Ching-Wen Chen

Summary of Seven E-commerce Development Models and Future Trends:

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[Third-Party Platform Sales, Self-built E-commerce Platforms (D2C), Social Commerce, Micro-business, Subscription-based E-commerce, Dropshipping Model, Affiliate Marketing]

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Taiwanese celebrity Lin Ruiyang's two business models for 【TST Tin's Secret】.

Translated from Chinese (Simplified) to English - www.onlinedoctranslator.com

Unit Outline

• 1.SummaryE-commerce7Development Model
• 2.Taiwanese artist Lin Ruiyang【TSTFamily Secrets】of2Business Model
• 3.Future Trends of E-Commerce
• 4.Combining artificial intelligence with e-commerce
• 5.Application of blockchain technology in e-commerce
• 6.Unmanned store
• 7.Smart Logistics
• 8.Green e-commerce and sustainable development

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1. Summary of Seven E-commerce Development Models:

[Self-built E-commerce Platforms (D2C), Third-Party Platform Sales, Social Commerce, Micro-business, Subscription-based E-commerce, Dropshipping Model, Affiliate Marketing]

Sales on third-party platforms�（Third-Party E-commerce platform）

• feature:
• Merchants open stores through existing e-commerce platforms (such as Amazon, Shopee, etc.) and use the platform's traffic to sell products. It is suitable for merchants who do not want to build their own websites.
• Example:
• Shopee Taiwan：One of the largest e-commerce platforms in Taiwan and Southeast Asia.
• JD Mall：One of the largest B2C e-commerce platforms in China, providing sales channels for merchants.
• Related Videos:
• How to open your own store on Shopee?
• https://www.youtube.com/watch?v=qjvctW9cjbM

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Self-built e-commerce platform�(Direct-to-Consumer, D2C)

• feature:
• Enterprises or individuals can establish independent e-commerce websites and sell products or services directly to consumers, with full control over their brands and data.
• Example:
• Xiaomi MallXiaomi's self-built e-commerce platform directly sells its own products.
• PChome Shopping Center：One of the largest self-built e-commerce platforms in Taiwan, providing a wide variety of products.
• Related Videos:
• How to build your own online store using Shopify?
• https://www.youtube.com/watch?v=SWLBEJNSJrA

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Social E-Commerce

• feature:
• Combine social media with e-commerce functions, use social interactions and user-generated content to drive sales, and emphasize social recommendations and community effects.
• Example:
• Little Red Book (RED): A classic example of combining social media and e-commerce.
• Douyin Store：The Douyin platform promotes and sells products through short videos and live broadcasts.
• Related Videos:
• How to use Douyin Store for sales?

Subscription E-Commerce

• feature:
• Consumers subscribe to products or services on a monthly or annual basis and receive updated products or content on a regular basis. This is suitable for content services and consumables industries.
• Example:
• KKBOX: A Taiwanese music streaming service platform that adopts a subscription model.
• Netflix：A world-renowned video streaming platform.
• Related Videos:
• Analysis of the subscription business model

Dropshipping�(Shipping mode)

• feature:
• Merchants do not need to stockpile products, but can ship directly from suppliers after customers place orders, which is suitable for entrepreneurs with limited funds.
• Example:
• 1688service：The 1688 platform under Alibaba provides consignment delivery services.
• Shopee's delivery service: Many merchantsPick up from Taobao, and sold it in Taiwan
• Related Videos:
• Dropshipping Beginner's Guide

Affiliate Marketing

• feature:
• Earn commissions by promoting other companies' products or services. Suitable for websites or individuals with traffic.
• Example:
• Books.com.tw: Books.com offers an affiliate marketing program to earn commissions by promoting books.
• Ali Mama: Alibaba’s affiliate marketing platform that helps websites and apps make money by recommending products.
• YoutubeAffiliate Program,SheinAffiliate Program
• Related Videos:
• How to get started with affiliate marketing?

Wechat Business(Micronet)

• origin:
• WeChat business firstOriginated fromWeChat,mainexistWe sell products on the WeChat platform.
• How it works:
• Individuals or small businesses use social platforms【Moments, WeChat groups】etc.Direct Sales and Personal MarketingFor the Lord.
• Micro-business isIndividual-centeredSales model, selling directly to friends circle.
• Marketing model:
• Taking "network" as the main resource, emphasizingAcquaintance Economy
• A little bitSimilar【MLM Model】,Similar【Amway】MLM
• Common products:
• Usually soldBeauty products, health products, clothingetc., the product range is relatively concentrated

Micro-business instruction video

• Stay-at-home economy!The rise of “WeChat business” has led to a nationwide wave of entrepreneurship,TVBS
• https://www.youtube.com/watch?v=ONxCqkd8mks
• Is running a micro-business like dreaming of getting rich quickly?
• https://www.youtube.com/watch?v=Jr-sssc_wk0

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2.Taiwanese artist Lin Ruiyang【TST Family Secrets】of two Business Model

The most famous micro-business: Taiwanese Lin Ruiyang and Zhang Ting's cosmetics brand, 【TST Tin's Secret】.

• 【TSTFamily Secrets】
• Depends onWechat Businessmodel,
• Sales are mainly conducted through social platforms such as WeChat.One of the leading companies in China's WeChat business market
• 2018YearLin RuiyangThe total tax amount is as high astwenty oneRMB billion (approx.96100 million yuanNT$)
• Problem:
• Its business model is on the edge of legality. If you are not careful, you may be【Rat Club】,Depend on【Recruiting people】To make a profit

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The most famous micro-business: Taiwanese Lin Ruiyang and Zhang Ting's cosmetics brand, 【TST Tin's Secret】.

• 【TSTFamily Secrets】exist2021In 2006, he was charged with illegal pyramid sellingOfficial investigation by mainland China,Frozen property
• After investigation2023Year10Yueshijiazhuang Yuhua District People's CourtCancelsurvey, and put the twoAsset Thawing, successfully retrieved88.8100 million yuan
• Now【TSTFamily Secrets】Expanded to Southeast Asia

The most famous micro-business: Taiwanese Lin Ruiyang and Zhang Ting's cosmetics brand, 【TST Tin's Secret】.

• 【TSTFamily Secrets】The business model is mainly2Type:
• (1).WeChat【Wechat Business】Multi-level marketing business model
• (2).O2OBusiness Model

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• What isO2OBusiness model?

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What is O2O Business model?�O2O（Online to Offline）

• (1).Online promotion, offline experience:
• TSTWe promote our products extensively through online platforms such as WeChat.
• At the same time,TSTPhysical stores or experience stores have also been set up in some cities so that consumers can experience the products in person offline.
• (2).Online order, offline delivery:
• TSTCustomers can place orders through WeChat Mini Program or WeChat Mall, and then choose to pick up the goods at offline stores.
• (3).Offline activities promote online sales:
• TSTFrequently hold offline events, such as new product launches and beauty seminars, to guide them to make subsequent purchases through WeChat or online shopping malls.
• (4),Data integration and precision marketing:
• TSTUtilize online and offline sales data to analyze consumer behavior and conduct precise marketing.O2Omodel,T

3.Future Trends of E-Commerce

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【Artificial Intelligence,Blockchain,Unmanned store,Smart Logistics, Green e-commerce, sustainable development】

4.Combining artificial intelligence with e-commerce

【Personalized recommendations, intelligent customer service, dynamic pricing, and demand forecasting】

Overview of Artificial Intelligence

• Artificial intelligence (AI) refers to the technology that simulates human intelligence.
• Machine learning,
• Natural Language Processing,
• Computer vision and other technologies,
• Enables computers to perform complex tasks.
• With the advancement of technology, AI is increasingly being used in e-commerce, from improving user experience to optimizing business processes.
• AI is becoming an important driving force for e-commerce.

Application of AI in e-commerce

• 1.Personalized recommendation:
• AI analyzes user behavior and preferences to provide personalized product recommendations and improve sales conversion rates.
• For example,Amazon's recommendation systemUse AI technology to recommend relevant products to users.
• 2.Intelligent customer service:
• AI-Powered ChatbotWe can respond to customer inquiries immediately.Provides 24/7 support, greatly improving customer service efficiency.
• 3.Price Optimization:
• AI algorithms can be used to determine pricing based on market demand and competitor pricing.,Dynamically adjust product prices
• 4.Demand Forecast:
• AI analyzes historical sales data and market trends.Predict future product demand, helping companies to manage inventory more accurately.

5. Applications of Blockchain Technology in E-commerce

【Cross-border Payments, Supply Chain Transparency, Automatic Execution of Smart Contracts, Anti-counterfeiting】

The basic principles of blockchain technology

• Blockchain is a decentralized distributed ledger technology
• Secured by encryption technologyData immutabilityandtransparency.
• Each transaction record is saved in a "block" and linked to the previous block in chronological order to form a "blockchain".

Application of blockchain in e-commerce

• 1.Payment and Settlement:
• Blockchain technology canEnable fast and secure cross-border payments and settlements, reduce transaction costs and eliminate third-party intermediaries.
• 2.Supply Chain Transparency:
• BlockchainCan record every link of the product in the supply chain, from the source of raw materials to the final consumer, providingFully transparent tracking capabilities, which helps to improve product trust.
• 3.Smart ContractAutomatic Transaction:
• Smart contracts are based onBlockchain's self-executing protocol,When the predetermined conditions are met, the smart contract automatically executes the transaction, eliminating the need for intermediaries and improving transaction efficiency.
• 4.Anti-counterfeiting and traceability:
• Blockchain TechnologyCan prevent products from being counterfeitedBy tracing the production and distribution of products, consumers can confirm the authenticity of the products.

6.Unmanned store

Overview of Unmanned Store

• Unmanned stores are a retail model based on automation technology and artificial intelligence, where customers can shop and pay by themselves without human intervention.
• Unmanned store use
• Sensors,
• Camera
• Payment Technology
• To realize commodity identification and payment process, it represents the future direction of the retail industry.

Application of unmanned stores

• Amazon Go:
• Amazon Go is a pioneer in unmanned stores, which uses AI, computer vision and sensing technology to achieve a "grab and go" shopping experience. Customers scan the app when entering the store, select the products and leave directly, and the system will automatically deduct the payment.
• ShopeeNo onePickupshop:
• ShopeeStart trying to open an unmannedPickupshop,And bothisDensely populated urban areas, unmanned stores can provide convenience,Save on shipping costsThe Inducement.

7.Smart Logistics

Overview of Smart Logistics

• Smart logistics refers to the use of
• Internet of Things (IoT)
• Big Data
• Artificial Intelligence
• advantage:
• Optimize logistics transportation and management processes,
• Improve logistics efficiency,
• Reduce operating costs.
• Smart logistics coversThe whole process from warehousing, transportation to distribution, is an indispensable part of e-commerce.

Application of Smart Logistics

• 1.Automated warehousing:
• By usingRobotics and Automation Systems, enterprises can achieve efficient management and operation of warehouses, reduce manpower requirements and improve order processing speed.
• 2.Drone delivery:
• Drones can be used for last-mile delivery, especially in remote or inaccessible areas, where drone delivery can be fast and cost-effective.
• 3.Real-time logistics tracking:
• pass throughInternet of Things Technology,
• Enterprises canReal-time tracking of every step in the logistics process, providing accurate delivery forecasts and status updates to improve customer satisfaction.

8.Green e-commerce and sustainable development

The concept of green e-commerce

• Green e-commerce refers to the practice of
• Implementationenvironmental protectionandSustainableThe approach,
• Reduce negative impacts on the environment.
• This includes:
• selectSustainable Materials,
• Reduce carbon emissions
• PromotionCircular Economy.
• Green e-commerce is not only in line with the environmental protection trend, but also can attract more and more consumers who are concerned about environmental protection.

Green e-commerce practice

• 1.Sustainable Packaging:
• Businesses can choose to use recyclable orBiodegradable packaging materials,Reduce plastic use, and encourage consumers to participate in packaging recycling programs.
• 2.Low-carbon logistics:
• pass throughOptimize transportation routes,useNew Energy Vehicles, enterprises can reduce carbon emissions in the logistics process. At the same time, carbon neutrality measures can be implemented to reduce the impact on the environment.
• 3.Promoting a circular economy:
• Enterprises can launchProduct Recycling Program,Encourage consumers to return used products for reuse or recycling, and promote sustainable use of resources.
• 4.Supply Chain Transparency:
• By increasing transparency in the supply chain,Ensure that all production and supply processes comply with environmental standards, reducing damage to the environment.

Sustainable Development Trends

• Improvement of consumers’ environmental awareness:
• More and more consumers areConsider the environmental friendliness of products when shopping, which has promoted the development of green e-commerce.
• Government policy support:
• Governments are introducing more policies to support sustainable development, such asCarbon Tax,Green Subsidyetc., to encourage enterprises to adopt environmental protection measures.
• Corporate Social Responsibility:
• Enterprises not only need to pursue economic benefits, but alsoTaking social and environmental responsibility, which has become an important trend in modern business development.

9.Conclusion

Conclusion

• The future of e-commerce will be led by technological innovation and sustainable development.
• Artificial Intelligence,
• Blockchain,
• Unmanned store
• Smart logistics and other technologies
• The rise of green e-commerce
• It reflects the common concern of consumers and businesses about environmental protection and sustainable development.
• Enterprises must keep up with these trends in order to succeed in future market competition and make positive contributions to society and the environment.