More than 2,000 new brands achieved sales of over one million in the first year. Overseas small and medium-sized brands successfully started their second business in the country.

It is worth noting that another batch of small overseas brands on the Tmall Global platform have successfully attracted the favor and investment of large multinational groups.

In February this year , the plant-based nutrition brand Orgain was wholly acquired by Nestlé. At the end of last year, the beauty brand Chantecaille, which entered China for the first time through Tmall International, the Hollywood celebrity hair care brand OUAI, the pure skincare brand Farmacy, and the niche ingredient skincare brand The Ordinary were also successively acquired by major groups such as Beiersdorf, Procter & Gamble, and Estee Lauder.

The performance on cross-border e-commerce platforms, to a certain extent, reflects the development potential of niche brands in the domestic market. This is undoubtedly an important reference for foreign groups seeking potential brands to tap into opportunities in the Chinese market.

Unilever's relevant person in charge said that the reason for investing in and acquiring the Japanese streamlined skincare brand RAFRA was the growth trend of Japanese beauty products in China and the brand's excellent sales performance on Tmall International in the early days. RAFRA entered Tmall International in 2017 and quickly occupied the sunscreen market with its orange-scented sunscreen spray, gaining a large number of emerging young user groups.

"The new cross-border e-commerce business model has become a 'touchstone' for imported niche brands to start businesses in the domestic market." According to relevant persons in charge of Tmall Global, in the past year, more than 5,000 new overseas brands have entered China through Tmall Global, of which more than 2,000 small and medium-sized brands have successfully tested the Chinese market and achieved annual sales of over one million yuan.

The beauty brand Chantecaille entered China for the first time through Tmall Global in 2018, with sales increasing by 200% year-on-year, and incubating two beauty products with sales of tens of millions. Chantecaille, which has not yet opened offline stores in China, has shown growth potential with cross-border channels as its core channel. In 2021, the brand was officially acquired by the German Beiersdorf Group.

The rapid rise of niche brands on Tmall Global is due to the advantages of the cross-border e-commerce model and the platform's continuous improvement of cross-border supply chain capabilities. Tmall Global has established six major procurement centers around the world, covering North America, Europe, Oceania, Japan, South Korea, and Hong Kong, China in the Asia-Pacific region, and has opened up more than 1,300 cross-border logistics routes by sea, air, and land.

At the same time, more than 1.7 million square meters of bonded warehouses have been built in domestic bonded areas . Imported goods are shipped directly from the place of origin, stored and distributed in domestic warehouses , and then delivered to consumers. The time limit for cross-border online shopping has been shortened to 2.5 days, allowing domestic consumers to conveniently buy global goods without leaving the country.

The continuous increase in the size of the middle-class population and consumer confidence has made China a market that global brands are eagerly waiting for. As of November 2021, nearly 30,000 overseas brands from more than 80 countries and regions around the world have entered Tmall Global, covering more than 5,800 categories, of which more than 80% of the brands are entering China for the first time.

Tmall Global

Overseas small brands

Niche Brands