#Japan #Live Commerce #Fukuoka #Ure-net #Douyin

Ure-Net Advertising Group's New Venture into Douyin Live Commerce

Ure-Net Advertising Group, based in Fukuoka, Japan, has officially launched a new program aimed at facilitating commerce on Douyin, the Chinese version of TikTok. This initiative, named the "China TikTok Live Commerce New Test Plan," is being spearheaded by Ure-Net's subsidiary, Ure-Cross-Border EC Co., Ltd. With this strategic move, Ure-Net aims to streamline the entry process into the Chinese market by addressing common challenges associated with overseas expansion.

Background of the Launch

Expanding into the Chinese market often presents businesses with various hurdles, including complex procedures related to general trade, local infrastructure development, and required advertising investments that can pose significant initial burdens. Ure-Cross-Border EC has identified these obstacles and devised a solution that follows the approach of starting small, validating data, and then scaling up once a viable strategy is identified. By leveraging Douyin's live commerce capabilities, the plan is designed to test products, pricing, and marketing angles using comprehensive sales data.

Overview of the Program

The primary goal of this program is to assess consumer reactions through Douyin live broadcasts quantitatively and qualitatively. This feedback will guide the verification of product suitability and key selling points while also establishing sales records. The program's structure is built on several fundamental elements:

• - Emphasis on compatibility with product categories, selecting the right Key Opinion Leaders (KOLs)
• - Conducting four live sessions each month, each expected to last around 20 minutes
• - Focusing on a limited selection of SKUs to clarify messaging (e.g., approximately five SKUs per session)
• - Planning for a fixed contract duration, allowing for ongoing optimization and improvements through sustained broadcasts (e.g., a duration of around 10 months)

Note: The specified number of live sessions, duration, SKUs, and periods are standard guidelines and may be subject to change based on product characteristics and operational conditions.

Unique Aspects of the Scheme: Bonded Zones and Cross-Border EC

This new live commerce plan incorporates a unique cross-border EC scheme utilizing China's bonded zones. It aims to minimize the preparatory burden compared to general trade while ensuring compliance with regulations, allowing for rapid market validation. Initial trials will focus on identifying winning conditions in the Chinese market, leading to a phased transition toward more extensive general trade operations and offline expansion.

The Value Proposition of Ure-Net Advertising Group

Ure-Net Advertising Group has accumulated substantial knowledge in the D2C (Direct-to-Consumer) realm through numerous strategy validations, including A/B testing. Leveraging this experience, the new plan will advocate a continuous operational cycle of hypothesis, execution, verification, and improvement tailored for Douyin live commerce. Furthermore, the integration of this plan with Ure-Net's extensive services, including D2C support, advertising operations, consulting, and cross-border EC assistance, creates an environment conducive to easily adapting validation results into other strategies.

Future Prospects

In the short term, Ure-Net will focus on expanding the introduction of this program and accumulating operational case studies. Over the medium term, the goal will be to standardize and enhance services related to live commerce for the Chinese market, thus amplifying revenue opportunities. While the current financial impact of this initiative on the company's consolidated results is expected to be minimal, any relevant updates or disclosures will be communicated promptly as necessary.

As Ure-Net Advertising Group embarks on this new venture, the company underscores its commitment to innovation in commerce and its adaptability in navigating international markets.