1. Sinking the market and embracing rural areas

The central word of e-commerce in 2020 is sinking the market. The reason is very simple. There are very few urban users and almost all incremental users. In a sinking market. Data shows that 70% of Taobao’s new users come from lower-tier markets, and 64% of Pinduoduo’s new users. This means that in sinking markets, the market space for incremental users will only be smaller.

In addition, the "Development Plan 2020 Work Points" issued by the Development Planning Department of the Ministry of Agriculture and Rural Affairs requires that in 2020, we will further promote the entry of information into villages and households, and implement the "Internet" project for agricultural products to move out of villages and into cities. In the sinking market, in addition to Alibaba and Pinduoduo, e-commerce giants such as JD.com and Suning will also join in. Therefore, competition in the sinking market will become even more intense in 2021.

2. Live broadcast/short video e-commerce

In the past year, our consumption choices have been basically determined by Internet celebrities. The consumption path includes planting grass, doing homework, clicking to buy, etc. Internet celebrities are participating in every session. Kuaishou e-commerce, which was only launched in 2018, has a transaction volume of over 60 billion in 2019. Although Douyin does not regard e-commerce as its main focus, its transaction volume also reaches 20 billion.

The power of live short video e-commerce is entirely due to the fact that users’ personalized needs are satisfied by watching short videos and live broadcasts, so they spend more time on the APP. Through live broadcast and short video platforms, we can achieve the three effects of dissemination, planting and purchasing in one. Therefore, social e-commerce platforms will increase their emphasis on live broadcasts and short videos in 2021, and live broadcasts and short videos will also become standard features of e-commerce platforms.

3. Private domain traffic

As the cost of obtaining traffic for e-commerce platforms continues to rise, the cost for consumers to obtain shopping product information has become higher, and the cost for merchants to obtain consumers from the platform has also increased. As a result, "private domain traffic" came into being.

Merchants use various methods to attract users to their own media and communities, and reduce customer acquisition costs and improve conversion rates through operations. It is foreseeable that in the field of social e-commerce, self-employed individuals or companies that use personal IP to deeply cultivate private domain traffic will have a better chance of achieving e-commerce success.

In the future, we will continue to aggregate the upstream equity product chain, empower cooperative enterprises with value, deeply serve users, operate efficiently, reduce customer acquisition costs, improve conversion rates, and create a full-link e-commerce marketing system to help More platforms are making gold in social e-commerce.