Retail News CRM

Tag: Suning

  • Suning Unmanned ‘Biu’ Store goes International

    Suning Unmanned ‘Biu’ Store goes International

    Suning Commerce Group, one of China’s largest non-government retailers, is showcasing its unmanned, automated Biu store at CES 2018 in Las Vegas this week.

    Running until Friday, CES is the global stage for new innovative consumer electronics. Suning’s promotion of its Smart Retail program comes as the company prepares to launch its developments internationally,

    “Suning’s Biu store concept showcases the latest in our online-to-offline retail strategy, designed to offer consumers a one-stop seamless shopping experience,” says the group’s R&D executive VP Joshua Xiang, who is also GM of Suning Global Research.

    Suning’s Biu store concept is big-data driven and powered by facial recognition and radio frequency identification (RFID) technology. Since launching its first self-service store in Nanjing in August, Suning has opened a further four cashierless stores in China, in Shanghai, Beijing, Chongqing and Xuzhou.

    It says shoppers have been flocking to the stores to buy gadgets, personal electronics, FMCG and sports accessories. They can also find branded football merchandise, including Italian team Internazionale Milano, which is owned by Suning.

    Immediate identification

    Bui shoppers who link their bank card to the Suning Finance app are immediately identified by camera at the store’s entrance and granted access. Inside, they can be helped with their purchase decisions by Suning Smart Recommendation, a shopping guide system based on big-data analysis. RFID technology along the payment pathway ensures an effortless check-out experience taking no longer than 15 seconds.

    At CES, Suning is also showcasing its e-commerce services and tech products that focus on enhancing the consumer experience. These include the Smart Sue shopping assistant, with voice and text interaction system; the Anywhere AR shopping experience, allowing shoppers to place virtual products into a real scene; Suning Smart Home, incorporating advanced Internet of Things automation systems to control electronic home appliances and built-in technology; smart retail chain software; and logistics and shopping financial services.

    A Created in China forum at CES tomorrow, hosted by Suning and the China Household Electric Appliance Research Institute, will explore electronics industry trends in China and also demonstrate Suning’s Smart Retail concept.

    Lees ook:

  • Alibaba, Auchan, Sun Art partnership goal in China market

    Alibaba, Auchan, Sun Art partnership goal in China market

    A new Alibaba, Auchan, Sun Art partnership will further strengthen Alibaba’s efforts to integrate online and offline, say analysts.

    China’s Alibaba Group Holding, France’s Auchan Retail and Taiwan’s Ruentex Group have formed a strategic alliance to bring together their online and offline expertise to explore opportunities in China’s food-retail sector.

    As part of the deal, Alibaba is investing HK$22.4 billion (US$2.8 billion) to obtain an aggregate direct and indirect stake of 36.16 per cent in Chinese food retailer Sun Art Retail Group by acquiring shares from Ruentex.

    Auchan Retail is also increasing its stake in Sun Art, with the transaction giving it, Alibaba and Ruentex about 36.18, 36.16 and 4.67 per cent economic interest respectively in the multi-format offline food retailer.

    Sun Art had a total gross floor area of about 12 million sqm in China at June 30. It has 446 hypermarkets as large as 17,000sqm across China under the Auchan and RT-Mart banners. It also has superstores and unmanned stores under the Auchan Minute brand.

    Alibaba says the alliance reflects its “new retail” concept, while Auchan Retail says it aligns with its “Auchan changes lives” vision.

    Alibaba Group CEO Daniel Zhang says the move aims to redefine traditional retail through digital transformation. “Physical stores serve an indispensable role in the consumer journey, and should be enhanced through data-driven technology and personalised services in the digital economy.”

    ‘Positive impact’

    “Bringing together the leaders of instore retail and of online retail will allow us to offer hundreds of millions of Chinese consumers a fully integrated, world-class shopping experience,” says CEO Wilhelm Hubner of Auchan Retail, which has a presence in 17 countries with 3715 points of sale.

    “Consumer demands have changed tremendously with the rapid growth of the mobile internet, and Sun Art is also trying to move from offline to online,” says Ruentex Group vice-chairman Peter Huang.

    “I think this deal will have a positive impact for all involved,” says OC&C Strategy Consultants associate partner Veronica Wang.

    “It will further strengthen Alibaba’s efforts to integrate online and offline,” says Wang. “Alibaba has been quite aggressive in investing offline in the past two to three years with its continuous investments in the likes of retailer Suning and mall company Intime, as well as its own launch of Hema supermarkets.”

    She says the alliance could help Sun Art build digital capabilities, with the company trying to tap into e-commerce and build an O2O business since 2014, but with limited success. “Feiniu.com was the first attempt, which is still losing money after three years, and Sun Art launched cashier-free self-service convenience stores this year which are still in the stage of trial and error.”

    OC&C associate partner Steven Kwok says the move is no surprise “especially when retailers in general are finding that grocery retailing, unlike other categories thus far, has encountered greater barriers to the shift online”.

    He says Sun Art’s reach across China not only gives Alibaba an enhanced distribution network, but also serves as a testing ground for digital initiatives.

  • No-more-cashier at new Suning store

    No-more-cashier at new Suning store

    A Suning store in Shanghai introduces an intelligent self-service checkout using facial-recognition technology for payments.

    Suning Biu is reportedly the retail giant’s second such store in China, reports China.org.

    Covering about 100sqm, the new Suning store is larger with more varied product categories than the company’s first unmanned shop in Nanjing, where Suning has its headquarters.

    Before shopping, customers need to download an app and upload their personal information including a photo of their face and a bank card. In the shop they scan their face to take advantage of the automatic payment process.

    Without having to scan QR codes or barcodes to calculate prices, clients just need to step into a “payment area” at the exit and look at an overhead camera. Their purchases will be listed on a screen, and payment completed automatically using their registered bank card. The few staff members in the store are there to offer technical instructions if necessary.

    Suning.com vice-CEO Fan Zhijun says self-service stores are expected to be introduced to other cities in China.

  • Suning Holdings next move is smart retailing

    Suning Holdings next move is smart retailing

    China’s commercial conglomerate Suning Holdings Group is partnering with Hon Hai Technology Group in an “extensive retail co-operation” worth at least RMB50 billion (US$8 billion).

    Suning has also signed an RMB20 billion investment agreement with Evergrande Real Estate Group. Both moves are aimed at online/offline integration and expanding Suning’s smart-retail strategy.

    The property developer will help Suning develop its brick-and-mortar stores for personalised shopping experiences, and also help with its planned expansion of 5000 stores in the short term.

    The two companies will also explore smart home design, property management and other priorities.

    With Hon Hai, said to be the world’s largest contract electronics manufacturer, the co-operation focuses on the sharing of big-data analytics to optimise strategies and products for customised services. Hon Hai chairman Terry Gou says cross-industry co-operation should start from manufacturing to better satisfy customers’ needs.

    “By partnering with Evergrande, Suning’s advantages in innovative O2O physical stores will be strengthened more efficiently, and by working with Hon Hai we can create curated experiences through an open business model,” says Suning chairman Zhang Jindong.

    Suning ventured into e-commerce in 2010. By the third quarter this year it had 3748 stores in China and overseas. Revenue from its stores with online connections jumped by 35.27 per cent in the first three-quarters year on year. In the same period, its total transaction volume online reached RMB81 billion, a year-on-year rise of 55.64 per cent.

  • Alibaba innovation will transform Shanghai Bailian

    Alibaba innovation will transform Shanghai Bailian

    Alibaba Group’s collaboration with Shanghai Bailian Group, one of China’s biggest general store and retail chains, is driven by Jack Ma’s push to use innovation to shake up outdated retail.

    “Alibaba wants to help update some of Bailian’s 4700 stores the nation over, coordinating everything from client relations to installment and coordinations in a way like its tie-ups with different players, for example, gadgets chain Suning Commerce Group,” says Oliver Johnson, director of corporate equities with Woori Bridgewater Brokerage.

    The online big-hitter that vanquished eBay and Amazon in China has set its sights on using its arsenal of information and innovation to change the $4 trillion universe of household physical retail. In its greatest old-economy bargain, Alibaba is driving an offer to purchase retail chain Intime Retail Group for as much as $2.6 billion.

    “Their billionaire fellow founder needs to assemble a system that will permit stores and brands to screen exchanges as they happen, freeing layers of merchants so that retail outlets can put orders online progressively,” says Johnson.

    Daniel Zhang, Alibaba’s CEO, described the association with Bailian as “a critical breakthrough in the advancement of Chinese retail”, where the qualification amongst physical and virtual business is getting to be distinctly out of date.

    Amazon.com is likewise quick to show how innovation can change the deeply rooted shopping background. It launched Amazon Go in December, permitting Seattle customers to get staple goods without being held up in checkout lines as their purchases are electronically charged when they exit the store.

    “Like Alibaba, the U.S. web based business titan has broad experience working with reams of important client and inventory network information and shopping designs,” observes Johnson.

    “With Bailian, Alibaba will tap a system of 4700 stores crosswise over 25 Chinese regions. Aside from Intime, the Hangzhou, China-based organisation has as of now put resources into retail administrators including Suning and Sanjiang Shopping Club to further its alleged new retail analysis,” added David Fraser, head of corporate trading at Woori Bridgewater Brokerage.

    Alibaba won’t take a stake in Bailian.  In any case, the match will coordinate their participation databases and use facial acknowledgment innovation to enhance customers’ encounters, Alibaba said. Alibaba’s online installments framework, Alipay, will be accessible at all Bailian stores. The web-based business mammoth’s conveyance member – Cainiao Smart Logistics Network – will work with Bailian to substance out conventions that make the framework more effective.

    Woori Bridgewater Brokerage is an advisory investment company.

    Lees ook:

    Lees ook:

  • Four strategies of China’s top 10 e-commerce apps

    Four strategies of China’s top 10 e-commerce apps

    Pushing advertisement online and offline has been the typical strategy of China’s e-commerce giants to bring in customers, explaining why e-commerce sector is one of the toughest battlegrounds for freshly born startups since they have little money to spend on advertising. However, the trend is changing.

    As startups like Bolome, combining live streaming into cross-border e-commerce, and Yitiao, a WeChat public account-based e-commerce platform with high-quality content and storytelling around their handmade products, even the e-commerce behemoths are following the trend of live streaming and content marketing. Of course, Chinese e-commerce giants were not lazy on their investment and M&A to consolidate the market.

    Seeing the ranking, Alibaba stayed competitive in its forte, e-commerce sector. Alibaba’s C2C e-commerce platform Taobao ranked first, its B2C e-commerce platform Tmall ranked second, its second-hand retailer ranked seventh, and its electronics retailer Suning ranked the eighth. The report was jointly published by Cheetah Global Lab, Cheetah’s big data platform libra and 36kr.

    China’s e-commerce market will get even bigger, with a boost from the Chinese government. Online retail sales could reach 10 trillion yuan in 2020 as the country’s online population will pass 1 billion, growing by 7.8 percent a year from 2015, according to the 2016-2020 e-commerce development plan released by the Ministry of Commerce and other government departments. The e-commerce market will employ over 50 million people by the end of 2020, according to the plan.

    Screen Shot 2017-01-26 at 10.01.45 AM

     1. Live Streaming

    Taobao, JD and Mogujie added live streaming to their platform. Online celebrities live stream and recommend products on the video, and shoppers can click on the link while watching the video to buy the featured product.

    Online celebrities, mainly female broadcasters in their 20s and 30s, try on brand cosmetics and clothing at home. Online celebrities in overseas countries visit the local supermarket and explain each product while putting them in the cart and visit the local cosmetic shop to get further explanation of the cosmetic product from the clerk.

    2. Content is king

    Some e-commerce platforms added content-reading features to their apps, such as Taobao Headlines (淘宝头条) and JD Findings. Since Alibaba’s content cannot go on WeChat public accounts, Alibaba had no option but to come up with a content service on its e-commerce platform to encourage their customers to get to know more about their products.

    Vipshop is a Guangzhou-based online discount retailer for brands in China. After listing on New York Stock Exchange, the company reported its revenue up 38.4% YoY to 12 billion RMB (1.8 billion USD) in the third quarter of 2016.

    3. Consolidating the market using M&A and investment

    Some e-commerce companies showed consolidation. Hangzhou-based Mogujie now takes control of its previous rival Meilishuo (ranking 20th in the list) through a stock swap in January last year. Ranking 5th in the list, Mogujie was founded in 2011 by a former Alibaba engineer.

    Suning is an electronic product focused retailer in China. The company invested in Eight Days, an e-commerce startup targeting university students to get a grip of post-95 consumers in April 2016.

    4. Focusing on the second-hand market

    Xian Yu (meaning Idle Fish), a second-hand e-commerce has risen from no.10 to no.7. Alibaba spent 15 million USD to acquire Xianyu in March 2016. The customers can use their smartphones to run their stores, and add promotional voice recordings to sell their products, which makes the app more like a social app.

    Other e-commerce companies include Zhe800 and Juanpi. Pinduoduo is an e-commerce company invested by James Mi, the co-founder and managing director of Lightspeed China Partners.

  • Chinese E-commerce Giant Suning Makes Debut Appearance at CES

    Chinese E-commerce Giant Suning Makes Debut Appearance at CES

    Suning Commerce (Suning), one of China’s largest e-commerce retailers, is present for the first time when the International Consumer Electronics Show (CES), the world’s largest annual consumer technology tradeshow, throws open its doors in Las Vegas on the morning of January 5, local time.

    In line with the avalanche of “smart retail” and “smart home” products that are sweeping into the marketplace, this year’s CES highlights the technologies that have made the advent of the smart era possible and the conveniences that these newest technologies create for users. Suning showcases zc.suning.com, IT smart home products and other novel solutions in its exhibition zone. An app created by Suning enables interconnection between the Hisense intelligent air purifier, the UCON intelligent remote controller, the Blomberg intelligent refrigerator, the Whirlpool intelligent air conditioner and PPTV televisions. Joshua Xiang, executive vice president of IT at Suning Commerce and the top executive from Suning in attendance at the show, said that the firm is in the process of creating a smart home ecosystem for users by leveraging its online retail platform and bringing together brands.

    CES, the world’s largest and most influential consumer electronics tradeshow, attracts many of world’s top companies who attend annually. As a pioneer in China’s home appliance 3C retail sector, Suning, in collaboration with several of China’s home appliance manufacturers, hosts the “China Innovation” summit forum.

    The company also teams up with AVC and CHEARI to present awards to the many excellent companies and products that have contributed to the “China Innovation” transformation of the country’s economy, as the economic giant exits its earlier “Made in China” role and executes on the “Made in China 2025” initiative. Suning attends CES for the first time, with the aim of not only showcasing its “China Innovation” line of products and solutions, but also providing a model for other Chinese brands who are preparing to enter global markets.

    China Information Technology Industry Federation executive secretary-general Gao Sumei said that several Chinese manufacturers attend the tradeshow where they introduce innovative Chinese consumer electronic products to the world, giving retailers and consumers worldwide an opportunity to learn more about products created in China and paving the way for other excellent Chinese home appliance manufacturers to take their rightful place on the international stage.

     

    Lees ook:

    Lees ook:

    Lees ook:

  • US$1 billion in first five minutes of 11.11

    US$1 billion in first five minutes of 11.11

    Alibaba Group says more than US$7 billion (RMB 47.5 billion) of gross merchandise volume (GMV) was settled through Alipay on Alibaba’s China and international retail marketplaces within the first two hours of the 2016 11.11 Global Shopping Festival.

    And more than $1 billion was transacted in the first five minutes – from 12 midnight.

    “Chinese consumers purchased more in the first hour of 11.11 this year than the entire 24 hours in 2013, reflecting the incredible evolution of our global shopping festival,” said Daniel Zhang, Alibaba Group CEO. “This unprecedented level of engagement demonstrates both the consumption power of Chinese consumers and their embrace of online shopping as a lifestyle.”

    In the hours leading up to the official midnight start of November 11, millions of viewers watched the Alibaba Group 11.11 Global Shopping Festival Countdown Gala live online and on mobile devices via Youku Tudou, and the Tmall and Taobao apps. The gala was televised live across China through Zhejiang Satellite TV, as well as in Hong Kong and Macau for the first time.

    “This year, we innovated new ways for consumers watching the live broadcast of our countdown gala. Viewers were able to influence the production of the show in real-time through their mobile phones,” said Chris Tung, chief marketing officer, Alibaba Group. “Consumers in front of their televisions were shaking, tapping, scanning, chatting, browsing and buying with their mobile devices, creating a seamless and truly immersive entertainment experience.”

    VR drives surge

    International think tank Fung Global Retail & Technology predicts sales of $20 billion during the full 24 hours, up an extraordinary 40 per cent over last year’s total of $14.3 billion, thanks in part to the introduction of Buy+, the world’s first-ever end-to-end virtual reality (VR) shopping experience.

    “Buy+ will enable global retailers (even those without a physical presence in China) to offer an engaging, virtual in-store experience to Chinese consumers,” writes Fung Global Retail & Technology MD Deborah Weinswig in Singles’ Day Online Shopping Festival Could Also Benefit Retailers’ Physical Stores, a new report.

    The platform features eight virtual stores: Macy’s, Target, Costco, P&G, Chemist Warehouse, Freedom Foods, Tokyo Otaku Mode and Matsumoto Kiyoshi. Using cardboard VR headsets distributed in October, consumers can virtually walk around Macy’s Herald Square flagship in New York City to find products and, with just a nod of the head, confirm payment to purchase an item they see.

    “One of Alibaba’s strategies for Singles’ Day is to merge gamification with online shopping. The company will leverage its media and entertainment assets to drive increased online consumption,” says Weinswig.

    These include a televised countdown gala event and fashion show that was held last evening. In addition, the company is promoting products on TV screens, allowing viewers to scan QR codes for a real-time purchase.

    The concept has expanded beyond Alibaba, with chief rival JD.com, Gome and Suning also creating promotions. International retailers will target Chinese shoppers, and Chinese retailers target international shoppers. In 2015, Newegg, OTTE New York and Nasty Gal, all launched Singles’ Day promotions.

    “A year ago, Alibaba promised that Singles’ Day will be a true omni-channel event, and this year the company seems dedicated to continue delivering on the promise, armed with more technological innovations that bridge the gap between the virtual and physical worlds,” Weinswig writes.

    Lees ook:

  • Massive O2O plan by Alibaba and Suning

    Massive O2O plan by Alibaba and Suning

    Alibaba and Suning, one of China’s largest electronics retailers, plan to fuel Chinese and international consumer electronics brands sales over the next three years by investing in an online-to-offline (O2O) retail initiative.

    The pair will work together to build out an O2O, or “omni-channel,” network combining the former’s online retailing assets with the latter’s physical stores and distribution facilities to make purchasing of consumer electronics and home appliances easier for consumers, officials for the companies said at a press conference in Beijing.

    The two companies expect to quadruple sales of major electronics brands – including Haier, Samsung, Xiaomi and Lenovo – over the next three years, using big data from both businesses, said Alibaba Group CEO Daniel Zhang.

    “This can be achieved by integrating the online and offline sales channels under a digitalisation process,” Zhang said.

    Alibaba and Suning began working together on omni-channel retailing last year after Alibaba agreed to invest RMB 28.3 billion (US$4.63 billion) for a near 20 per cent stake in the bricks-and-mortar retailer. Suning’s network of 1600 stores and 5500 after-sales service centers are linked with Alibaba’s online platforms, and Suning’s distribution network, which includes 4.55 million sqm of warehouse space, is used to deliver products purchased online by consumers via Alibaba’s Taobao Marketplace and Tmall.com shopping sites.

    Working with Alibaba’s logistics affiliate Cainiao, Suning and Alibaba currently offer 12-hour delivery of appliances and consumer electronics in Beijing, Shanghai, Guangzhou, Hangzhou, Shenzhen and Nanjing.

    Alibaba and Suning said they will also support electronics brands by allowing them to leverage consumer data on Alibaba’s 423 million annual active buyers and Suning’s 250 million members. Big data technology can enable more targeted sales and marketing campaigns and even provide insights that allow electronics manufacturers to make products that better meet consumer needs, the companies said. Using consumer data, German electronics company Siemens launched a refrigerator customised for Tmall users in March and Chinese appliance maker Midea in May began selling a rice cooker that was designed partly based on Tmall data.

    “We build a bridge between brands and consumers by leveraging data,” Zhang said.

    International and domestic brands joining the Alibaba-Suning support program, called the Super Brand Alliance, include Midea, Haier, Samsung, Hisense, Huawei, Xiaomi, Lenovo, Siemens, Sony, Skyworth and Canon.

  • Suning-Inter Milan is just a beginning of a Giant Dream

    Suning-Inter Milan is just a beginning of a Giant Dream

    The new Suning-Inter Milan deal marks just the first step in a far greater ambition for Chinese retail giant Suning, which plans to run a global sports empire including online broadcasting.

    Suning and Inter Milan are scheduled to make an announcement in Nanjing today, confirming the retailer will buy a majority stake in the soccer club. However, Reuters reports that Suning is seeking deals to help create a global sporting “ecosystem”, including not only club ownership, but sports media rights, player agencies, training institutions, broadcast platforms, content production and sports-related eCommerce.

    Having a majority stake in Inter Milan would make Suning the first mainland Chinese business to control a major European soccer entity. With annual revenues exceeding US$20 billion, Suning already owns local soccer club Jiangsu Suning and has spent millions of dollars bringing in players including Brazil’s Alex Teixeira and former Chelsea midfielder Ramires.

    It also has ties with Spanish champion FC Barcelona and England’s Liverpool FC, and has a stake in Chinese online content platform PPTV.

    Suning’s moves are echoed by other Chinese investors who have taken minority stakes in England’s Manchester City, Spain’s Atletico Madrid and New York City FC. Spanish club Espanyol and England’s Aston Villa are Chinese-owned, while Inter Milan rival AC Milan is discussing the sale of a majority stake to a group of Chinese investors.

    Inter Milan is currently owned by Indonesian tycoon Erick Thohir, while former owner Massimo Moratti retains a nearly 30 per cent stake.

    Lees ook:

    Lees ook:

  • Suning Plans $7.7B Fund To Expand And Invest Overseas

    Suning Plans $7.7B Fund To Expand And Invest Overseas

    Suning Commerce Group, one of China’s largest electronics retailers, plans to create a separate investment arm seeking to raise as much as RMB50 billion (US$7.7 billion) within five years.

    The Nanjing-based Suning is also establishing two separate investment funds each targeting RMB2 billion by the end of this year.

    One fund will focus on investing in media and content production industries. The other vehicle will target the sports consumption and retailing sectors.

    The newly planned funds may potentially seek to accelerate the group’s outbound investments, as well as expand its existing investment activities, according to state-owned China Daily.

    Previously, Suning operates its investment activities across three funds.

    Suning Rundong Fund, with RMB5 billion, targets a diverse range of sectors, including technology, media, telecommunications, and the cultural and entertainment industry.

    Suning Goldstone Fund, founded in 2014 with RMB4 billion, focuses on retail infrastructure such as physical stores and logistics.

    Suning Qingchuang Fund, with RMB300 million, backs startups with a focus on those specializing in emerging industries.

    The retail giant invested RMB1.93 billion in smartphone maker Nubia Technology Ltd., a subsidiary of ZTE Group, to take a 33.33% stake in the company in December 2015.

    In August 2015, Alibaba Group Holding Limited formed an extensive strategic alliance with Suning to create a far-reaching O2O (online-to-offline) e-commerce platform.

    In October 2014, Suning planned to transfer 11 retail stores for RMB4.01 billion (US$650 million) to Goldstone Investment Ltd., the direct investment arm of CITIC Securities to focus on core and profitable assets.

     

    Lees ook:

    Lees ook:

  • Dalian Wanda, Suning plan store rollout

    Dalian Wanda, Suning plan store rollout

    Mall operator Dalian Wanda Commercial Properties is partnering with Suning to open electronics stores at Wanda Plazas throughout the Mainland.

    The partnership will see 40 stores open by the end of this year with more planned for next year. Suning, now 20 per cent owned by Alibaba Group, currently has a network of 1600 stores throughout China.

    Dalian Wanda has 100 Wanda Plaza shopping centres in China currently and plans to add 35 by the end of this year.

    The company is changing nature from its original model as a department store operator into a services-based company. It recently announced the closure of its Superstar karaoke chain as well as some of its less profitable department stores.

    The company owns the AMC cinema chain in the US, Hoyts in Australia and China’s largest network of movie theatres.

    Lees ook:

    Lees ook: