TRD Issue 46 - Briefing: Shop Amazon from Facebook, Find Discounts with Google Search, YouTube Test AI Features

Hello Subscribers,

It's been a few days since the Double 11 shopping event (aka Singles' Day in China). While the initial results appeared promising, recent reports suggest that the sales boost has slowed down compared to previous years. This could mean consumers start to feel tired or resistant to the extensive discounts and marketing campaigns spanned over a month.

Another groundbreaking partnership by Amazon. The Co-Founder and Co-CEO of Disruptive Digital - Maurice Rahmey, first posted on LinkedIn, showing a direct Amazon purchase from Facebook and Instagram ads. However, Amazon and Meta have yet to announce the partnership.

Meanwhile, Google launched new Search and Chrome tools to assist users in finding discounts, increasing competition with other deal-finding platforms. Additionally, YouTube tests AI functionalities, such as a conversational tool for content interaction and comment summarization. This is particularly useful for lengthy videos with an extensive amount of comments.

As we navigate these changes, staying informed and ahead of the curve is crucial. Happy reading, and let's keep pushing the boundaries of innovation in retail and technology!

About 91APP

Founded in 2013, 91APP is the premier OMO (online-merge-offline) SaaS company, providing one-stop omnichannel retail solutions in Taiwan, Hong Kong, and Malaysia. It offers advanced Commerce Solutions and Marketing Solutions that enable retail brands to penetrate the D2C (Direct-to-Consumer) e-commerce market and drive their operational benefits to their full potential. In 2021, 91APP became the first SaaS company to be listed in Taiwan and has been named one of Taiwan's "NEXT BIG" companies by Startup Island TAIWAN.

For more information about 91APP (TWO: 6741), visit www.91app.com.

e-Commerce

Shop Amazon From Facebook in New App Test

Why it is important

• The partnership represents a significant shift in e-commerce, enhancing ad attractiveness and user convenience while challenging competitors like TikTok.
• It brings a shopping experience closer to Facebook Shops without forcing Amazon to join Shops while it is required to use Facebook’s checkout.

What happened

• Amazon and Meta test a feature integrating Buy with Amazon, allowing users to buy Amazon products directly from Facebook and Instagram ads.

Source: Bloomberg

Shopify's New Marketplace Takes a Markedly Different Approach than Amazon's

Why it is important

• The web-based Shop app prioritizes merchant relationships and consumer experience rather than functioning as a marketplace, diverging from Amazon.

What happened

• Shopify expanded its Shop app to the web, allowing users to search and buy from its merchants.
• Unlike Amazon, it emphasizes customer loyalty over low prices and quick shipping and integrates Shop Pay and rewards.

Source: Business Insider

Days After Buying Missguided, Shein Could Make A Bid For Topshop

Why it is important

• Shein's potential acquisition of Topshop signifies strategic expansion and competition in the fashion retail sector.

What happened

• Shein is reportedly considering buying Topshop from ASOS amidst declining sales and financial challenges faced by ASOS.
• Frasers Group, which just sold Midguilded to Shein, and Authentic Brands Group are among the possible buyers, making for a fascinating tale of potential frenemies in the fashion sector.

Source: Forbes

Marketing

Google Search and Chrome are Getting New Tools to Help Users Find Discounts

Why it is important

• Google's new tools in Search and Chrome for finding discounts intensify competition with existing deal-finding platforms, such as Honey.

What happened

• Google introduced a deals page on Search and discount-finding features in Chrome, providing users with easy access to sales across various categories and proactive discount code searches, elevating their shopping experience.

Source: TechCrunch

CMO Strategies: Beyond Amazon, the Strengths of the Top Retail Media Networks — from Walmart to Kroger

Why it is important

• The expansion of RMNs challenges Amazon, offers new ad avenues to brands & leverages consumer data for targeted marketing in a post-cookie era.

What happened

• Walmart, Target, and Kroger are enhancing their retail media platforms, attracting brands with their growing ad businesses and rich consumer data, competing with Amazon, and reshaping digital advertising strategies.

Source: Modern Retail

D2C

D2C Briefing: The Case For and Against Black Friday Discounts

Why it is important

• The Black Friday discount debate for DTC brands reflects the challenge of balancing profitability and brand integrity.

What happened

• DTC brands are split on Black Friday. Some offer sales, like Everlane, while others, like Freitag, prioritize brand values over short-term gains.

Source: Modern Retail

AI

YouTube to Test Generative AI Features, Including a Comments Summarizer and Conversational Tool

Why it is important

• YouTube's experimentation with AI signifies a significant advancement in enhancing user interaction and content accessibility on the platform.

What happened

• YouTube announced testing new AI features for premium users: a conversational tool for content interaction and recommendations and a comments summarizer for more straightforward navigation of discussions, starting with a limited user base.

Source: TechCrunch

Social

Ad-free Instagram and Facebook is Here — and It’s Expensive

Why it is important

• Meta's introduction of a paid, ad-free version of Facebook and Instagram in Europe, in response to new EU privacy laws, marks a significant shift in social media monetization and user privacy options.

What happened

• Meta is prompting EU users to subscribe to an ad-free version of Facebook and Instagram, costing around $20 monthly.
• This move responds to EU privacy regulations, offering users a choice between ad-supported or paid, ad-free usage.

Source: The Verge

Asia

Alibaba, JD Fail to Inspire in China Discount Shopping Gala

Why it is important

• The promotional period for Double 11 (Singles’ Day) has been stretched so far that the frenzy and excitement it once brought about is almost over, especially in light of China's sluggish overall economic development.
• Live streaming platforms saw an increase in sales, which helped to cushion the impact of the year-on-year decrease in e-commerce platform sales.

What happened

• During China's Singles' Day, Alibaba and JD.com reported sales increases but likely fell behind new entrants like ByteDance's Douyin.
• They didn't disclose total revenues, indicating a shift in consumer spending during the economic development and the growing influence of social platforms.

Source: Bloomberg

FamilyMart's 50-Year Struggle: Itochu Corporation Leads the Way in Digital Transformation

Why it is important

• FamilyMart's digital transformation, led by parent company Itochu, marks a pivotal shift in Japan's convenience store industry, focusing on digital innovation and franchise sustainability in a competitive market.

What happened

• Celebrating 50 years, FamilyMart is pushing digital reforms under Itochu's guidance, including unmanned payment stores and media integration in shops.

Source: Nikkei