On September 10th, the 2020 Tencent Global Digital Ecology Conference Retail Session and Smart Retail Digital Growth Summit were held on the cloud. At this conference, Lin Jinghua, Senior Vice President of Tencent and Head of Tencent Advertising & Tencent Smart Retail, delivered a keynote speech "New Ecology of Private Domain, New Growth Pattern", in-depth expounding on Tencent Smart Retail’s new thinking and new trends in private domain business. layout. In the future, what Tencent will do is not just a "digital assistant" for retail companies, but a business partner that helps retailers achieve sustained growth.
Private domain management has become a trend, and retail companies are facing new challenges
At the meeting, Lin Jinghua proposed the definition of private domain business for the first time. In his view, the private domain format is an independent brand management position that integrates online and offline, and it is also a new format for independent brand development, comprehensive control of customer relationships, and online and offline linkage. In the past three years, Tencent has explored large-scale private domain business models including official mini-program malls, official shopping guides, and super communities.
With the guidance and help of Tencent, the private domain business has become prosperous. Many retailers have completed the construction of a private domain business that uses the WeChat mini program mall as the main transaction carrier and integrates online and offline. Up to now, the number of mini programs has exceeded 1 million, and the daily user activity has exceeded 400 million; in 2019 alone, the transaction volume of mini programs has exceeded 800 billion.
In the process of building private domain business formats, retail companies have also initially mastered the use of small program malls, official accounts, Moments of Friends, communities and other tools to connect shopping guides, store operators and customers to achieve repeated user reach and promote repurchase Skills. However, with the large-scale development of private domain traffic, retail companies often face new challenges in product technology, organizational management, product selection capabilities, and operating procedures.
Tencent helps retail companies achieve four key capabilities
In terms of product technology, some retail companies have a weak IT foundation, and it is often difficult to support the personalized functions and large-scale access, transactions and services of self-operated malls, and it is difficult to realize the integration of online and offline products, users, transactions, and data. This will further affect product selection and operational capabilities, making it difficult for retail companies to quickly grasp the characteristics of new contacts, apply and launch operations that consumers like; it will also be difficult to improve warehousing capabilities, accurately allocate goods, and optimize delivery processes. Organizational and management challenges such as the loss of leaving customers for shopping guides will further affect operating efficiency.
Tencent can make full use of its own technological advantages and user insight advantages to help retail companies realize the evolution of the four key capabilities of digital product capabilities, digital product selection capabilities, operational process establishment capabilities, and corporate organizational capabilities, and support retail companies to achieve private domain business models. Continuous development.
The Wal-Mart Mini Program, which has 70 million users, is a typical case of Tencent Smart Retail's promotion of the evolution of retail enterprises' capabilities. By providing services such as digital strategy formulation, traffic management, product technology, data integration, organizational diagnosis, etc., Tencent Smart Retail helped Walmart successfully integrate offline QR code shopping applets and online home applets, and the daily transaction volume of the applets Turned 30 times -40 times.
To be a business growth partner of retail companies
Faced with new challenges in retailer's private domain traffic operation, Tencent Smart Retail has reorganized its positioning. In the future, Tencent Smart Retail will not only be a "digital assistant", but will be a retailer's business growth partner, by linking public domain traffic and private domain traffic to promote simple, efficient and sustainable growth of retailers in the Tencent ecosystem.
In addition to providing method and technical support for its own private domain touchpoints such as online contacts, offline contacts, and social contacts, Tencent Smart Retail will also provide centralized assistance in the decentralized private domain ecology. By improving the search capabilities of WeChat search and brand zone, improving the quality of content such as smart retail applets, improving the ability of live broadcast and social sharing, and optimizing the fission mechanism, Tencent will deposit more private domain users for retailers. In terms of paid traffic, with the gradual improvement of the commercialization of WeChat, Tencent will introduce more diverse and rich forms of advertising traffic, and through the combination of one-party data and three-party data, to dig deeper into the crowd and improve the effect of advertising conversion.
"Private domain traffic sounds sexy, but execution is full of various challenges." Lin Jinghua hopes that as more and more retailers embrace private domain traffic, Tencent can help retailers gain more in their respective industries Grow, have greater autonomy, and go further and further on the road of independent brand management.