JD.com e-commerce operation traffic logic

1. Top-level structure of traffic logic

1. Accurate distribution: customized on demand

The top-level structure of traffic determines the quality and efficiency of underlying operations. If the overall architecture of the page/product is not set up according to user experience or traffic portraits, then even the most accurate traffic will be wasted!

For example: All the traffic entering a venue comes from travel websites, but is it appropriate to set up computer office products in the venue? Of course you can sell them, but what if you adjust the order of the product hierarchy and put travel, mobile phone selfies, cameras, etc. at the front, what will the conversion rate be?

Taking the sequence adjustment strategy of an event in 2016 as an example, the page floor structure is different for different dates to meet the diverse needs of users.

2. Precision distribution: personalized satisfaction of rigid needs

Guess what the user demand was like on JD.com and Tmall during the first 15 days of Double 11? Under normal circumstances, users will wait for the full-category carnival, which is full of atmosphere, excitement and a sense of participation; but in reality, there are also good sales and GMV contributions every day, but they are slightly smaller!

Users’ shopping needs are diverse and fragmented. If they are not in the stage of accumulating shopping desires, their shopping behaviors in the first 15 days are generally precision shopping + rigid needs (the rich do not count, as they are too willful in their shopping). Therefore, it is generally worth launching a timeline roadmap to meet users’ personalized needs!

2. Refined traffic operation and distribution on PC side

As mentioned earlier: the war of e-commerce is also a war of traffic to some extent, and refined traffic distribution is the key! As the two largest terminals: PC+APP/M, due to the characteristics of the products themselves, the traffic distribution logic is slightly different.

1. The long tail curve of PC e-commerce traffic operation

In April 2016, we worked with JD.com to conduct a very innovative experiment at the operational level: if there were several or even 30 screens in a conference hall from top to bottom and hundreds of thousands or millions of traffic coming in, what kind of distribution trend would be revealed? In the past, everyone would wonder, what is the traffic volume on each floor? Or, where should I place my product? Or, how can I improve the conversion rate so that the products I operate can achieve the maximum conversion rate.

Therefore, we launched the overall visualization heat map and PV arrival depth map. Through data analysis, we can present a panoramic view of the PV of each floor! It is clear at a glance, maximizing the potential of products, brands, and categories, so that you can focus on the right products and put them in the right areas, without wasting more food. During the 618 period, we conducted more precise verification through a wider range of categories, and ultimately came up with the long-tail curve of e-commerce traffic (see the figure below).

• A. Index description: Under normal circumstances, for every additional screen, PV will decay by a certain percentage, and decay at a uniformly accelerated rate. The PV change shows a very obvious long-tail effect.
• B. Experimental results: There are more than 30 screens in the entire main venue, and there is exactly one screen on each floor; different data are presented from top to bottom in the main venue.

Due to confidentiality, detailed attenuation data.

• C. Tactical guidance: Refined operations, more accurate traffic share of each floor and each section in the promotion venue, and organic combination of Tian Ji's horse racing style according to the GMV share of the business unit to maximize and optimize the overall page GMV!

2. Love-style traffic distribution

First of all, if the product is the child of the product manager, then operating it is like falling in love with the users. Think about how you coax your girlfriend. Smart people will play hard to get. At the same time, smart people will leave a good impression on the users at the first moment and attract user stickiness at the first moment.

Secondly, we always wonder, if we put the good things in front, will all the traffic be intercepted? Good things will always attract users to continue looking forward to it. When a hot-selling item is sold out for 1 yuan, users will think about whether they should grab other good things.

Most users tend to have this mentality: when they go to the supermarket to "go shopping", they originally prepare a budget of 100 yuan, but they find that food, clothing, housing and transportation are all on sale and very cheap, and they often end up spending 200, 300, or even 500 yuan. They will constantly "force themselves" to reveal their potential needs.

After the transaction, on the surface, the user got a discounted product, but for the platform merchants, the user ultimately spent 200 or 300 yuan, and the platform ultimately earned 2 or 3 times the original amount.

Again, we must believe that human nature is direct, and people will actively browse to see if there are other good quality, low-priced products they want to buy, such as the ones below; although generally speaking, the closer to the front, the greater the traffic, but as long as there is an organic combination, even the content at the end can get good traffic, such as through the combination of interest points + anchor points, visual guidance, etc.

Finally, during the Chu-Han Contention, Han Xin, one of the Three Great Heroes of the Early Han Dynasty, said: How many generals, how many logistics soldiers, how many baggage soldiers, and how many archers are needed to command an army of one million? To win a war, everyone needs to do their job. Just like a big promotion, some sections are positioned for brand, some are positioned for sales, some are positioned for traffic, some are positioned for GMV contribution, some are positioned for attracting new users, and some are positioned for conversion rate... There are thousands of user needs, and traffic positioning also needs to be customized according to demand to meet the diverse needs of thousands of users!

3. Characteristics of mobile APP/M-side traffic distribution

Due to its unique terminal experience, the mobile terminal is destined to be a platform that emphasizes interactive experience (pop-up ads, dynamic entrances...), visual focus (full-screen creativity, blurred background, large background, bottom navigation, top navigation, curved design...), social sharing (friend circle, H5, live broadcast + video...), etc. Therefore, the traffic distribution of the mobile terminal is quite different from that of the PC!

1. Mobile traffic focus effect

It may not be painful to prick someone with a blunt awl, but anyone will feel a piercing pain when using a thin needle. Mao Zedong's Art of War says "concentrate superior forces to attack one point"; during World War II, Germany's blitzkrieg often concentrated all its mechanized corps to advance rapidly with very large armored clusters; in the Battle of Iwo Jima in World War II, the US military's troop deployment was unusually concentrated, and the comparison of military strength between the United States and Japan was 32:1 for the Air Force, 27:1 for the Navy, and 5:1 for the Army.

In business, 20% of brands often generate 80% of GMV or performance contribution, and 20% of content receives 80% of attention, that is, 20% ≈ 80%... So, what changes will occur if 80% of the traffic is directed to 20% of brands and businesses, concentrating the best resources on focusing on them? JD’s integrated marketing of Super Brand Day, Super Category Day and Super Product Day provides the answer.

Around 2016, JD.com launched Super Brand Day, Super Category Day and Super Single Product Day. In terms of traffic operation, a very important core logic is to concentrate high-quality resources and invest in high-quality brands to attack one point and make core breakthroughs. When all the ammunition is combined to express the brand in a large-scale, clustered way, the user's cognition, visual focus, attention, eye-catching effects, and attention will also have a long-tail effect. The more concentrated and integrated the operation is, the more attention the user will pay, and quantitative changes will lead to qualitative changes.

For example, the following pictures, no matter who you are, you can’t help but take a look! (Of course, this method achieves clustered traffic introduction through visual experience.)

For example: Assume that the entry page has a million traffic, and the previous area includes 10 sections. If the sections are unrelated, the average traffic consumed by each section is about 40,000, for a total of 400,000 traffic. However, if they are integrated into one, like a super brand area, the traffic will immediately grow exponentially. The traffic of the 10 sections will exceed 800,000, which is the effect of concentrating all forces and integrating marketing. Fully unleashing brand potential and making the most of traffic will bring innovation and high-quality experience to users, and will also bring integrated innovation and integrated marketing to merchants/brands, thus increasing brand premium and visibility!

2. Sense of participation on mobile devices + freshness of “shopping”

A very important difference in e-commerce shopping lies in the “sense of participation + freshness of shopping”!

Sense of participation: Before shopping, many users do not particularly understand the product, price, and product features, and there is no introduction or recommendation like that of an "offline waiter". Therefore, the guiding role of other users for new users is crucial! It is recommended to consider the 5 golden indicators before sales, and focus on satisfying "user needs"! For example: sales ranking, popularity ranking... can make users feel: if everyone says it is good, it is really good, the choice of so many users cannot be wrong, I will also buy it!

What's more, mobile users often have a shorter decision-making time and limited screen space. If the freshness left to users cannot be retained in time, it will be easily lost. As shown in the above pictures, when the vision is more focused, more sensitive, and more sudden, users will naturally click. There are several psychological characteristics in this:

1. So interesting, let me take a look.
2. With such a large scale, there must be some interesting activities, so I want to join in the fun.
3. It seems that the company is having a big promotion. If you don’t buy it now, when will you buy it? If you miss this opportunity, you will miss this store...

Author: Zhao Feitan

Source: Tan Talks Operations (ID: zhao-feitan)