Core Insights - The necessity of "Double Eleven" is affirmed by industry leaders, viewing it as a significant commercial node despite the rise of live commerce and other sales scenarios [1][2] - Data from major platforms like Tmall, JD, and Douyin shows impressive sales performance during the event, with Tmall reporting over 80 brands achieving over 100 million yuan in sales on the first night [1][2] Group 1: Sales Performance - Tmall reported that 80 brands achieved over 100 million yuan in sales, with 30,000 brands doubling their sales [1] - JD's sales from October 9 to October 20 showed over 52,000 brands with sales increasing by over 300% year-on-year, and over 3,300 categories experiencing doubled growth [1] - Douyin reported over 41,000 merchants achieving a 500% year-on-year sales increase through live streaming, with the number of merchants surpassing 100 million yuan in sales increasing by 900% [1] Group 2: Changing Dynamics of "Double Eleven" - The event is evolving from a focus on GMV growth to a more sustainable long-term accumulation strategy for brands [2] - The promotional mechanisms have simplified, moving towards direct discounts rather than complex reduction schemes, indicating a shift to a "clean and straightforward" discount era [3][4] - Platforms are prioritizing user lifetime value (LTV) over GMV, reflecting a strategic shift in focus towards retaining users and merchants [4] Group 3: Brand Strategies - Brands are increasingly relying on their own live streaming channels rather than depending on top influencers, with significant growth in self-broadcasting [9][10] - The rise of brand self-broadcasting is supported by platforms offering tools and training, indicating a shift in how brands engage with consumers [9] - Successful examples include brands like DeShiMan and HaoHuanLuo leveraging celebrity endorsements and strategic marketing to achieve substantial sales increases during the event [10] Group 4: Future Implications - "Double Eleven" is transitioning into a strategic node for driving annual business rather than merely a sales event, reflecting broader trends in consumer behavior and retail innovation [11] - The simplification of promotional mechanisms and the focus on brand autonomy suggest a competitive shift among platforms towards ecosystem development rather than just promotional strategies [11]

Core Insights - The private domain e-commerce industry is experiencing rapid growth due to the saturation of user growth and rising customer acquisition costs, necessitating refined and differentiated operational strategies to meet user demands and enhance brand competitiveness [1][2][11] Industry Overview - Development Background and Drivers - The number of online shopping users in China reached 970 million in 2024, with a penetration rate close to 90%, indicating limited natural growth potential [2] - The transition from acquiring new users to managing existing ones has driven the demand for private domain e-commerce, which offers lower customer acquisition costs and focuses on long-term user value [2] Demand Side - User Needs - Users are increasingly prioritizing service quality and personalized experiences, with significant emphasis on after-sales service, product variety, and personalized fulfillment [4] - In private domain channels, users show a stronger inclination towards fulfillment efficiency and personalized needs, validating the effectiveness of refined operational strategies [4] Supply Side - Brand Focus - In the era of stock competition, brands are increasingly focusing on digital and channel operational capabilities to enhance competitiveness through private domain layouts [6][7] - Private domain strategies allow brands to leverage data and AI technologies to improve user operations and reduce operational costs [7] Policy Environment - The government has introduced various policies to promote the healthy development of private domain e-commerce, encouraging participation from individuals and small businesses [9][10] Industry Characteristics - The private domain e-commerce sector has evolved through technological iterations and policy regulations, entering a new phase characterized by AI empowerment and the integration of public and private domains [11][12] Operational Model - Private domain e-commerce drives growth through a comprehensive and refined operational model that enhances user lifetime value by diversifying acquisition channels and fostering user trust [14] Market Space - The industry is projected to grow to 2.3 trillion yuan in 2024, with a growth rate of 6.3%, and is expected to exceed 3 trillion yuan by 2025 due to consumption incentives and technological advancements [17][18] Participant Ecosystem - The private domain e-commerce ecosystem consists of brands, store owners, platforms, and consumers, with platforms playing a crucial role in connecting these parties [20][23] Platform Insights - Player Types - Different types of platforms, including comprehensive, vertical, and brand-specific players, serve as core suppliers of goods and services in the private domain e-commerce landscape [23] Platform Insights - Market Landscape - Leading platforms are focusing on marketing innovation, user recognition, and supply chain capabilities to establish competitive advantages [26] Consumer Insights - User Profile - The majority of private domain e-commerce users are women aged 24-39, with a good educational background and middle to high income levels [40] Consumer Insights - Purchasing Behavior - Users primarily purchase daily consumables, with price discounts, product variety, and personalized service experiences driving increased purchase frequency [42][43] Consumer Insights - Experience Feedback - User satisfaction is high, with over 80% expressing satisfaction with their shopping experiences, indicating potential for further enhancement through refined operations [47] Store Owner Insights - Profile - Female store owners are predominantly aged 31-40, with a high level of education, and are motivated by self-improvement and economic independence [50][55] Store Owner Insights - Business Behavior - Store owners primarily convert through word-of-mouth and personal experiences, with a strong internal drive for personal growth and economic contribution [53] Merchant Private Domain Layout - Nearly 90% of surveyed merchants have initiated private domain layouts, indicating positive early results in revenue contributions and operational efficiency [58] Industry Trend Outlook - Refined Operations - The shift from traffic-oriented to user-centric operations is essential for sustainable growth, emphasizing long-term relationships with users [67] Industry Trend Outlook - Technology Integration - The application of AI technology is expected to enhance operational efficiency across user management, content, supply chain, and service operations [70] Industry Trend Outlook - Model Export - Leading players are exploring overseas markets by leveraging successful social e-commerce models, indicating a trend towards international expansion [72]

Core Insights - The report emphasizes the shift from traditional user growth strategies focused on traffic acquisition to a more nuanced approach centered on understanding user needs and building long-term relationships with them [12][13][14] - It introduces the concept of "grass planting" (种草用增), which focuses on creating genuine connections with users through high-quality content and community engagement, rather than relying solely on promotional tactics [12][49][80] Part 01: Market Status and Challenges - The report outlines the evolution of internet user growth in China, highlighting that the internet penetration rate has increased from 22.6% in 2008 to 78.6% in 2024, indicating a saturated market [26][27] - It notes that the cost of customer acquisition has risen significantly, with mobile app acquisition costs increasing from approximately $2 in 2019 to nearly $4.5 in 2024, particularly in sectors like e-commerce and education [28][29] Part 02: New Strategies for User Growth - Xiaohongshu is identified as a new "blue ocean" for user growth investment, with a significant increase in advertising plans across various sectors, achieving growth rates of over 100 times in some cases [46] - The report highlights the importance of focusing on long-term user relationships, with metrics such as user lifetime value (LTV), user satisfaction (NPS), and market penetration depth being crucial for measuring success [46][49] Part 03: Understanding User Needs - The report discusses the necessity of understanding user behavior and preferences to create effective marketing strategies, emphasizing the importance of content that resonates with users' emotional and practical needs [49][60] - It introduces the "reverse funnel model," which focuses on identifying core user groups and gradually expanding outreach based on data insights [91][92] Part 04: Content as a Key Driver - Content is positioned as the central element connecting users and products, with a focus on translating product features into relatable benefits for users [98] - The report advocates for a structured approach to content creation that aligns product attributes with user interests, enhancing the effectiveness of marketing campaigns [98][103] Part 05: Building Long-Term Relationships - The report emphasizes the importance of respecting user behavior and integrating multiple product pathways to foster genuine connections with users [107] - It highlights the unique user engagement on Xiaohongshu, where over 70% of monthly active users initiate their shopping journey through search, indicating a strong intent to discover new brands [108]