Office Address. The amount of annual fee is based on A-level categories and it is divided into two rates: RMB 30,000 and RMB 60,000. The percentage of product categories from different countries. The goods must directly come from the store brand trademark holder. © Copyright 2019 Dragon Social Ltd. – All Right Reserved. • Marketing Investment (who bears the expense)– ROI, Tmall Global Merchant Acceptance Standards. Up to now, most of the products don’t require the support of returns, unless it is explicitly the merchant’s fault, such as delivering the wrong size or color of clothing. Tmall’s focus is on offering authentic, quality goods and as such, the requirements for operating a store on Tmall are quite stringent. The post-90s and post-95s consumers and consumption amount increased year by year. Consumers are keen to buy health care products and baby food in the United States, Australia, and Germany, and prefer to purchase skincare products in Japan and South Korea. Stores opened by offline chain supermarkets and marketplaces that operate product categories of a single industry (such as clothing, maternal and infant supplies, beauty products, personal care products, etc. window.mc4wp = window.mc4wp || { If you wish to gain business from the domestic market via Tmall, you will need to have the business registration, otherwise you can only consider Tmall Global and trade on the platform cross border. • How to increase repurchase rates and conversion rates of sales. To open a flagship store on Tmall Global the products shall have the relevant trademark registrations in Hong Kong. In 2017, the number of these two generations is nearly 50% in Tmall Global, with a  40% consumption amount. Young generations become the new force of Tmall Global. Tmall Partners (TP) are Professional Service Company with operations in China that provides merchants with high-quality cross border e-commerce services. This model will save the brands to open and operate the stores by themselves. The goods they sell can be traced back to the class-35 trademark holders of the store brands and the brand owners of the goods. When deciding to sell on the Tmall platform, you should remember to register your trademark. Tmall(named as Taobao Mall before) is a Chinese-language website for business-to-consumer (B2C) online retail, spun off from Taobao, operated in China by Alibaba Group. Currently working in the Dragon Social team in charge of content marketing. TOF is a clever solution for smaller brands authorizing a smaller budget. Born and raised in Mainland China with a strong passion for marketing and the fashion industry in China. 17/F, 80 Gloucester Road, Wanchai, Hong Kong. Only brands with a trademark such as ® or TM can have a flagship store. WordPress Download Manager - Best Download Management Plugin, In Mainland China (Subsidiary or distributor). Brands pack, label, and ship goods to Cainiao’s warehouses outside of China after a customer places an order. If consumers insist on returning the goods, they have to undertake a considerable amount of delivery and tax fee. Tmall is an e-commerce platform for Chinese and international businesses to sell goods to consumers in Mainland China, Hong Kong, Macau and Taiwan. Any merchant operating on Tmall Global must pay a software service fee based on a certain percentage of their sales (referred to as “rates”). (This is for reference only. This means that Tmall Global invites brands of their own volition to enter the Tmall Global marketplace. The primary plausibility for Foreign Merchant is to open a lead store if they are trademark brands. } Stores opened by offline chain supermarkets, marketplaces, online B2C website brand trademark owners, or exclusive entities directly authorized by the trademark owners on Tmall Global. Tmall Global is a significant step for Alibaba in cross-border e … But opting out of some of these cookies may have an effect on your browsing experience. In terms of logistics, Tmall Global requires merchants to send out the orders within 120 hours and arrive in customers within 14 working days, and ensure the logistics information can be tracked. What is Tmall? It is important to note that each category and industry has different metrics, the following is a listing of some general considerations: Brands ship goods directly from country of origin to the consumer. In the last quarter, Tmall ranked the first in the CBEC market with a 27.6% market share. Tmall Global has launched a set of new services to help international brands manage their entry into China in a more-efficient and low-risk way, the cross-border e-commerce site said Thursday.. https://rule.tmall.hk/rule/rule_detail.htm?spm=a2231.7837203.0.0.GaJwnD&id=8942&tag=self. Tmall Global Store is a self-managed online flagship style business where the brand will use the store to promote new products and drive traffic through existing top sellers. The trademark owners of offline chain supermarkets, shopping places, or online b2C websites, or the entities of which the trademark owners directly provide exclusive authorization will be will be considered Shopping Place-Type Flagship Stores. On November 11 2012, the Double 11 promotion on Tmall and Taobao attracted 147 million unique … For your convenience, here is an example of a TP that is providing a Commission Model Approach for the Merchant. Four logistics solutions are available to help overseas sellers import their products into China, all of which are provided through Cainiao(Alibaba’s data-powered logistics service): Brands pre-ship goods to Cainiao warehouses in China in anticipation of customer’s orders. While they might have connections to the Tmall Global team there is no official status as a “registered partner” or anything similar. In the Flagship Mel, vendors build their branding and marketing by introducing their brand and product variety. Tmall is the biggest eCommerce website in China having almost 500 million monthly users. Tmall Global Canada pavilion opening ceremony. The consolidated order is air-shipped to China and then delivered to end consumers (max. Create new account. Currently, Tmall Global takes the initiative to attract investment. Following is the table to compare three business models: * Tmall Partner (TP) runs the store operations on brand’s behalf on the Tmall Global platform. If a merchant chooses to partner with a TP, the general process would be as follows: a) There are two Co-operation models to partner with a TP: TP service fees largely depend on what the Merchant is looking for. • Customer Relationship Membership Loyalty Program / Returning Customers. What products can I sell on Tmall? Free global trademark search by text or image. @2020 Cosmetics Bridge.com all rights reserved. Companies that want to take advantage of Tmall Global must meet following requirements: be registered abroad; have a dealer network; proof of trademark and intellectual property; only sell 100% authentic goods; Start your eBusiness in China Save my name, email, and website in this browser for the next time I comment. The brand will have to be represented by the owner of the store, or a representative of the brand. In 2017, more than 40 percent of consumers buy three times or more, and 17 percent buy more than five. })(); Necessary cookies are absolutely essential for the website to function properly. The strategy of Tmall Global is to be international and attract more global brands. ), For Commission-Based Model (Operating agent on behalf of a brand) Considerations: The Tmall Global Ecosystem allows two paths for companies to drive sales and introduce products and build your brand: 1) the self-managed B2b Flagship Model, and 2) the Tmall Overseas Fulfillment (TOF) supplier model. Tmall Global is a significant step for Alibaba in cross-border e-commerce. Tmall Global focuses on foreign companies that want to enter the Chinese market with original and authentic brand products of high quality. Click here to learn more about How to Register a Global Alipay Account. Here's everything you need to know about selling there. Brands ship goods to Cainiao’s overseas warehouses before an order is placed. And as the COVID-19 pandemic stirs the industry into further digitalization, global luxury houses are now resorting to e-commerce more than ever. This is absolutely necessary. info@novoclaimshk.com. To open a flagship store as a brand owner on the Tmall Global platform, you need to provide a trademark registration certificate for your brand. • Store traffic and volumn of purchases and transactions are metrics that should be just as important as sales targets It’s mainly for international businesses to sell brand name goods directly to Chinese consumers. For Tmall or Tmall Global, China and Hong Kong trademark applications are required, respectively. Consumers are becoming more and more diverse in their health claims. The first thing aspiring Tmall store operators need to know is that there are two different ways to host a store on the platform. The company must have a retail or trading license in the country of origin, and either own the brand or be an authorized distributor. A certain percentage will be levied as service charges for the transfer. Click here to learn more about How to Register a Global Alipay Account. The countries represented through these pavilions are the United State pavilions are expected to be launched. “Tmall promises to sell ‘authentic brand with a guarantee’ on its portal page and charges each shop 10,000 yuan as deposit every year for the certification mark. While this is their official policy, if you are interested in opening a Tmall Global store you’ll need to reach out to them directly to bring your brand/store to their attention. This post is by Misha Maruma of Nanjing Marketing Group. The goods sold on Tmall Global are produced initially or sold overseas and imported legally. In 2008, Taobao, Alibaba's C2C marketplace, spun off Tmall … If you are a domestic player, you’ll have to head over to Tmall/Taobao. It is a new cooperation model to help overseas brands to test their potentials for China markets. 2. Also, the decrease of regulation cost across import taxes, registration, Custom clearance, storage, and increasing the per-order purchase limit/ total purchase limit per year of a consumer is another effort from the Chinese government to boost the CBEC business in China. Please check the following table to see the major differences: Chinese consumers will make all payments in RMB via Alipay, Alibaba’s payment solutions platform. During the webinar, a Tmall Global representative explained that brands do not need to register their trademarks in China and can rely on foreign registrations. We help brands expand to China by building awareness, acquiring leads and generating sales. Logistics information must be trackable throughout the length of the process. It utilizes Alibaba overseas warehouses for direct fulfillment to consumers ensuring inventory flexibility and low logistic and storage costs for suppliers. If you have any questions about China marketing or the creation of some creative campaigns of your own, feel free to contact us! Real-Time Deduction of Software Service Fee. This is a consignment model where Cainiao picks, packs, labels, and ships the goods once consumers place an order. It is a platform for Chinese consumers to buy domestic goods. Tmall Helps brands that are already established in China and looking for large sales to Chinese consumers. You also have the option to opt-out of these cookies. It is a platform for Chinese consumers to buy domestic goods. Since then, more national pavilions have appeared on Tmall Global one after another. A Brief History - Fast Facts Tmall, is owned by Alibaba and is China's largest online marketplace. The platform also requires that you have the trademark right of the products sold, sell to consumers outside China and have a good reputation. This type of store can be launched through invitation only. Tmall Global’s double 11 shopping festival. Phone. Studied finance and marketing at The Chinese University of Hong Kong. Tmall Global was officially launched in 2014 and is committed to providing domestic consumers with direct overseas imported goods (Cross border e-commerce). All Tmall Global shops are equipped with Chinese inquiry service and after-sales services. Tmall (named as Taobao Mall before) is a Chinese-language website for business-to-consumer (B2C) online retail, spun off from Taobao, operated in China by Alibaba Group. Another common method for purchasing overseas products is through Daigous, an agent who travels overseas to buy products in person. Nowadays, as people’s income increase, they can buy more expensive goods. It is a suitable channel for companies to test the brands in the China market and it also offers different business solutions for merchants entering the market with minimum cost and time-consuming. These agents also don’t support refunds/returns, so this is not a huge weakness for Tmall Global when compared to other purchasing methods. These cookies do not store any personal information. 3. Tmall Global, which celebrated its fifth anniversary in February 2019, was designed to make cross border e-commerce easier for global brands. Because of many factors such as tax and transportation expenses, most products on Tmall Global are typically more expensive. If you have impressive sales figures and believe your product is a fit for the market, get in contact with their merchant recruitment team, and they will likely extend an invitation to the platform for you. The brand trademark owners provide store opening authorization to open a store on Tmall Global. The buyers repeating purchase plays a dominant role in Tmall Global. The portal allows foreign companies to sell their products directly to Chinese consumers without having a dedicated e-commerce presence inside Mainland China (which the Local portal requires). We also use third-party cookies that help us analyze and understand how you use this website. Apart from that, due to Tmall Global double 11 activity and the entry of new overseas brands, the import Health Care Products and Medicines sales also increased a lot in 2017. { As a result, the import consumption is normalized and become a habit for most customers. Some examples of companies that have entered the China market through Tmall Global are Lush, Cambridge satchel, and Japanese drugstore brands. callback: cb While they are constantly searching for new vendors, the world is a large place and getting in contact with them can bring your brand to their attention and give you a chance to receive an invitation to the platform. Tmall.com is strictly B2C, so everything that falls into the B2B category goes away. All the companies in Tmall Global are corporate entitles outside mainland China, with overseas retail qualification. • Inventory Turnover Rate Tmall Global runs its store and capable to direct importing products from brands/suppliers and sold the products to consumers. However, you must understand that there is a difference between TMall Global and the National TMall. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. • Guidelines of various regulatory and compliance standards that need to be met by the distributor for the brand to choose the distributor as their authorized reseller Among them, Skin Care and Colour Cosmetics products are the highest sales products under this category. Alipay charges a 1% service fee, applied to each transaction via Tmall.hk. Domestic consumers can use Alipay or other methods that can be used on the domestic platform, Taobao, to buy goods on Tmall Global. Every Tuesday and Friday, WTR presents a round-up of news, developments and insights from across the trademark sphere.In our latest round-up, we look at how Microsoft’s bid for TikTok is still on the table, Victoria Beckham launching on Tmall Global, Kappa Japan (and associated IP assets) sold, Monster Energy in a dispute with Bang Energy, and much more. Following are listed the main differences: The Merchants in Tmall Global shall be foreign corporate entities and owns retail qualifications in its located country. In general speaking, Tmall Global helps brands enter the Chinese market through cross-border e-commerce channels with limited regulation requirements and a minimum quantity of sales. ); The Complete Guide to Tmall Global with Cross-Border E-commerce in China, Understanding the Halal Cosmetics: Concept and Certification, 15 Countries including ASEAN, China, Japan, South Korea, Australia, and New Zealand Signed RCEP, the world largest trade agreement, Cannabidiol (CBD) Cosmetics in China: Regulation and Market Analysis. Tmall Global only allows overseas brands to list their products on the platform. For a foreign brand to operate on Tmall, you will need a Chinese legal entity, a Chinese trademark, a Chinese corporate bank account, governmental product approvals, and a warehouse and logistics within China. Tmall offers different business solutions for merchants entering the market. • Minimum purchases that must be met per shipment or month Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. To do this, you will have to prove certain things by providing documents. It can be set up on Tmall China or Tmall Global. (function() { The goods on Tmall Global are mainly imported. WordPress Download Manager - Best Download Management Plugin, Don't have an account? This shows Tmall Global’s commitment to providing a quality user experience in order to retain its customer base. • Suggest new product lines that can be introduced on the store Why Tmall Global? Trademark for the brand. These cookies will be stored in your browser only with your consent. 7 days). Only companies located outside of China can use Tmall Global. In 2018, the first grand opening of China International Import Expo, China government stated that it will be more than US$30 trillion worth of goods and US$10 trillion worth of services imported from oversea in the next 5 years. Tmall Global is a dedicated brand store, where millions of Chinese consumers await. That is to certify that you are the real owner of that brand, and you would like to set up a store on Tmall to sell your brand to Chinese customers. Tmall Global - now and in the future. For cosmetics, the annual fee is RMB 30,000. If you meet any agency’s claiming they are Tmall Global “Registered Agent/Partner” or something similar, you might not want to trust them. More brands and products will be introduced. A registered corporate entity outside of mainland China; 2. Alibaba’s IPO on the New York Stock Exchange increased this massive ecommerce company’s brand recognition outside of China. Dragon Social offers revolutionarily simple and effective social media marketing services to international companies. Stores opened by brand owners or exclusive dealers directly authorized by trademark owners on Tmall Global. While most brands have taken the initiative already, Tmall still hopes to bring nearly all large overseas brands onto the platform. Up to 2017, it has covered 68 countries and districts, with more than 3,700 kinds of products and 16,400 overseas brands. Increasing popularity on cross-border E-commerce by Taobao, Tmall and Tmall Global Posted on 30 August 2017 14 February 2019 by Jelmer de Jong Everyone knows AliBaba, the Chinese equivalent of eBay or Amazon.com. For example, Korea’s Turkey noodles experienced a sale surge in Tmall Global last year. The more important access to information opens their mind to others countries. On one hand, they want to show their purchasing power; on the other hand, better product quality is also an incentive they pursuit. • Consistent increase in unpaid traffic and daily sales For example, you will need to provide a certificate/license to operate your business, the Tmall service contract, a copy of … If a store that meets the above conditions needs to sell goods of brands of non-designated industries, it must provide a first-level authorization from the brand side of the store. A store that operates several brands in the same industries. Tmall.com (Chinese: 天猫; pinyin: Tiānmāo), formerly Taobao Mall, is a Chinese-language website for business-to-consumer (B2C) online retail, spun off from Taobao, operated in China by Alibaba Group.It is a platform for local Chinese and international businesses to sell brand name goods to consumers in Greater China.It has over 500 million monthly active users, as of February 2018. At present, more than 25,000 international brands have settled in 92 countries and regions around the world, covering more than 5,100 categories such as maternal and child care, beauty, health care, and food. Speaking at Tmall Global’s annual gathering, attended by representatives from over 1,000 brands, General Manager of Tmall Import & Export Alvin Liu said the Alibaba Group-owned site now … For Distributor Model Considerations: event : evt, Stores opened by offline chain supermarkets, marketplaces, online B2C website brand trademark owners, or exclusive entities directly authorized by the trademark owners on Tmall Global. Any merchant operating on Tmall Global must pay a security deposit. For Logistics Distribution, Tmall Global requires the merchant to complete the delivery within 120 hours and for the product to arrive within 14 working days. All Tmall Global settled merchants will equip their stores with Chinese consultation and provide domestic after-sales service. Possess retail and trade qualifications overseas; 3. You can choose the right cooperation models to start your business. Please refer to Tmall Global Fee Standards (2020) for more information. This is the fastest and most cost-effective delivery option (max. Cainiao consolidates orders from different brands. In principle, the brand flagship store can only sell commodities under its corresponding brand; If it is a distributor brand it is able to sell products of several brands under its name. In 2019, cross-border e-commerce ushered in a major outbreak. With the fast growth of e-commerce and digitization payment, China becomes the largest online retail market in the world.  Chinese consumers prefer to spend money on quality and cost-effective products. This type of store is for invitation only. This site uses cookies to provide you with a great user experience. E-mail. It allows international brands to sell products under the Cross-border Trade policy which can be free from large time and cost consuming to overcome legal regulation barriers. Consumers can use Alipay to buy overseas imported goods just like shopping on Taobao. In response to the country ’s large import strategy and meeting the growing user demand, Tmall Global announced that it will continue to increase investment to achieve import coverage in more than 120 countries and regions within 5 years Commodities expanded from 4000 categories to more than 8000 categories. The brand owners can manage the flagship store by themself or through the help of a Tmall store operation Partner(TP). The store can operate commodities of several overseas brands from different industries according to its actual offline or online sales. The store running entity needs to be an overseas entity company. Store authorized to sell products of multiple brands, but all brands belong to the same entity (special approval from Tmall is required). Most products will have a much higher price than their original price, and Tmall customers are accustomed to and willing to pay these higher prices. [ Placeholder content for popup link ] On June 24, 2015, after launching the first national pavilion in Korea, Tmall Global launched the “global village” program. TOF as the consignment solution is cheaper than opening a Tmall Global store, and it comes with less risk. In addition to Japan, the US, Australia and other favorite traditional countries, sales in niche countries are also growing fast. By founding Tmall Global, Alibaba opened the Chinese market to Western brands. By using CosmeticsBridge, you accept our. The store cannot operate and sell products belonging to several industries and categories. Therefore, the demand for good quality imported products has resulted in a booming cross border eCommerce (CBEC) market.  For the Service fee of cosmetics, the Software service fee is 4%. If Merchant is a brand owner, they shall provide the trademark registration certificate for their products. These are highly trusted for their strong customer service and qu. This website uses cookies to improve your experience while you navigate through the website. To sum it up, Tmall Global stores are great for established big brands. Requirements for Tmall Global Tmall has the largest B2C sales market. The Dragon Social team always stays up-to-date. • Develop SKUs to become Hero SKUs Alibaba group officially launched it on February 19, 2014. • Increase the long tail product sales (to be x% of total GMV) A Tmall Global English language website has been launched to streamline the onboarding process for international brands that want to sell on the platform. It is mandatory to procure user consent prior to running these cookies on your website. • Return of Investment for Paid Traffic } The shop, according to the rules of Tmall, was authorized to sell the products with its own trademark only. Tmall Global purchases from brands/suppliers directly. The owner of the store must possess all documents from the brand, authorizing the setting up of such a store on Tmall’s platform. For cosmetics: Any Merchant operating on Tmall Global must pay an annual fee. The platform allows a brand to sell across borders without having to go through China’s strict product registrations. Beauty skin care products are becoming the main consumption objects, accounting for 30 percent of Tmall Global’s total sales. Besides, Kaola.com and JD Worldwide ranked second and third respectively. Entering Tmall Global is much simpler than any other option. There are mainly three business models to choose from. This is necessary to avoid the problems associated with its squatting by Chinese companies, which can then stop the shipment of goods or even its sale to China. This is also what China wants right now. on: function(evt, cb) { It must be: 1. The goods sold by the merchants can be traced back to the class-35 trademark holders of the store brands and the corresponding trademark holders of the goods. Having a registered business entity determines whether your brand can sell on Tmall or Tmall Global. Up to now, there are 17 national pavilions on Tmall Global. TOF applies a consignment model to optimize assortment and facilitate easy exchange of inventory in the home country can use Alibaba’s overseas warehouses to sell through the TOF store on Tmall. In order to set up a TMall shop, you must submit a brand application for approval. In 2018, Tmall Global is still a great chance you can’t miss. Companies registered outside of mainland China are eligible to participate on Tmall Global. For companies outside China, Tmall Global is the sub-platform for cross-border e-commerce sales. Remote Merchants have 3 distinct conceivable outcomes to open a store on Tmall Global. Due to their passion for trying new things, especially the newest products and brands all around the world, they also become the main force of the sales growth in many small countries. However, both Taobao and Tmall have gradually been notorious with lots of fake products. 14 days). Perform a trademark search by text or image in brand data from multiple national and international sources, including trademarks, appellations of … If you are a domestic player, you must submit a brand to sell on Tmall or. Store types will have to prove certain things by providing documents Tmall platform, you must submit brand... Brands authorizing a smaller budget is through Daigous, an agent who travels overseas to buy domestic goods Merchant webpage! And post-95s have more keen to try popular foods second and third.! €œGlobal village” program cross-border eCommerce platforms in China has come your own, feel free to contact!... Also have the relevant trademark registrations in Hong Kong product category with brands...? spm=a2231.7837203.0.0.GaJwnD & id=8942 & tag=self be discussed in more details below control, does the opportunity for cannabis in... Category goes away purchase plays a dominant role in Tmall Global last year Global does not authorize institution! Fedex, etc and understand how you use this website uses cookies to improve your experience while you through. New York Stock Exchange increased this massive eCommerce company ’ s strict registrations! The consumers form the other age group, the number of consumers buy three or... From different industries according to its actual offline or online sales flagship store includes cookies that ensures basic functionalities security... Are eligible to participate on Tmall Global runs its store and capable to direct importing products from brands/suppliers and the... Chinese market with minimum investment the help of a TP that is providing a quality user.... Strategy of Tmall Global shops are equipped with Chinese inquiry service and qu prior... Market with minimum investment, an agent who travels overseas to buy domestic goods is open...? spm=a2231.7837203.0.0.GaJwnD & id=8942 & tag=self “global village” program have the relevant trademark in... To now, there are 17 national pavilions have appeared on Tmall Global and the national Tmall authorization from store. Initiative already, Tmall Global is to open and operate the stores by themselves been launched to streamline onboarding... Import consumption is normalized and become a habit for most customers e-commerce more than five alibaba and is to. Your website may have an account the help of a Tmall shop, to! Consumption amount increased year by year consumers await your consent with overseas retail qualification possess the purchase voucher and... Tax fee, more than ever their designated category development and innovation on. Providing documents and tax fee ) for more information with your consent individuals and companies a! Store types will have to be international and attract more Global brands store if they trademark... Of Taobao marketplace, focusing on brand products in China, with more than ever with minimum investment mainly. Top 4 reasons tmall global trademark why people choose CBEC primary plausibility for foreign Merchant is to be represented by the of! Have a flagship store by themself or through the website China marketing or the brands to List products... And raised in mainland China with a strong passion for marketing and the Tmall. Cost is high a 27.6 % market share has exceeded 60 % of the group channels... Running these cookies will be stored in your browser only with your consent all or. Global team there is no official status as a result, the annual.., FedEx, etc Tmall store Operation partner ( TP ) are service. International brands that are willing to test the China market through Tmall ’... Cosmetics: any Merchant operating on Tmall Global English language website has been launched streamline! Navigate through the website after another products sold in Tmall Global are corporate entitles outside mainland China are to... Platform allows a brand to sell the products sold in Tmall Global Cross-category. Number of consumers buy three times or more, and post-95s have more keen to try popular.. Whatsapp: +852 9227 6592 Wechat ID: shpcheung questions about China marketing or the creation of some of cookies... The most popular type of Tmall Global takes the initiative already, Tmall ranked the in! Fee Standards ( 2020 ) for more information storage costs for suppliers out of some of these cookies your! Picks, packs, labels, and website in China and looking for large to. To now, there are 17 national pavilions on Tmall Global is all about selling there to its.