In the past two decades, thanks to the strong support of the country's foreign trade policies, the opportunities for Chinese products to go overseas have increased significantly. As the COVID-19 pandemic sweeps the world, the large-scale online shift of consumers' social and shopping scenes has accelerated the development of the global digital economy, which has also created a good opportunity for Chinese 3C products to go overseas collectively.

3C has always been a traditional strong category in China and one of the most promising categories in the cross-border e-commerce market. Backed by the strong domestic supply chain system, rich industrial chain and excellent product quality, "Made in China" 3C products have inherent advantages and competitiveness in cross-border e-commerce.

Among the many opportunities for going overseas, the e-commerce markets in Southeast Asia and Latin America have attracted much attention: according to the latest report on Southeast Asia's digital economy by Google, Temasek and its partner Bain & Company, the number of Internet users in Southeast Asia reached 400 million in 2020, with 40 million new users , of which 36% of Internet service users were new users.

At the same time, a survey by social media consulting company We Are Social showed that in January this year, the number of Internet users in Brazil reached 160 million, with 9.6 million new users and a penetration rate of 75%.

As the Internet economy rapidly penetrates the lives of consumers in Southeast Asia and Latin America, they have not only become the first and second fastest growing markets in the world for e-commerce, but also the two regions with the greatest potential for the development of 3C electronics worldwide.

Image source: Shopee

Statista data shows that the Southeast Asian e-commerce market's electronic and media equipment revenue will reach US$19.657 billion in 2021, with an estimated compound growth rate of 8.4% from 2021 to 2025 (much higher than the global average growth rate of 4%), and the market size will reach US$27.141 billion in 2025.

The Latin American e-commerce market is expected to reach $14.038 billion in revenue in this field, with a compound annual growth rate of 8.86%, and the market size will rise to $19.718 billion in 2025. Statista data predicts that the global electronic and media equipment e-commerce market will reach $773.901 billion in 2025.

It can be seen that electronic products are showing rapid growth and huge potential in the e-commerce markets in Southeast Asia and Latin America.

It is learned that in order to help more cross-border sellers who are willing to go overseas successfully seize the first round of bonus explosion points in the second half of the year, the leading cross-border e-commerce platform Shopee, at the Shopee Seller Incentive Conference held not long ago, invited a number of senior platform account managers and category operation experts to conduct a detailed and practical analysis of the situation of each sub-category of the 3C category and the tips for explosive sales, in order to make adequate preparations for the explosion of orders in the second half of the year.

1. Home appliances category: high growth, high profit, high potential, three steps to create differentiation

The home appliance category has the characteristics of "three highs" - high growth, high profits and high potential . In preparation for the peak season, it is necessary to use a three-step strategy to create differentiation.

The order volume of hot-selling subcategories of home appliances continues to grow on the Shopee platform. For example, cameras and surveillance cameras can reach 20 times the average growth rate of the market, and air purifiers can reach 15 times. The home appliance category is concentrated in the medium and high customer unit price, with high profit margins. The net profit of well-operated stores can exceed that of other stores by 1.5 to 4 times. In addition, the advertising traffic cost in the Latin American market is relatively low, providing low-cost marketing opportunities.

So how can we make home appliances bigger and stronger? Home appliances are highly standardized, and consumers in different regions have little difference in demand for styles. Sellers can create differences through "three steps".

The first step is to open up the market. As standard products, it is relatively easy for home appliances to open up new markets and expand traffic pools. Products in the original market can be moved to new markets with one click.

The second step is to make good use of advertising. By optimizing advertising images and keywords, the product's usage scenarios and positioning are different from similar products, which will create a memorable experience for consumers.

The third step is to develop new products. Develop new variants in the same category, such as developing a three-in-one interface from the original two-in-one interface, or expand from a functional perspective, such as a new charging method. Use the market feedback from advertising tests on new products to adjust product selection based on market preference trends.

Image source: Shopee

The market demand for mobile phone accessories is very large. It is one of the subcategories with the largest order volume and the most intense competition in the 3C electronics category. In preparation for the peak season, you need to make sufficient stock to seize the opportunity!

Analyzing the sales trend, mobile phone accessories have their own unique development rhythm. The first quarter (January to March) is the off-season, and the market is generally lagging behind. It gradually picks up in April, and after August, with the arrival of big promotions, it continues to grow during the peak season, reaching the annual peak in November and December. There will be a significant decline in January and February of the second year, but it will be higher than the same period last year. If the operation is stable in the later period, April of the second year can exceed the peak of the previous year.

During the Spring Festival, factories were closed and the rates of delayed shipments and unfinished products were generally high. However, demand in Southeast Asia remained high, causing Chinese sellers to miss out on good sales opportunities in the first quarter.

Comparing the sales data of sellers with sufficient inventory and those with insufficient inventory on the Shopee platform during the Spring Festival, sellers with sufficient inventory maintained a healthier growth trend, with a smaller sales decline due to the off-season, and a significantly higher growth rate in the later peak season.

Sellers are advised to stock up on sufficient products during the Chinese New Year, with the stock volume reaching 1-2 months of daily sales, or even more. Stocking up in advance can help sellers seize the opportunity and "overtake on the curve" in the fiercely competitive mobile phone accessories category, and also lay a strong sales foundation for the whole year.

Headphones and smart wearables are categories that are booming, so it is recommended to stratify product selection before the big sale, that is, to determine whether the product is a traffic-generating model, an evergreen model, or a profitable model.

Traffic-generating products are low-priced products, suitable for initial traffic generation. Evergreen products are products that have been selling well in the store for a long time. These products can be shipped to overseas warehouses for sale to increase conversion rates. From the customer's perspective, hot-selling products are combined with hot-selling style elements. Profitable products are products with large profit margins.

Sellers are advised to pay attention to the turnover rate of profit funds at the same time to ensure that the products can be sold within 60 days to avoid incurring high costs due to long-term storage fees when they are shipped to overseas warehouses at a later stage.

After positioning products in different layers, establishing a complete product matrix can help stores attract consumers with different needs and better take advantage of the surge in orders during big promotions. Shopee platform data shows that sellers who are active on the day of a big promotion have an order growth rate that is more than ten times that of daily orders.

In addition to the above unique tips for boosting sales for various purposes, the editor has also summarized a strategy for boosting sales. If you follow these five steps, you can seize new opportunities and win at the starting line of the peak season!

Image source: Shopee

The first step is to establish a clear product positioning and improve the product matrix. Determine which products are traffic-generating products, which are evergreen products, and which are profitable products.

The second step is to optimize products and stores. Adjust product selection based on the preferences of customers at different sites. Optimize product main pictures and add accessories to encourage orders and conversions. Reduce prices for slow-selling products to increase store turnover.

The third step is to prepare sufficient stock for the big promotion. Especially for hot-selling products and products submitted for platform activities, ensure timely delivery. If they cannot be delivered in time, it will affect the qualification to participate in subsequent platform activities.

The fourth step is to enter new markets while operating existing stores. As the second fastest growing e-commerce market in the world, Latin America is an excellent choice for Chinese products to go global. 3C products perform well in the Latin American market and show a trend of sustained growth. Sellers are advised to seize the blue ocean market opportunities.

The fifth step is to use marketing and promotion tools to attract traffic to the store. Use store marketing tools such as discount coupons, bundled sales, and in-store flash sales. The input-output ratio of big promotion day advertising is high and the effect is good. You can use paid advertising and on-site and off-site advertising to attract traffic to the store. In addition, there are obvious differences in hot search terms on different sites. For example, Brazilian customers are accustomed to searching for product models, while Filipino customers are accustomed to searching for keywords related to functions and brands. It is recommended to place keyword ads in a targeted manner to accurately attract traffic.

Shopee is a leading cross-border e-commerce platform that connects consumers, brands and sellers in Asia and other high-growth markets, enabling everyone to shop and sell anytime, anywhere. In 2020, Shopee's total order volume was 2.8 billion, a year-on-year increase of 132.8%.

The big promotion in the second half of the year is an important opportunity for Shopee sellers to seize traffic and achieve explosive sales. The Shopee 9.9 promotion is also coming soon. How to seize the peak season traffic and win at the starting line of the peak season? The first step is to put aside your concerns and submit your registration.

If you want to join Shopee, you can click to read the original text or scan the QR code on the poster below to sign up for the summer training camp event specially tailored for novice sellers by Shopee in August this year.

Limited to 7 days, only the first 200 people can get it free, limited places, first come first served!

For event details, please click on the poster below