Registration of companies outside China
lb. Overseas sales qualification
- For the use of Chinese domestic trademarks for Chinese domestic e-commerce, the following are also required:
a.Use company registration in China
b.Company tax registration
Opening a store on one of China's major e-commerce platforms usually involves the following four steps:
- 1.Submit an application
After completing the application, this means that for 1 day, you must:
A. Choose the type of store
B. Select product category
C. Prepare the required documents
D. Submit an application online
The application verification period is 7 days.
The e-commerce platform conducts qualification examination of the application based on the submitted documents.
- 3.Preparation for opening a store
It takes 7-14 days to prepare to open a store, including:
A. Activate the account by making appropriate payments
B. Prepare product pages and ensure intuitive store navigation and design
C. Simultaneous logistics and distribution to maintain consistency with e-commerce platforms
D. Prepare for the official release of customer service personnel
- 4. Officially released
The official release time is 3 days, including below:
Launch product sales and any marketing plan to increase store traffic
Increase initial traffic and sales to maintain long-term success.
If you have any questions about registration, opening an e-commerce store, and later promotion, you can contact Domatters. We are always ready to serve you.