Aumake International Limited (ASX:AU8), in partnership with Shenzhen Jiezhou Technology Co, Ltd (part-owned by Ant Financial), has launched a new online platform, the first stage of an Australian social e-commerce marketplace allowing local brands to connect more directly with Asian influencers and their social networks. \
Executive Chairman, Keong Chan said the online platform will allow Aumake to grow its member database, Gross Merchandise Value (GMV) and market share by initially attracting influencers by providing them with the best possible prices, streamlined logistics and a seamless customer experience
Aumake will soon incorporate contemporary social media marketing features such as peer-to-peer review, gamification, short form video and group buying capability – all on one integrated platform – to create a social e-commerce marketplace specifically tailored to the Australian market
Social e-commerce is one of the fastest growing e-commerce segments in China, driven by the emergence of NASDAQ listed Pinduoduo, Douyin (Tiktok) and Xiaohongshu
Mr Chang said the new online platform and forthcoming social e-commerce marketplace is a natural evolution of the company’s business model, leveraging its established trusted relationships with Australian brands and Asian influencer social networks
We are absolutely delighted to provide a new way for Australian brands to meet the demands of the fast-changing Asian consumer market,” Mr Chang said.
“The launch of our new online platform today as the first stage of the creation of a social e-commerce marketplace has been the result of many months planning, as part of the evolution of the company’s long-term online strategy.
“Asian consumers are increasingly using integrated platforms to buy products based on opinions within their social network and increasingly less on what the brands, retailers or advertisers are telling them. In China, it is now about discovering products with friends, sharing that experience and buying on that same platform – the product is part of the journey, not simply the end point.
“The social-ecommerce marketplace we will create in the next stage will be specific to the Australian market, to allow high-quality Australian brands to form a closer connection to Asian influencers who can in turn relay brand stories to their social network and allow them to buy it immediately on the same platform.
“This has been historically difficult to do via existing traditional retail/marketing networks. Aumake will soon offer the tools and features seen on Chinese social e-commerce platforms to Australian brands and Asian influencers to provide a level of engagement not experienced before.”
Several options exist to monetise marketplaces, including levying transaction service fees. Transaction service fees will result in a net transaction margin in a range similar to other marketplaces in China and the USA.
Advertising and marketing revenue can also be derived from the development of customised data for brands, enabling them to improve their market awareness through the social e-commerce marketplace.
The company aims to rationalise its physical store footprint. However remaining stores will continue to play an important role in converting in-store traffic to the new online platform and future marketplace. This will be especially important as international borders start opening, international students return and Asian tourism resumes, which capitalises on Broadway’s enduring tourism relationships in Asia.