800Buy transaction volume reached 19.4 billion yuan, a y-o-y increase of 16.5%
800buy's market statistics report show a rise of transaction volume of 16.5% y-o-y to 19.4 billion yuan in July according to Chinese group purchase industry. It is the first rise after 3 consecutive month of decline. In June the turnover fell 5.6% M-o-M. Nearly 50% of the users bought the top seller products which amount 2.4% of the whole product range. Astonishing 98% of the orders are made of less than 30 people.
Price Strategies In The Luxury Industry
Famous luxury brands Dior, Chanel and Celine have disclosed a bit about their price strategies. What makes sense to them, is to increase prices twice a year for about 3-5%. Moreover limited products and decreased prices for specific events generate good sales. To increase brand awareness, they've cooperated with museums to showcase their products at exhibitions taking place there.
China's Social Media Leader Sina Releases New Ad Format
A new ad format is currently being tested by BMW China and Ctrip. Ads that are published with this format, will appear as the first posts a user sees, when he logs on to Sina Weibo. As more posts get published, the ad will sink further down in the newsstream. But Sina Weibo also cares about the user's experience and therefore only one ad of that kind is shown within 24 hours.
Source: China Internet Watch
Extorted sellers on Taobao
Recently Taobao opened the malicious evaluation online activist channel. The evaulations should be an important reference for other customers and shops can get distinguished as "gold medal shop". But buyers extort sellers with bad evaluations. Taobao reacted and punished 37.000 customers and cancelled 70.000 malicius orders.
E-commerce price war is consumer fraud
Customers are dissatisfied with the e-commerce price war because they did not get the praised benefits. But also suppliers complained as they did not welcome the price war. Now NDRC (Development and Reform Commission) is investigating against 360buy, Gome and Suning. They found out that the process of price war is consumer fraud. The specific fines are not yet determined.