Market Overview

VIP.com Broadens U.S. Partnerships to Meet Chinese E-Commerce Demand

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Third-largest Chinese e-commerce platform delivers established and emerging brands to 300 million

LAS VEGAS (PRWEB) August 13, 2018

VIP.com, the third largest and fastest growing e-commerce platform in China, is taking a leadership role this week at MAGIC having signed up ten new brands in the last six weeks with the intention of broadening its U.S. reach to include established and emerging brands.

"The Chinese digital consumer is loyal, curious and economically empowered, with a growing appetite for international brands. We see this as a window of opportunity for U.S. companies to achieve sales growth and adjacent product expansion," said Hillary Wang, Head of Global Buying for VIP.com.

VIP.com reaches a shopper base of more than 300 million Chinese consumers. With its NYSE-listed parent company, VIPShop (NYSE: VIPS), recently securing an equity stake from the owners of WeChat, a leading social media platform in China akin to FaceBook, VIP.com will provide brands access to potentially 1-billion active users monthly. The company forecasts tripling its current sales of U.S. goods into China from $2.2 billion in 2017 to over $6 billion by 2020.

Since its U.S. launch in New York in June, VIP.com has added a variety of partners to its platform from fashion, beauty, jewelry, home goods and sporting brands. These include well known companies such as Juicy Couture Swim –Tory Burch, Converse, Under Armour and others had joined the platform – but also emerging brands.

"Chinese consumers are hungry for new and undiscovered international brands. We believe that bringing these companies to the Chinese digital market gives them with a chance to jump-start their businesses in a way that they cannot in other markets," Wang added.

Key to the VIP.com partnership with U.S. brands is its strategic guidance on what they need to offer to successfully engage Chinese online consumers:

  • Cutting-edge technology. Chinese consumers are accustomed to communicating on WeChat, a multi-purpose social media and mobile payment app that seamlessly connects people, products and experiences anywhere in the world. "A global payments system can be a game-changer for US companies. In addition to accessing its functionality in China, US brands could also achieve generational growth by using it to engage the highest spending Chinese tourists when they are in the US," Wang added.
  • Information-rich storytelling. VIP.com's Chinese e-commerce consumers – who are 80% female, interested in quality and willing to pay for it – will linger on a brand site to learn more about its range of products. Since these consumers are also young, unburdened by student debt and relatively new to accessing international brands online, VIP.com advises companies to offer luxurious details and adjacent product information. "We have a high level of loyalty – 84% will come back to the site. With the right information, they will also purchase from it," Wang said.
  • AI-driven logistics. The ability to reach major cities and lesser-developed rural centers whose only means of sourcing international merchandise is via ecommerce, is crucial to serving a country as vast as China. In addition to its premier quality control processes, VIP.com is trialing emerging AI, drone and robotics technology to improve customer services.

VIP.com has 18 warehouses, a cross-border international logistics system and offices around the world including two in the US, New York and Los Angeles.

MAGIC convenes the retail industry from apparel, footwear, accessories and manufacturing in Las Vegas August 13-15, 2018. https://us.vip.com/

For the original version on PRWeb visit: https://www.prweb.com/releases/vip_com_broadens_u_s_partnerships_to_meet_chinese_e_commerce_demand/prweb15687145.htm

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