The Solution to China's Lockdown: Private Traffic

The ripple effects of the coronavirus pandemic have heavily hit the business world, causing new challenges for many large and small enterprises forced to temporarily stop operations or, in the worst scenario, shut down completely.?

Through such critical times, how can brands react and even take advantage of this moment to strengthen their relationship with consumers?

“Private domain traffic” is a new trend that may just be the answer!?

Private traffic has been a buzzword in marketing in China over the past couple of years and?2021 was definitely the year of the private-traffic explosion in China.?

Private traffic connects brands directly with consumers, and if an honest and reliable relationship is established, private traffic makes it easier to turn users into loyal consumers.

Dominant platforms such as?WeChat?with its huge traffic pool of?over 1 billion daily active users, can provide huge traffic support for the growth of brands.

What is the?new opportunity?emerging from the pro-longed lockdowns occurring this year in many cities around China??Community group buying!??

With both offline and online retail shut down, community group leaders buy goods in bulk for neighbors in the same residential compound directly from brands. The whole buying and selling process happens in WeChat groups, through which brands acquire new "private traffic" customers.

So how to master private traffic through Wechat during COVID-19？

Private traffic is based on the communities of consumers, so each connection is?customer-centric?and takes three key points into consideration:?key customers screening, marketing optimization,?and a?closed-loop business ecosystem.

1. Key Customers Screening

Private traffic is mainly used to manage user relationships. Enterprises can use?WeChat groups?to filter out key customers and establish VIPs or more targeted small groups.?

In this way, brands can establish a closer relationship with users and push the evolution of users from temporary fans to lifetime consumers.?Promotional activities?exclusive to the members of a group chat?give a sense of advantageous belonging that keeps consumers loyal over time.?

2. Marketing Optimization

To provide the best customer service at the right time. Carrying out a precise marketing strategy based on client classification allows brands to achieve an accurate matching between user type, communication content, timing, and frequency.?

Of course, this process of continuous iteration and optimization of the marketing strategy takes time and a lot of patience, but?the focus should always be on customers. Enterprises can start deploying existing resources and in a later stage customize the services for customers with special needs at specific periods.?

For example, as Shanghai is experiencing lockdown due to the pandemic, some luxury brands in the city have started sending fresh food to customers. Lending a hand in times of trouble may greatly increase favorability, brand recognition of the client, and develop brand loyalty.

3. A Closed-loop Ecosystem

The data shows that the most popular model for private traffic at present is "mini program + live broadcast + private traffic", as a way to generate quick purchases and orders. Through the combination of these three tools, brands can reach users effectively by greatly shortening the transaction path, improving conversion rates and completing the loop of “user acquisition – user education – purchase conversion”.?

Let's take?Pinduoduo?as an example. Pinduoduo encourages users to invite friends on WeChat Groups to purchase items together in a single order, thus having access to a discounted price for products that were already discounted. In 2017, Pinduoduo also launched its own mini-program inside WeChat that will grant access to more private traffic. This is how they initially improved their private traffic and have become one of the top e-commerce mini apps in the WeChat ecosystem.

Conclusion

Private traffic is definitely one of the most successful tools for brands to win customers’ trust, especially in these tumultuous times. This sense of trust is the driving force for purchase conversions.?By being closer to consumers and satisfying their most essential needs during the pandemic, brands can face such challenges and see their recognition enhanced.

Do you need support with your private traffic strategy? Get in touch with us at?[email protected].