Globalization Of Alibaba: How To Lay Emphasis On Overseas? Five Advantages And Overseas Giants PK

This year,

The pace of overseas distribution is further accelerated.

He once said he was eager to set up a company that was founded by Chinese but belongs to the whole world.

This year, we see almost all core businesses of Alibaba including

The financial, logistics, cloud computing, entertainment and other sections are trying to move towards the international market faster.

Alibaba's e-commerce business proposes to achieve "global buying, global selling".

Ant gold clothing continues to pay for overseas payments and financial companies.

The rookie network connects with postal and logistics providers around the world to build a global logistics service network.

Ali cloud continues to open up new battlefields abroad.

UC chose to go to emerging markets to seize space.

...

At a conjectural level, we can see that the significance of globalization for Alibaba is, on the one hand, looking for new growth points in the world, coping with the bottleneck of slowing domestic core business growth; on the other hand, integrating resources, talents and technology on a global scale and enhancing their global combat capability with the help of global thinking.

(Alibaba recruited two former executives of Goldman Sachs, respectively as Alibaba president and vice president of ant gold clothing, responsible for global business, and invested in Magic Leap, augmented reality company, Singapore mobile security and encryption technology company V-Key).

But we are more concerned about a deeper layer of topics, such as how Alibaba electricity providers and cloud computing are fighting with overseas giants. What areas do the ants of the valuation jumped up to reach all over the world? How can we enhance the cross border logistics capabilities of the rookie network? What are the new moves of Alibaba's entertainment blocks?

To understand this, Penguin Zhi Chi Global Venture Research Institute (IGV) released the Alibaba global strategy analysis report as the final chapter of the global research series of Chi cool BAT.

Alibaba electricity supplier globalization 1: sell global brands to Chinese consumers, and sell China to Asian users.

"I usually use Lazada online, but I bought a mobile phone on AliExpress, which is affordable."

This is shared by several students at Chulalongkorn University in Thailand in an interview with IGV.

In emerging markets, China's cheap manufacturing is still an advantage for Alibaba to go out.

Alibaba (AliExpress) provides payment and distribution systems for small and medium-sized enterprises to facilitate their global business.

After the downturn of last year, quarterly results in June showed that AliExpress platform revenue grew by 123% over the same period last year.

This growth is mainly from emerging markets such as Russia, Southeast Asia and Brazil, while the European and American users are relatively cold.

There are two main reasons. First, the retail system in Europe and the United States is mature, and Amazon and eBay can basically meet the needs of consumers. The two problem is the counterfeit goods. This year, Alibaba has been accused by many luxury goods manufacturers of selling their products. This will indirectly affect the trust of European and American users to AliExpress brand.

In response to the problem of faking fake products, the Alibaba, on the one hand, allowed new president Evans to come forward to deal with overseas brands, and on the other hand, strive to improve the quality and quality of the platform merchants.

This year, AliExpress has completely pformed from cross-border C2C to cross-border B2C. Since the beginning of April, all businesses must be settled as an enterprise and no longer allow individual businesses to enter. By the second half of this year, businesses must also have brand endorsements.

Ma Yun has mentioned more than once the vision of Alibaba in the next ten years, that is, to build a business ecosystem platform that can serve 2 billion consumers and tens of millions of enterprises.

So what is the attempt of AliExpress in the European and American markets to truly realize the "global sale" of Alibaba?

Penguin Zhi Chi found that Alibaba invested a lot of Companies in the US in connection with the electricity business. At the same time, it tried different business models, such as social business, to attract local consumers.

Alibaba believes that these social functions will increase the frequency of users to open Taobao applications, not only increase the relationship between sellers and buyers, but also enhance the interaction between buyers.

In fact, Alibaba has almost stubborn insistence and constant attempts for e-commerce and social networking:

In the United States, a wholly owned subsidiary of Alibaba launched an e-commerce website 11 Main in 2014.

It invites businesses to be invited, and only those who are in line with their positioning can enter.

11 Main positioning for merchants includes excellent brand story, excellent product design, excellent product quality, close to the price of consumers, etc.

11, Main's unique feature is that it wants to turn merchandise based search around business and create a new e-commerce platform through fans' economic mode.

But a year later, Alibaba sold 11 Main. This attempt is also considered a setback for Alibaba's US electricity supplier strategy.

Before that, Alibaba spent $more than 200 million to invest in Silicon Valley's mobile chat and video call applications Tango, and tried to integrate e-commerce elements into the social application, but the final effect was not ideal.

This year, Alibaba injected nearly $800 million into the Magic Leap of the US augmented reality company, hoping to use the technology in the future to enable users to feel more directly about the items sold by Alibaba's e-commerce platform, such as appearance and size, so as to enhance the user experience. After all, ten years later, the electricity supplier mode must be different from today.

The direction of the future electricity supplier will go to what direction, Alibaba is also exploring.

Just from this stage, it is very difficult for Alibaba to get enough market space in the US.

Because there are not only two difficult rivals, Amazon and eBay, but also WAL-MART and best buy have their own online businesses and the high degree of maturity of the retail system under the US line.

Europe is similar to the US, and also has a mature retail channel.

At the same time, according to Twenga Solutions data from the UK website traffic monitoring platform, Amazon and eBay are the two most popular e-commerce providers in Britain, France and Germany.

Coupled with other local businesses and Japan's focus on France and Germany, AliExpress has little imagination in Europe.

But from the "global sale" to the "global buying" dimension, we can see that European and American brands have a strong desire to expand overseas markets. If Tmall international can better access these businesses and seize the wave of the rise of China's middle class and upgrade consumption to serve consumers in China or even to users in Asia as a whole, the imagination is huge.

Amee Chande, head of Alibaba Europe, said in an interview with reporters that the globalization she understood was linked to the global market at the beginning of the global office. On the other hand, it was to help enterprises formulate marketing plans to make the concept fall to the ground and do well in localization.

For example, many European brands do not understand Chinese consumers. Alibaba's European operations team will communicate with them to enhance their understanding of the Chinese market and consumers and help them identify potential investment opportunities.

At the same time, the large data accumulation of Alibaba will also help brands to predict and put up goods that are favored by Chinese consumers.

In August, the Alibaba reached an exclusive strategic partnership with the US Department store retail giant Messi department store (Macys); a month later, the Alibaba joined the German retail trade group metro, cooperating in the commodity supply chain, cross-border e-commerce and big data to meet Chinese consumer demand for high quality brands.

At present, Tmall international of Alibaba has been working with France, Germany, Italy, Spain and other governments to provide fast access support and online promotion support for many European brands, and with the help of Alibaba big data accumulation, priority is given to Chinese consumers' favorite products.

Globalization of rookie network: information pformation of cross border logistics services with big data

Rookie network CEO Zhang Yong has said that the starting point of globalization will be import and export business, while the bottom must rely on cross border logistics.

In addition, Amazon and Jingdong B2C mode self built logistics, distribution team, to provide quality services, but also made Alibaba determined to build China's domestic and global logistics service network.

As a result, the rookie network came into being in May 2013 and assumed the logistics solution of the entire Alibaba e-commerce platform.

The rookie, with the help of Alibaba's big data, promotes the data-making of express business, improves efficiency, and provides high-quality cross-border logistics services for businesses and buyers.

To speed up the internationalization of the rookie network, a year after its establishment, Alibaba spent $249 million to acquire Singapore Post's 10.35% stake and invest it later.

Since then, the rookie network has been working with us postal service, Brazil post, Australia Post, Spain post and Kazakhstan post to try to connect directly with postal services at various levels at the export level.

The rookie also launched the AliExpress worry free logistics with the global express to provide one-stop logistics services across the border.

On the import side, Wan Lin, vice president of rookie network, has said that the rookie has opened up three modes of direct mail, cargo collection and bonded, and has opened 5 Import lines between China, the United States, China, Australia, China, Japan and China, so that consumers can get the same Logistics experience as domestic online shopping.

The rookie network is jointly funded by Alibaba group, Yintai group united Fosun Group, Fuchun group, three links one Da, and related financial institutions.

Alibaba has a 48% stake, Ma Yun is chairman of the board.

The rookie completed its first round of financing in March this year, including the Singapore Government Investment Company (GIC), Temasek Holdings (Temasek), Malaysia Treasury holdings and Chunhua capital.

According to people familiar with the situation, the valuation of rookies after the current round of financing soared to nearly 50 billion yuan.

Globalization of ants and gold clothing: interaction between overseas merchants and users based on payment

As a new strength of Alibaba group, the business of ant gold clothing covers the pan financial sector such as payment, finance, banking, insurance, loan, credit and so on.

Overseas, although the business of ant gold clothing is not as popular as in China, the news of takeovers frequently came out.

Not long ago, the president of ant gold clothing Jing Xian Dong said that in the next four years, 50% of the users of the ant suit will be overseas, and 50% will be in China.

How is the layout of ant gold suit overseas? {page_break}

Penguin Chi Chi research found that the overseas layout of ant gold clothing mainly revolves around two main directions. One is Alipay, which attracts Chinese outbound customers and overseas Chinese to purchase Alipay in Europe and Asia, and the two is investment banks, insurance, Payment institutions and so on.

For outbound users, domestic mobile payment goes to sea not only by Alipay, but also by WeChat.

Both are to listen to what Chinese consumers want to buy globally, to follow their steps, to make accurate scene segmentation, and to access merchants under the line, so that consumers do not need to exchange large amounts of foreign currencies before going abroad.

From the current point of view, WeChat pays the key layout in Asia and Australia, WeChat payment team has said that the future does not exclude WeChat's user portrait to be opened to overseas merchants, to help them more accurate big data marketing.

The layout of Alipay is in Europe, Asia and Australia.

In May this year, Goldman Sachs senior partner Douglas Fagan (Douglas Feagin) joined the ant gold clothing, served as senior vice president and led the global business.

In the past 4 months, the ants have claimed that they have reached global cooperation with Uber. Users of more than 400 cities in the world can use Alipay to pay for them. Subsequently, ant gold clothing has strategic cooperation with Southeast Asia's largest taxi application Grab, enabling Chinese users to settle their fares in Renminbi in Singapore and Thailand through Alipay.

In Asia, Alipay is also working with Thailand King Power duty-free shop, Singapore's Sentosa world. In Europe, Alipay has just worked with the German watch and jewellery brand Wempe and the German payment service provider Concardis. Before that, the German payment technology service provider WireCard also worked with Alipay to land at 69 shops in Munich Airport.

The second main directions of the overseas distribution of ant suit are mainly through investment cooperation.

The first direction of its investment layout is insurance, for example, last year ant Jin suit and Taiwan Guotai golden control cooperation, intends to increase capital to invest in China's wholly owned property insurance subsidiary, Cathay Pacific Insurance, so as to achieve standardization and scenario insurance business through the Internet.

This year, ant gold clothing has also entered into strategic cooperation with Alibaba and AXA Group to expand the business opportunities of axon insurance products and services through the Alibaba global electricity supplier ecosystem.

Another investment direction is related to the payment of strong companies.

For example, the technology level, ant gold clothing investment in Singapore mobile security and encryption technology company V-Key, in order to enhance the safety of its products.

In June of this year, Bloomberg said ants wanted to buy shares in Thailand Ascend Money20%, a small loan company, to help them pay online and small loans in Southeast Asia.

Ascend Money subsidiary Ascend Nano mainly popularized e-commerce and electronic payment services for people without bank accounts in Burma and Indonesia, while another subsidiary True Money provided cash withdrawals cards and e-wallet services.

In India, the ant's golden costume invested heavily in India's largest payment platform Paytm and its parent company One97 Communications.

Paytm has obtained the first payment bank license issued by the Central Bank of India, allowing it to carry out payment, savings, remittance, pfer and other banking businesses in India, providing lower rate online financial services for small and medium enterprises in India and low-income groups. The next round of investment can help ants seize the opportunity of India Inclusive Finance.

In South Korea, the K Bank, an Internet Bank approved by the Korean government, has been licensed by the Korean government, and K Bank has been allowed to carry out all banking businesses in Korea, such as deposits, loans, credit cards, money management, foreign exchange and so on. This is the first time that South Korea has issued an Internet banking licence in the past 23 years.

Ali cloud Globalization: opportunities and challenges coexist

In recent years, Ma has always stressed that data computing is the main direction of the future. He believes that mankind has entered the DT era from the IT era, and invested heavily in cloud computing and big data technology.

Today Ali cloud has become a bright spot in Alibaba's earnings report, and its latest quarterly revenue growth has increased by 156% over the same period last year, which is the three digit growth of Ali cloud in the five quarter.

Ali cloud set up a hybrid cloud infrastructure for Alibaba group, running Taobao, Tmall and Alipay's core pactions in the form of public cloud and proprietary cloud.

Each year's double 11 deal is a huge test for Ali cloud technology. Last year, Alibaba said its payment system could handle 140 thousand pactions per second.

Yu Sicheng, vice president of aliyun international business, said that the global public cloud computing market grew rapidly. The public cloud giants represented by Amazon, Microsoft and Google appeared in the United States. However, many customers' demand was still unmet, such as the need for Chinese customers to set up overseas servers in the United States and the need for Chinese services.

But from the current perspective, Ali cloud is still in its infancy, and its overseas cloud infrastructure is limited. What opportunities and challenges will Ali cloud face?

One of the challenges is security. As a non local company, it may encounter certain restrictions and restrictions in the western market when providing cloud services for the management of customer data for western enterprises.

In addition, the overseas technology competitiveness of Ali cloud products is still different from that of Amazon AWS and Microsoft Azure. In the short term, there is still pressure for global customers to provide competitive cloud services. At the same time, in the global market, Ali cloud service still lacks performance records, and its brand impact also takes time to accumulate.

But there are many opportunities for Ali to go to sea.

First, cross-border electricity business helps overseas expansion of Ali's cloud services.

If China's products are sold to global customers and overseas products are sold to Chinese customers, aliyun can strengthen cooperation with local enterprises, accelerate the introduction of its cloud infrastructure and services to support the expansion needs of its business providers, which will provide cooperation opportunities for global technology service providers.

Alibaba's big entertainment sector is global: UC is in the emerging market like a duck to water.

Two years ago, UC was captured by Alibaba, but its international expansion has never stopped.

In August last year, the UC browser ranked first in India Indonesia, and the rapid growth in emerging markets such as Russia, Brazil, Pakistan and Bangladesh, according to StatCounter, the US website traffic monitoring agency.

But UC is not content to stay at the browser level. Instead, it is trying to upgrade to the "big data new media platform". This can be seen from the UC News released in India. It is driven by big data and wants to create a personalized information similar to today's headlines.

At the same time, UC is also promoting overseas game distribution business.

Huang Hao, President of overseas operations of Alibaba mobile business group, said in an interview that the Alibaba mobile business group is building a large entertainment system. All the patterns that take place in China will be re copied overseas, but they will do a lot of localization in the whole process.

In his view, to truly achieve globalization, we should not only accumulate user volume, but also form user reputation, truly integrate into the local business ecosystem and have sustainable scale local revenue.

In addition, Alibaba has invested in word-of-mouth networks, hungry and foreign group buying originator Groupon in the field of O2O, and has introduced overseas businesses in the word of mouth network to serve outbound customers.

Ali travel has also caught the increasing outbound travel consumers, providing a range of localized goods abroad.

From the above five major sections, such as electricity supplier, logistics, finance, data calculation and UC globalization, Alibaba group focuses on "cross border" and takes Chinese consumers as the foundation to go abroad to open up territory, which may be the 1 stage of Alibaba globalization.

It is similar to Fosun Group's strategy of "grafting global resources with Chinese power".