Deep Analysis of Tencent’s WeChat Ecosystem

Tencent Introduction:

We go through this article sought to understand what WeChat works on and how the platform allows brands to conquer the digital trade.As China’s leading social media platform with more than 1.1 billion monthly active users, WeChat has become a commercial necessity for luxury brands.

To meet greater marketing and advertising needs, the application has evolved rapidly over the past two years

I) Model com 2.0

“We offer the 2.0 model to help our customers, especially those who are luxury brands, go further and reach the most direct and shortest path to conversion through mini-programs and mobile payments,”

said Kiki Fan, General Manager of Sales and Operations of Key Accounts, Tencent Marketing Solution, about mastering the new WeChat.

Here are some key details on how WeChat’s “ 2.0” model works for brands:

1) WeChat Traffic Acquisition

Tencent Marketing Solution has taken it one step further by helping luxury brands get traffic. The team defines four types of traffic that brands can acquire within the application.

For example, WeChat allows brands to retain users by offering them gift cards, allowing these users to gain social traffic.

Today, this type of word-of-mouth traffic is becoming increasingly important for all businesses. But the app also accepts advertising requests from brands in prime viewing locations such as wechat Moments and posts by leading opinion leaders (KOLs).

Tencent Marketing Solution also works with world-class consulting firms such as the Boston Consulting Group to provide brands with consumer information.

More information on Native Ads Tencent 


2) Conversion of traffic to sales

Launched in early 2017, mini-programs are now at the heart of the WeChat ecosystem in terms of transforming traffic into real sales.

Today, a large number of luxury brands have opened boutiques, manage customer relationships, and even more through mini-programs. “The mini-program feature is part of the WeChat ecosystem that also brings together features like calling, social chat, search, ticket purchase, and payments,” Fan said.

Also, WeChat works with brands to add a personal touch to their user communications-a strategy that effectively increases conversation rates by 350% or more.

II) Offline and online

This feature allows you to request services and goods online and to see them satisfied offline. For Chinese consumers who do not feel they have enough free time outside of their working hours, this possibility is a serious advantage. It is very common in China to order your meal online on public transport or to call on a repairman to repair the screen on your mobile phone while staying at work.

In 2017, 7% of Chinese bought online via their smartphones at least once a day, 45% once a week and 25% once a month.

Knowing that online orders are only increasing, this feature allows luxury brands to increase their traffic.

III) The future of social commerce : WeChat

Overall, WeChat’s “ 2.0” model offers a complete solution for luxury brands hoping to excel in social e-commerce in China. While this trend is expected to continue to grow in the future, Fan believes that digital platforms like WeChat will become the axis around which content, social sharing, data, retail product promotions, and catalogs will be fully integrated. In this way, luxury brands can engage proactively and transparently with consumers.

Further readings

  1. How to Make money on WeChat
  2. WeChat Marketing Top Solution



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