Alibaba’s flagship e-commerce platform, Tmall, has reported a significant surge in new merchants joining its platform in 2024, underscoring the continued dynamism and attractiveness of China’s online retail landscape.
According to Tmall’s newly released 2024 Merchant Onboarding Report, the number of new businesses setting up shop on the platform saw a remarkable 83% year-on-year increase.
This influx of new blood is not just about quantity, but also quality and rapid success. The report highlights the impressive performance of these newcomers, with 32 brands achieving over 100 million RMB in annual transaction value within their first year on Tmall.
Furthermore, a substantial 733 brands surpassed the 10 million RMB mark, and over 1,600 brands achieved annual transaction values exceeding 5 million RMB.
The report also shed light on the most popular categories attracting new entrants in 2024, based on the number of new stores launched.
The top ten categories, in order, were: mobile phone accessories, casual snacks, cycling equipment, water cups and tea sets, seasonings, trendy toys, bags, down jackets, home storage, and New Chinese Style clothing. This diverse range reflects evolving consumer preferences and the breadth of opportunities available on the platform.
Adding further color to the data, Tmall unveiled its “Top 10 Black Horse Brands” for 2024, showcasing standout success stories. Notably, Rapha, a premium cycling apparel brand, made its debut in the Chinese market by launching its flagship store on Tmall in April 2024.
The brand quickly gained traction, demonstrating the platform’s ability to propel new entrants to success, and ultimately became the top seller in the professional cycling apparel category during the Double 11 shopping festival.
Another compelling success story comes from the world of animation and comics. Chiikawa (吉伊卡哇), a popular Japanese character franchise, topped the list of new merchants in the ACG (Animation, Comics, and Games) peripherals category.
Launching its official flagship store on Tmall in September 2024, marking its first official retail channel in mainland China, Chiikawa experienced an explosive start. The store garnered nearly 200,000 followers on its opening day, with peak search traffic exceeding 300,000 simultaneous users.
This translated into impressive sales, with the store’s first-day transaction value exceeding 5 million RMB, securing its position as the leading new ACG peripheral merchant on Tmall for the year.
Finally, the report identified the top cities for brand creation in 2024. Guangzhou emerged as the leading entrepreneurial hub, with over 12,000 newly registered stores on Tmall, solidifying its reputation as a hotbed for new businesses.
These figures from Tmall’s report paint a picture of a vibrant and evolving e-commerce ecosystem in China. The significant growth in new merchants, coupled with the rapid success achieved by many, indicates the continued appeal of online retail for businesses looking to tap into the vast Chinese consumer market.
The diverse range of popular categories also suggests a dynamic consumer base with evolving tastes and demands. The success stories of brands like Rapha and Chiikawa demonstrate Tmall’s effectiveness in launching and scaling brands, even for international players entering the market for the first time.
For global brands and entrepreneurs alike, Tmall’s latest report serves as a strong indicator of the enduring potential within China’s digital marketplace.