DHgate Group creates the first vertical large-scale model "Feitian" in the cross-border e-commerce industry

On March 26, the "Vitality and Upgrade" 2024 APEC Small and Medium Enterprises Cross-border E-commerce Summit and Dunhuang.com Group Annual Merchant Conference was held in Shenzhen.

Facing the enthusiastic 1,600 platform merchants and partners who filled the venue, Li Chun, co-CEO of DHgate.com, announced DHgate.com's 2023 report card: the number of active buyers increased by 57%, while the transaction volume increased by 32%. Li Chun said: "AI technology + quality supply chain services will change the overseas landscape in the next decade. DHgate.com will take this as its direction and focus on promoting consumer experience upgrades, overseas services for brands and carefully selected suppliers, acquisition of B-type customers in new consumption scenarios, optimization of B2B industry vertical large models and AIGC application development in the next three years. With the best resources, the most advanced technology and the highest quality services, we will help cross-border e-commerce sellers, overseas brands and source quality factories accelerate their overseas expansion and jointly build, share and win together in the next decade."

Li Chun, Co-CEO of DHgate Group

Platform investment upgrade drives consumer experience upgrade

Industry research shows that user experience has a huge impact on purchasing decisions. After buyers encounter a bad shopping experience, 86% of users will no longer place an order. At the same time, IRP Commerce data shows that the cost of acquiring customers for e-commerce has increased year by year. In January 2024, the cost of e-commerce visitors increased by 19.40% year-on-year.

"Improving product and service quality and upgrading buyer experience is the lowest-cost and most efficient performance growth path for merchants at a time when industry competition is unprecedentedly fierce." Shen Xiaoyan, vice president of investment and category operations at DHgate.com, emphasized, "We also regard it as the most important growth opportunity for the platform. The core strategy of DHgate.com in 2024 is to upgrade experience and investment. We will work together with merchants to get every customer to buy one more order."

Shen Xiaoyan, Vice President of Investment Promotion and Category Operations at DHgate.com

DHgate.com will start from three aspects : merchants, goods, and fulfillment to ensure the improvement of user experience. In terms of merchants, DHgate.com will focus on the supply of the source of the industrial belt, establish an offline industrial belt operation center, build an online exclusive channel for the industrial belt, incubate 1,000 strong merchants in the industrial belt, and realize direct supply from the source of the industrial belt; in terms of goods, the quality of the buyer's experience will directly affect the stratification of goods, and by matching different levels of rights and interests, the full-link traffic closed loop of high-quality goods will be opened; in terms of fulfillment, DHgate.com will achieve 100% online logistics in 2024, continue to enrich the "X-day delivery" and late compensation products, and greatly improve the certainty of fulfillment. At the same time, for international credit cards, Token one-click payment will be added, and more than 10 local European payment methods will be added to enhance the willingness of European and American consumers to pay. "The buyer's payment experience largely determines the scale of the seller's transaction. The buyer pays quickly and easily, and the seller will receive more and feel happy!" said Mao Xingshuang, Operation Director of Feilaihui of DHgate.com Group. "We will continue to promote buy first, pay later, covering 16 countries around the world-through the new payment capabilities we continue to unlock, help sellers get more orders."

In order to provide products that meet the requirements of good merchants, good products and good services, Dunhuang.com has officially launched the "Pick Plan" , which will create 1 million Pick products by 2024 and provide them with a series of traffic gain rights, including but not limited to full-link strong transparency, exclusive product details page style, search and push traffic weighting, exclusive channels, exclusive Pick Day activities, etc., to ensure that the traffic inclination they receive will increase by more than 70%.

Supply chain service upgrades help merchants grasp new trends in overseas expansion

With the development of social e-commerce, the purchasing demands of traditional small Bs and C-type consumers tend to converge: a more extreme logistics experience and a faster response to fragmented orders are required; the increasingly large group of influencers who sell products requires more mature B2B2C services - all of which have put forward new requirements for China's cross-border e-commerce platforms to integrate localized supply capabilities, cargo size and fulfillment quality.

According to Liu Shuohu, vice president of DHgate.com's logistics and supply chain, in 2023, DHgate.com's logistics fulfillment time will be shortened by an average of 25%, and the parcel volume will increase by more than 60%. In order to better help merchants grasp the new trend of going overseas, in 2024, DHgate.com will first continue to vigorously develop the intelligent cross-border logistics platform DHLink, launch different levels of products such as 7-day/15-day/25-day delivery to meet the different needs of sellers, and will also build a smart international supply chain network DHPort, establish two major fulfillment centers in East China and South China to provide customers with warehousing, consolidation, inspection and other value-added services, and provide three types of first-mile logistics by sea, land and air, door-to-door solutions, and comprehensively improve the certainty and stability of customer fulfillment. In addition, DHPort will also launch overseas cloud warehouses, covering the four core regions of North America, South America, Europe and Asia, and provide fast and customizable pallet management, order management and drop shipping services.

Liu Shuohu, Vice President of Logistics and Supply Chain of DHgate Group

Relying on the powerful logistics network and supply chain integration capabilities of DHgate Group, DHgate launched DHmogo, an innovative business for small Bs in Europe and the United States, providing both parties with a fulfillment solution based on the FOB model. Liu Shuohu shared a case on the spot: the organizer of a local event in the United States needed to purchase kayaks as exhibits, but due to the large size of the kayaks, normal express and truck services could not be used. In the past, the organizer had to dismantle the container in Los Angeles and find a truck company for transportation. It had to go through a cumbersome process of shipping, dismantling the container, customs declaration, and card dispatch. The logistics cost was extremely high, and it was very easy to have problems in import customs declaration. DHmogo, with the help of the group's supply chain capabilities, provides customers with a comprehensive logistics fulfillment solution for sea-rail intermodal door-to-door, and directly delivers abnormally large goods to customers in one stop, reducing logistics costs by more than 12% on the premise of safe and timely delivery of goods.

The social e-commerce platform MyyShop also leverages the supply chain strength of Dunhuang Network Group and focuses on providing overseas influencers with the ultimate B2B2C service, achieving the ultimate time efficiency of 14 days from production, inspection to delivery to the destination country - completing domestic production in 10 days, completing inspection in 24 hours, and delivering goods from the domestic to overseas warehouses in 4 days.

AI technology upgrade, the first large-scale model in the vertical field of cross-border e-commerce "Feitian" debuts

At this conference, the first large-scale model for the vertical field of cross-border e-commerce developed by DHgate Group, "Feitian", was officially unveiled. Liu Wentao, vice president of the technical center of DHgate Group, demonstrated the conversion effect of "Feitian" on site, and introduced that the "Feitian" large-scale model uses the data accumulated by DHgate for nearly 20 years, and the number of model parameters reaches tens of billions. It understands the cross-border e-commerce industry scenarios better than general large-scale models, and can more effectively solve the problems of AI illusion and data offset.

Liu Wentao, Vice President of DHgate Technology Center

Relying on the underlying capabilities of FeiTian, ​​the various AI applications launched by Dunhuang.com on the buyer side, including AI buyer tags and AI advertising, have achieved remarkable results: after the launch of AI smart product tags and AI short video applications, the conversion rates increased by 53% and 28% respectively; through AI smart translation, the product translation of multi-language sites such as German, French and Spanish was optimized, breaking the language barrier and increasing sales by 271%.

In 2024, DHgate will focus on the intelligent operation of merchants, arming sellers with more powerful AI products, achieving comprehensive efficiency improvement in off-site traffic, product supply, and field operations, and promoting transactions by continuously optimizing product understanding, upgrading buyer experience, and facilitating transactions. The seller backend will gradually launch new features and new gameplay such as AI smart coupons, product title selling point generation, smart dressing, product video generation, product picture background change, and smart shopping guide robots, comprehensively upgrading the platform user experience.

"In the next three years, we will use AI technology to make products speak and sellers more expressive," said Liu Wentao. "We will also increase investment in supply chain intelligence, combining smart logistics, smart inquiries, digital shopping guides, online showrooms and other diverse scenarios to provide users with smarter e-commerce services."