“Zhuan Zhuan” surpasses “Xianyu” against all odds, you have to read these growth strategies!

Zhuan Zhuan and Xianyu are both C2C second-hand trading platforms. Xianyu entered the market earlier than Zhuan Zhuan and has an advantage in user traffic . Why did Zhuan Zhuan overtake Xianyu? There are some growth strategies here that you have to look at.

Overtaking on a turning curve:

Tencent invested $200 million in 58.com’s “Zhuan Zhuan”, which accelerated the iteration of the entire second-hand market; JD.com ’s “PaiPai” was also launched in 2017. What kind of growth strategy allowed Zhuan Zhuan to catch up with Xianyu in about 4 months?

This report provides a competitive analysis of the growth strategies that Zhuan Zhuan has adopted to go against the trend.

• Zhuan Zhuan was launched in October 2015 - Slogan: A more professional second-hand trading platform.
• Xianyu was launched in July 2014 - Slogan: Make your idle time swim.

Research Background

Zhuan Zhuan and Xianyu are both C2C second-hand trading platforms. Xianyu takes advantage of Alibaba Taobao 's users and has the priority in user traffic. Since its launch in July 2014, it has always kept a low profile. It is better to say that it is secretly polishing and looking for a better business model rather than constantly trial and error due to lack of experience.

In October 2015, "Zhuan Zhuan" was launched and introduced into the market by investing in large-scale advertising. Only then did Xianyu start to carry out a large number of marketing activities, and in a short period of time, it easily increased its user base to over 100 million.

Zhuan Zhuan’s data in the secondary market has always lagged behind Xianyu until 2017 when its major shareholder Tencent introduced a large amount of traffic channels and capital, which instantly accelerated Zhuan Zhuan’s growth. Since the second half of 2017, Zhuan Zhuan has used a large number of growth strategies to increase its user base . Its monthly data has continued to surpass Xianyu. Zhuan Zhuan is telling the market through its actions: "We need to stretch our muscles and overtake others."

Data analysis

Figure 1: Android: Comparison of downloads of Zhuan Zhuan and Xianyu in three months (Zhuan Zhuan in red, Xianyu in blue)

Figure 2: Android: comparison of total downloads between Zhuan Zhuan and Xian Yu

The total number of downloads of Zhuan Zhuan on Android reached 234,850,091, which is 38,483,476 less than Xianyu.

Baidu Index:

(30-day comparison)

(90-day comparison)

Judging from the index situation (as of 2018-04-07): Zhuan Zhuan's overall growth was 63%, while Xianyu's was a decline of -23%.

The growth rate of APP is 99%, while Xianyu continues to show negative growth. This trend represents that Xianyu's competitiveness in the entire market share continues to decline, while Zhuan Zhuan continues to grow at a high speed in the incremental market; and Zhuan Zhuan's overall month-on-month and year-on-year growth are also higher than Xianyu, an increase of nearly 5-6 times that of Xianyu, which shows that Zhuan Zhuan's development momentum is strong.

WeChat Index :

30-day comparison and 90-day comparison

IOS popularity comparison

Overview of Zhuanzhuan and Xianyu's iOS ratings and rankings

Data comparison of ranking information of Zhuanzhuan and Xianyu on iOS

[Zhuanzhuan] As of April 8, 2018, the Chinese region covered a total of 11,079 keywords , with 1,500 search results ranking in the top three and 3,222 search results ranking in the top ten. Among them, there are 2215 keywords with a search index ≧ 4605, 180 of which are ranked in the top three search results, and 593 of which are ranked in the top ten search results.

【Xianyu】As of April 8, 2018, the Chinese region covers a total of 5,726 keywords, 297 of which are ranked in the top three search results, and 829 of which are ranked in the top ten search results. Among them, there are 1,361 keywords with a search index ≧ 4,605, 96 of which are ranked in the top three search results, and 261 of which are ranked in the top ten search results.

in conclusion:

In the past three months, Zhuan Zhuan’s growth on the APP side is twice that of Xianyu, and on WeChat side is five times that of Xianyu. Its ASO keyword ranking is more than twice that of Xianyu.

Careful students may find out: Why are the total downloads of the two similar, but the last two data are so different? Don’t forget that Xianyu was launched more than a year earlier than Zhuan Zhuan. Moreover, Alibaba has its own application market , and 58 is a search platform for multi-category information flows . The resources they had when they started out were inconsistent.

Linear Characteristics Analysis of Growth Strategies

Discover:

• With the same total download volume, Zhuanzhuan’s user base and activity are much higher than Xianyu’s, which means that the repurchase rate is high enough.
• In particular, the activity level on WeChat is 5 times higher than that on Xianyu, which means that Zhuanzhuan community has a good strategy in applying strategies across the entire user side.

analyze:

• The similar download volume of users indicates that the two are comparable in terms of promotion and channel capabilities;
• In terms of user retention rate and user stickiness, Zhuan Zhuan is far superior to Xianyu, which shows that Zhuan Zhuan is very efficient in attracting new users and repeat purchases.

Comment Analysis:

in conclusion:

• Analysis of negative reviews on ZhuanZhuan - The average rating of version v4.7.7 is 5.0, and the number of positive reviews is very evenly distributed;
• Analysis of negative reviews on Xianyu - the average score of version v6.0.6 is 4.5, and the reviews are uneven.

Judging from the overall ratings and comments of APP annie:

In the past three months, the overall number of comments on Zhuan Zhuan is more than twice that of Xianyu, but the total number of comments on Xianyu is still 3,000 more than that on Zhuan Zhuan, which is related to the length of time online and the number of versions.

Let’s first talk about the characteristics of the product-side C2C model:

• Users can be merchants or users;
• It can also be that merchants only sell goods or users only buy things.

For the business model, you need to do three things:

• Encourage C-end to become merchants and make the supply side sufficient;
• Encourage C-end purchases and continuous repurchases;
• Encourage C-end users to attract new users and get more users to register.

To sum up, the adequacy of C supply, repurchase rate and user growth rate are the core indicators of the entire platform.

How does Zhuan Zhuan implement its growth strategy?

Sign in:

1. Points can be accumulated and redeemed for other products (promoting activity, tasks can be redeemed for cash);
2. Points redemption wheel, wheel lottery (conventional way to attract new customers , increase the fun of the product);
3. Invite friends to earn xxx points (conventional way to attract new customers, in order to encourage old customers to bring in new ones).

Group Buying:

1. Standardized product group buying (the 1 yuan group buying is mainly a promotional method for Zhuanzhuan itself as a product supply);
2. Red envelopes for individual product segments (a promotional method for segmented categories).

Voting Wall:

1. Satisfaction with product functionality (increasing product fun, increasing communication between the platform and users). PS: It is important to emphasize that this voting method can be used to analyze the background data to determine which types of products can be compared and promoted, and to reduce the data for products with high conversion rates , so as to activate the awareness of product promotions. Moreover, this voting method is beneficial to the differentiation of Zhuan Zhuan itself from Xianyu, as it has no community, and is intended to make up for the deficiency of its own product data.
2. It imitates the Baidu News hot topic voting method, which is both entertaining and effective in collecting user data.

Special bonus for first order:

1. 25 yuan red envelope, specific products;
2. New members can immediately receive a red envelope of 10-88 yuan.

Collection Center:

1. Spend xx yuan, get 10 yuan or 20 yuan off (increase the number of items purchased);
2. In April, there will be a 40% discount, in spring, there will be a 70% discount, etc. (quarterly activities are carried out on a quarterly basis);
3. New customer coupon collection center (special coupons for different categories, used to promote repeat purchases).

Recommended news:

1. Targeted push notifications of products you browse today and search by keywords (products you browse will be pushed to you in the form of APP reminders, and you will be given coupons);
2. If the group purchase is unsuccessful, a pop-up window will be displayed on the APP or mini program to remind you;
3. Coupon expiration reminder (to wake up users and promote consumption);
4. Limited time 10 yuan red packet (wake up + repeat purchase).

PS: 2-3 APP reminder messages will be pushed every day.

Special Events:

• Early card-playing was endorsed by Dilraba Dilmurat (in the AARRR model , it was to promote activity);
• Help you sell an extra 700 yuan (convert C-end users into merchants).

C-end users become merchants:

1. Send 5 yuan red envelopes for 1 item, 8 yuan for 3 items, 5 yuan for 10 items to encourage users to sell goods;
2. Release red envelopes for a certain category of goods (with different red envelope strengths).

It is mainly based on the different categories of goods, and through data analysis, we determine which products sell well and which products need to be encouraged to sell more.

PS: 2-3 APP reminder messages will be pushed every day. SMS messages are used to announce purchases and mailings, etc. The APP reminder strategy is basically 2-3 per day. There will be a fluctuation of 3 during holidays. During holidays, there is an average of 1 reminder per day. The entire data analysis and user experience optimization are done on the APP reminders.

Sending reminders by APP is a very important part of the interaction. When users want to receive red envelopes, they must turn on the message reminders of APP and cannot turn them off. If they are turned off, they cannot receive the red envelopes. This is also a necessary link to make the growth strategy effective, the hardware conditions of soft advertising and the smoothness of APP information reminders.

Research Conclusion

(1) Focusing on solving the needs of second-hand transactions is worth learning

Zhuan Zhuan has always focused on being a trading platform for personal idle items. There are currently 46 versions of various sizes, all of which are focused on optimizing and improving the release and purchase process. Other auxiliary functions also pave the way for better product release. Moreover, it is used to the fullest extent in the entire growth strategy. Xianyu lags far behind Zhuanzhuan's growth strategy in the entire growth strategy.

Core: Let products drive growth.

(2) Core function/activity page - concise and clear, worth learning

Zhuanzhuan’s product structure and business logic are very clear and concise. Users know right away that they can buy second-hand items or post them for resale. This is good enough at the current stage, and we will continue to optimize and improve the core function page processes.

All means of growth are basically based on H5 page dissemination and mini-program page dissemination. Each growth strategy is designed based on page jumps, simplicity, and clarity, so as to reduce the number of page jumps and user loss.

Core: Let strategy drive growth.

(3) High-quality channels and brands are worth learning

The traffic imported by Zhuanzhuan from 58, the traffic imported from Tencent, the traffic from brand spokespersons, the traffic from new media , the advertising side and other third-party user traffic are all reflections of the continuous improvement of Zhuanzhuan's market share.

Core: Channel-driven growth.

The core of growth is:

Enterprise growth, also known as enterprise growth and enterprise development, is the sustainable development formed by an enterprise through its own long-term operation and continuous expansion of accumulation.

That is to say, Zhuanzhuan has overtaken others under high pressure, using data as the underlying support to build the entire growth strategy, allowing products to drive growth, to solve the needs of users in the business model , and to drive the company's monetization and market share.

The author of this article @增叔 is compiled and published by (Qinggua Media). Please indicate the author information and source when reprinting!

Product promotion services: APP promotion services, advertising platform, Longyou Games