Traditional Brand vs. Web Brand Hailiang Chen, Assistant Professor Department of Information Systems College of Business, City University of Hong Kong

Agenda Background Brand Selection Data Monthly Sales – Tmall vs. Taobao shops – Shops with different reputation ranks

Background Tao Brand or Web Brand: exclusively online Available only online New and became known recently Sold by manufacturers themselves Available both online and offline Well-known before selling online Sold online by distributors and retailers Web Brand Traditional Brand

Brand Selection Most popular traditional and web brands based on the number of transactions in the past 5 years Traditional Brand:Web Brand:

Data Transaction Data – Date – Brand ID – Shop type – Reputation rank – Number of transactions

Data – Shop type: B: Tmall shop C: Taobao shop – Reputation rank:

Tmall vs. Taobao shops

Monthly Sales Taobao shops had slightly more transactions than Tmall shops in earlier years. Except months including sales days like double 11 or double 12, Taobao shops had a similar amount of transactions as Tmall shops in later years.

Monthly Sales Sales for Taobao shops and Tmall shops were close in earlier years. Sales for Tmall shops increased significantly over the past few years. Sales for Taobao shops remained largely the same over time.

Shops with different reputation ranks

Monthly Sales The sales trends and fluctuations are similar among different reputation ranks. The number of transactions: Diamond > Tmall > crown > heart > gold

Monthly Sales Sales mainly came from crown and gold shops in earlier years. Sales for Tmall shops increased over time and eventually surpassed Taobao shops. The sales difference between Taobao shops and Tmall shops became increasingly larger.