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Online Retailing's Relationship, Marketing, And Customer Loyalty in China: Alibaba (Essay Sample)


1. Needs to be limited to only secondary data
2. This Essay 2 is based on the theories described in the Essay 1 (It will be uploaded). This essay 2 is analytical; critical; needs an argument; needs to demonstrate you think independently.
3. A suggested plan for essay 2 is in the PPT uploaded.
4. The essay 2 can be talk about the online retailing's relationship marketing and customer loyalty in China. For example, Alibaba...


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Online Retailing's Relationship, Marketing, And Customer Loyalty in China: Alibaba
China has experienced an exponential growth in e-commerce since 2003, with an average of 120% growth annually. The growth has catapulted China to the second position in e-commerce as of 2017 globally (PWC, 2017). The success in establishing the intensive online market is credited to hyperactive developments of the vanguard online platform, Alibaba, who are the leading competitors of the globally acknowledged Amazon. The firm has actualized their vision “New Retail” spearheading change in the manner how e-tail is conducted in China. The Chinese retail on e-commerce platform accounts for 64% of the total retail in China while Alibaba controls 80% of the market (PWC, 2017). The success has been achieved through a close execution of the 4Rs in relationship marketing and diversification of their services and the business model to offer innovative services in new industries as well as collaborating with international firms.
Alibaba has integrated the use of social media to attract new consumers, develop relations with consumers, retain the existing consumers, and maintain the relationships for the long-term. Their online retail marketing and loyalty programs are customized to suit the consumers’ preferences. Both online retail marketing and customer loyalty programs are heavily reliant on mobile applications, which are a subsidiary of the mother firm, to promote the brand's reputation and earn the consumer’s allegiance. These strategies have been successful since 70% of the total sales made on all e-commerce platforms begin their inquiry at Taobao, which is the organization's search engine for products on e-tail in the country (Jin, Cheng, and Lihua, 2016).
Alibaba has been successful in establishing an indomitable market control and consumer loyalty by consistently changing to adapt to the changing landscape in e-commerce. The focus of diversification has always been to improve customer satisfaction, eventually promoting the customer loyalty to the brand (Jin, et al. 2016). The leading global competitors such as e-bay and Amazon have been conservative with the diversification of their business models. The leading competitor in the Chinese market has been Tencent, who recently acquired the second runners-up,, who are fiercely innovative and creative to capture a wider market share in China (Jourdan, 2017). The intent of this essay is to analyze the online retailing, marketing and customer loyalty strategies that have been employed by Alibaba to create the modern indelible e-commerce force of the firm in China and globally.
Online Retailing Relationship Marketing Strategies
The bulk of e-commerce in China is transacted on smart mobile phones, which accounts for 52% of consumers and globally 14%. The mobile application, Tmall, was launched in 2010 (Yazdanifard and Hunn li, 2014). In 2016, only 6% of the e-commerce consumers relied on the application, the trend had changed with 80% growth in consumer’s reliance on the application to transact business by 2016. Heavy reliance on the application has made the desktop application almost obsolete, with very minimal business being transacted on the platform (Yazdanifard and Hunn li, 2014). The reliance on the internet for retail’s relationship marketing and running business has contributed enormously to the adoption of mobile applications by vendors and consumers. Discussed below are some strategic relationship marketing strategies employed by online retailers in China and Alibaba as the industry le...

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