AliExpress’s Live Streaming Help China’s Wig ‘Silicone Valley’, Xuchang, Go Global

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It’s reported that wigs have 500 million consumers in the world and China’s annual exports of hair products account for 80% of the world’s total. The Chinese Wig Silicone Valley Xuchang, located in Central China’s Henan Province, ranks first among the five major production areas of China’s hair products industry and occupies half of the wig industry.

In recent years, with the surge in global wig consumer demand, more and more wig exports have shifted from traditional offline trade to the Internet e-commerce transaction model. Especially in the global epidemic environment, a large number of consumers have changed their offline consumption habits to online consumption, and wig products are also facing the transformation of sales channels. Under the trend of this global business environment, Alibaba’s e-commerce platform, AliExpress, is a high-speed digital bridge that helps Chinese companies connect with their customers worldwide.

Xuchang Wigs and AliExpress have adopted a new international retail e-commerce model to “go overseas”, and the transaction volume has maintained a rapid growth of more than 400% for two consecutive years. As of now, Xuchang wig e-commerce sales have exceeded 1 billion US dollars globally, accounting for more than a half of Xuchang’s total wig exports.

On September 26th, AliExpress and the Xuchang city government, established the first global e-commerce live streaming hub. It covers an area of some 0.89 acre ( 3,600 square meters) and is composed of four areas: product selection center, live streaming center, brand center and training center. It can accommodate more than 100 vendors and over 20 Internet celebrities at the same time and it will stage at least 100 live-streaming events a month.

Zhao Shuhong, deputy mayor of Xuchang Municipal Government, stated at the unveiling ceremony that the world’s first cross-border live broadcast base established by Xuchang and AliExpress is another pioneering move for Xuchang’s wig industry to embrace the new track of international e-commerce. The digital economy model of e-commerce plus live streaming has injected new vitality into the Xuchang wig industry.

“Wigs are a kind of product that emphasizes display. Live streaming not only allows merchants to better display products and but also interact with consumers in real time. This in return helps build merchants’ reputation, resulting better conversion and clearer brand recognition, ” said Ni Qianqing, head of AliExpress’s wig industry. Wigs are best sellers on the AliExpress platform, where there are hair product transactions every 2 seconds. On this platform, consumers can see the real appearance of the products and buy them at a reasonable price. AliExpress will work with wig merchants on the platform to make various styles of live streaming for wig products, allowing users to purchase the most affordable wig products while enjoying the show. Since April, the turnover of wigs export to Europe and America, which are AliExpress’ major markets, has increased by 100 percent.

“With this live streaming base, we will help vendors connect with high-quality live-streamer resources and help merchants nurture live broadcast talents. In the future, we hope the hub can help exchanges resources among local merchants and others. In this way, merchants can improve their abilities to do live streaming themselves,” said Wang Peng, director of social media content and open ecology of AliExpress, “In the future, AliExpress will coordinate with more resources to provide consumers with more affordable products and better engaging shopping experience.”

At the beginning of the establishment of the live broadcast base, Linkone Interactive, the MCN organization that operated the “Xuchang Wig Week World Live Show”, had full confidence in the program’s success. The CEO of Linkone Interactive stated that the method of “live streaming by cross-border wig merchants” will become an important part of the e-commerce business of every major brand in the future. In the process of forming this trend, Linkone Interactive has not only helped wig merchants improve their live broadcast operations, but also pioneered in the continuous exploration of global e-commerce live broadcast optimization solutions.

“With the continuous development of e-commerce, ‘shoppertainment’ has reshaped the entire business landscape and changed the way people shop online. Internet celebrities and content creators are playing an increasingly important role in promoting retail transformation and e-commerce success,” said Wang Mingqiang, general manager of AliExpress.

In May, AliExpress announced that the company will create jobs for over 100,000 content providers and internet celebrities within a year and the number will be 1 million within three years. Besides, it will unite the government, universities, and 100 global live broadcast service providers to engage international students in China to establish 10 cross-border live broadcast bases nationwide.

“Xuchang will use the successful practice of live-streaming in more fields such as garment, accessories, cosmetics, and toys to help more merchants go abroad digitally,” said Wang Peng, director of social media content and development at AliExpress.

It is foreseeable that live broadcast will be an indispensable way of customer experience in the current boom of the digital economy. Under such circumstances, AliExpress is cooperating with more industries to join the economic globalization. As of now, AliExpress helped Xuchang, the Chinese “Silicon Valley”, stand on the world stage; and in the future, AliExpress will contribute more to help more Chinese manufactures go global.

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