WeChat: China’s most sustainable ecommerce platform

chinese online platforms

For many foreign brands in China, the conversation around digital marketing often revolves around the newest, trendiest platforms like Douyin and Xiaohongshu (RED). Whilst these platforms generate plenty of buzz, one app remains the foundation of digital life in China: WeChat.

Despite being less talked about in recent years, WeChat remains China’s most used app and an essential touchpoint for any brand looking to build long-term customer relationships. Unlike marketplaces like Tmall and JD, which require high advertising budgets and commissions, WeChat can offer lower acquisition costs, better visibility and ownership of customer data, and true direct-to-consumer (D2C) marketing.

WeChat: More Than Just a Messaging App

WeChat began as a messaging app, but has evolved into a full-scale digital ecosystem that includes:

Official Accounts – A hybrid between a website, blog, and email marketing tool, allowing businesses to post content, interact with followers, and build a community.

Mini Programs – Lightweight apps embedded within WeChat that enable everything from e-commerce to customer service and loyalty programs.

WeChat Pay – A seamless payment system that dominates mobile transactions in China.

WeChat Channels – A video and livestreaming feature competing with Douyin and Kuaishou, offering brands an organic way to reach audiences.

WeChat Groups – have evolved into ‘exclusive’ marketing channels and information gatherers

This comprehensive ecosystem means that WeChat functions as a standalone digital sphere, where users can browse content, interact with brands, and make purchases – all without leaving the app.

WeChat as the Default Company Website

One of the key reasons WeChat remains indispensable for foreign businesses in China is that it serves as the de facto company website. Unlike in the West, where consumers search for brands on Google or visit standalone websites, Chinese consumers seeking the same information would typically look up a brand directly in WeChat.

This means that your WeChat Official Account, Mini Program, or WeChat Channels is often the first touchpoint for potential customers, or where they learn more about a brand. Consumers expect to find company information, product details, and customer service within WeChat.

Unlike traditional websites, WeChat accounts allow direct engagement with customers through messaging, notifications, and interactive content.

For businesses, neglecting WeChat is like not having a website in the West. Despite this, many foreign brand’s WeChat accounts we see have outdated information, irregular updates, dead links and other issues.

A True ‘Owned’ Channel for Foreign Brands

One of the biggest challenges for foreign brands in China is balancing customer acquisition costs with long-term profitability. Platforms like Tmall, JD, and Douyin operate on a “pay-to-play” model, requiring high advertising spend and commissions. While they offer massive exposure, brands are renting traffic rather than building their own audience.

WeChat, on the other hand, serves as an owned channel, meaning brands control their customer interactions rather than relying on third-party platforms. It can seamlessly integrate with offline touch points. There are generally lower acquisition costs compared to marketplaces where brands compete for ad placements. In addition, there is better data ownership. This allows businesses to track and retarget customers.

For brands looking for a sustainable strategy in China, WeChat offers a unique D2C (direct-to-consumer) model, giving companies more control over their marketing and sales funnel.

WeChat’s Quiet Evolution into a Commerce Giant

While newer platforms like Douyin and RED grab headlines, Tencent has been steadily enhancing WeChat’s commerce capabilities behind the scenes. WeChat Channels, in particular, is growing as a major competitor to Douyin’s short video and livestreaming dominance.

WeChat is aggressively expanding its commerce program that allows every touch point to sell products including video, posts, searches, chat and the new new gifting function. Tencent has simplified the merchant onboarding process from five steps to three, expanded integration between touch points and structured a growth cycle for merchants.

Explosive Seller Growth

WeChat’s initiatives appear to be working, with the number of daily active sellers tripling last year. The value of goods sold on WeChat reportedly surged by 200%.

This growth illustrates that sellers are increasingly seeking more sustainable sales channels. As a result, they are attracting more consumers to do their shopping on WeChat. In short, they highlight WeChat’s shift from being just a content platform to a full-fledged commerce ecosystem.

Where Should Foreign Brands Focus?

Foreign brands often ask whether they should prioritize WeChat over trendier platforms like Douyin and Xiaohongshu (RED) or traditional ecommerce platforms like Tmall. The reality is that these platforms serve different purposes.

Douyin and RED are best for driving brand awareness, viral content, and impulse purchases. Tmall/Taobao can similarly build awareness and provides a relatively transparent way for consumers to learn about brands. It is also a platform where users are already in a shopping mindset. However, these platforms are increasingly expensive to acquire customers and they own the customer data.

WeChat is best for sustained customer engagement, repeat purchases, and brand loyalty. WeChat allows brands to own their customer relationships and lower acquisition costs over time. It can also be the most cost-effective to maintain for budget-conscious smaller brands.

Brands who have the resources shouldn’t select one over the other, they should have a well-rounded China digital strategy that capitalises on each platforms’ strengths and their place in the customer journey. WeChat shouldn’t be overlooked as a piece of that puzzle.

China Skinny can work with you to determine how best to use WeChat and other digital platforms based on your needs and objectives.

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