Market entry consulting is a professional service that provides companies with feasibility analysis, strategic planning and implementation recommendations for doing business in a new market, industry or region. Market entry consulting can help companies avoid blindly advancing or missing opportunities when entering a new market or expanding a new business area, improve the success rate and efficiency of market entry, and achieve business growth and value creation. This article will introduce the content, process, value and cases of market entry consulting from the following aspects, and how to choose a suitable consulting company.

Content of 1. market entry consultation

The content of market entry consultation generally includes the following aspects:

Market size and growth rate: how big the target market is, how fast it is growing, and how much potential and space there is;

Market structure and segmentation: which segments or application scenarios the target market consists of, and how much share and influence each occupies;

Market needs and preferences: what are the needs and preferences of consumers or customers in the target market, what are the pain points and needs that are not met;

Market drivers and constraints: which policy, technological, social, economic and other factors affect the target market, and what are the opportunities and challenges;

Market competition pattern and advantages: what are the main competitors in the target market, and what are their respective products, strategies, advantages and disadvantages;

Market risks and countermeasures: what are the potential risks in the target market, such as legal, political, cultural, economic, etc., how to assess and reduce these risks, and how to deal with possible crises;

Market entry strategy and action plan: according to the analysis and evaluation of the target market, formulate appropriate market entry strategy, including market positioning, target customers, product differentiation, price strategy, channel strategy, marketing strategy, partners, etc., and formulate specific action plans, including timetable, resource allocation, budget, indicators, etc.

2. Market Entry Consulting Process

The process of market entry consultation is generally divided into the following steps:

Determine the project objectives and scope: communicate with customers, clarify the project objectives, scope, duration, budget and other basic information, sign a contract;

Design project framework and methodology: design project framework and methodology based on project objectives and scope, including problem trees, hypothesis validation, data sources, analytical models, etc;

Collect and organize data: collect data from various channels, including literature, network data, expert interviews, questionnaires, etc., and clean, organize and summarize the data;

Analyze and solve problems: use data analysis methods and tools, suchPESTAnalysis12 Porter's Five Forces Analysis34 、SWOTAnalysis5 Analyze the data and solve the problem according to the analysis results;

Form and present reports: according to the problem solution, form reports and adopt them.PPTOr other forms to present to customers, and discuss and feedback with customers.

The Value of 3. Market Entry Advice

The value of market entry consulting is that it can help companies avoid blindly advancing or missing opportunities when entering a new market or expanding a new business area, improve the success rate and efficiency of market entry, and achieve business growth and value creation. Specifically, market entry consulting can bring the following benefits:

Provide objective and comprehensive market information and insight to help enterprises understand the current situation, trends, opportunities and challenges of the target market, and provide a basis for decision-making;

Provide professional and in-depth competitive analysis and evaluation of advantages, help enterprises identify the main competitors in the target market and their own core competitiveness, and provide reference for strategy formulation;

Provide systematic and innovative risk analysis and response measures to help companies predict and reduce potential risks in target markets, and provide solutions for crisis management;

Provide practical and effective strategic advice and action plans to help companies develop appropriate market entry strategies and implement them on the ground to ensure performance improvement.

The Case for 4. Market Entry Consulting

In order to better illustrate the process and value of market entry consulting, we take the case of Shangpu Consulting Company conducting overseas market entry consulting for a well-known domestic e-commerce company as an example.

Case background: A well-known domestic e-commerce company (hereinafter referred to as a customer) is a leading company in the domestic e-commerce field, and its market share in the domestic e-commerce market exceeds50%It has hundreds of millions of users and tens of millions of merchants. The customer's main business is the platform model of e-commerce, that is, to provide consumers and merchants with an online transaction platform, while providing payment, logistics, marketing and other supporting services. The main sources of income for customers are platform commissions, advertising fees, value-added service fees, etc. As the domestic e-commerce market has become saturated, customers hope to expand their share in the overseas e-commerce market in the next three years, and enhance their brand influence and competitiveness. To this end, the client commissioned the Champ Consulting Company to conduct overseas market entry consulting.

Case objective: Through in-depth analysis of overseas e-commerce market, provide customers with the following information:

The scale, growth rate, regional distribution, segmentation, application scenarios, etc. of the overseas e-commerce market;

Drivers, constraints, policy environment, technology development and market demand of overseas e-commerce market;

Overview, product line, market share, core competitiveness, development strategy, etc. of major competitors in the overseas e-commerce market;

Future development trends, opportunities and challenges, and potential risks of overseas e-commerce markets;

Provide corresponding market entry suggestions, marketing strategy suggestions, product optimization suggestions, etc. for the customer's target market and target customers.

Case Content: The following approach was adopted by Champ Consulting:

Collect and organize data: Shangpu Consulting has collected relevant data of overseas e-commerce market from various channels, including international organizations, industry associations, media reports, third-party research institutions, competitor websites, etc., and has carried out data cleaning, sorting and summarizing, forming a database of overseas e-commerce market;

Analyze and solve problems: Shangpu Consulting Company uses data analysis methods and tools to conduct a multi-dimensional analysis of the overseas e-commerce market, including market size and growth rate, market structure and segmentation, market demand and preference, market drivers and constraints, market competition pattern and advantages, market risks and countermeasures, etc., and provides customers with targeted problem solutions based on the analysis results;

Formation and presentation of the report: According to the problem solution, Shangpu Consulting has formed a detailed overseas e-commerce market entry consultation report and adopted it.PPTThe form was presented to the customer and discussed and fed back with the customer.

Case results: The overseas e-commerce market entry consulting report of Champu Consulting Company provides the following information to the customer:

The size, growth rate, regional distribution, segmentation, application scenarios, etc. of the overseas e-commerce market: according to the analysis of Shangpu Consulting, the size of the overseas e-commerce market is in.2023The year reached4.2trillions of dollars, expected in2024The year will grow5.1trillion dollars, with an average annual growth rate21.4%. The overseas e-commerce market is mainly concentrated in North America (accounting36.7%), Asia Pacific (as a percentage32.5%) and Europe (as a percentage23.6%) three major regions. The main segments of the overseas e-commerce market areB2CE-commerce (percentage54.3%）、B2BE-commerce (percentage34.2%) andC2CE-commerce (percentage11.5%). The application scenarios of overseas e-commerce market mainly include clothing, shoes and hats (accounting18.7%), household goods (as a percentage16.4%), digital products (as a percentage15.3%), food and beverage (as a percentage14.2%) and a protective beauty (percentage13.1%), etc.

Drivers, constraints, policy environment, technological development, market demand, etc. of the overseas e-commerce market: According to the analysis of Shangpu Consulting, the main drivers of the overseas e-commerce market are as follows: the increase in Internet penetration has enabled More consumers and merchants can conduct transactions through the Internet; the convenience and security of electronic payment have been improved, making online transactions more convenient and credible; with the improvement of the efficiency and quality of logistics and distribution, goods purchased online can be delivered quickly and intact; consumers' demand for diversified and personalized goods and services has increased, enabling e-commerce platforms to provide more choices and customizations; merchants' demand for cost reduction and market expansion has increased, enabling e-commerce platforms to provide lower commissions and wider coverage.

The main constraints of the overseas e-commerce market are as follows: the complexity and uncertainty of laws, regulations and tax policies of cross-border trade make e-commerce platforms need to invest more resources and energy to deal with the legal environment of different countries and regions; consumers' worries and distrust about product quality, after-sales service and privacy protection make e-commerce platforms need to establish stronger brand reputation and customer relations; the fierce competition and continuous innovation of competitors make the e-commerce platform need to continuously improve its product power, technical power, marketing power and so on.

The policy environment of overseas e-commerce market is mainly affected by the following aspects: World Trade Organization (WTO) and other international organizations or agreements to regulate and promote cross-border e-commerce, so that e-commerce platforms can enjoy a certain degree of free trade and preferential treatment; the differences in the degree of supervision and support of governments for cross-border e-commerce make e-commerce The platform needs to make corresponding adjustments and responses according to the policy environment of different countries; the differences in legislation and enforcement of consumer rights protection, data security, intellectual property rights and other aspects of governments make e-commerce platforms need to comply with the laws and regulations of different countries and bear corresponding responsibilities and risks.

The technological development of the overseas e-commerce market is mainly reflected in the following aspects: the popularity and development of mobile Internet and social media have enabled e-commerce platforms to use mobile devices such as mobile phones and tablets, as well as WeChat,Facebookand other social media for more convenient and effective transactions and marketing;

The application and innovation of artificial intelligence and big data enable e-commerce platforms to improve user experience and operational efficiency through intelligent recommend, intelligent customer service, intelligent logistics, etc.; the exploration and practice of blockchain and digital currency enable e-commerce platforms to improve transaction trust and efficiency through decentralization, transparency, and security.

The market demand of overseas e-commerce market is mainly manifested in the following aspects: consumers' demand for diversification and personalization of goods and services increases, so that e-commerce platforms need to provide more choices and customization in terms of categories, brands, styles and functions; consumers' demand for the quality and cost performance of goods and services increases, this makes e-commerce platforms need to provide higher guarantees and advantages in terms of product quality, after-sales service, and price concessions; consumers' demand for social responsibility and environmental friendliness of goods and services increases, making e-commerce platforms need to provide more Goods and services in line with social ethics, environmental protection, public welfare and charity.

Overview, product line, market share, core competitiveness, development strategy, etc. of the main competitors in the overseas e-commerce market: According to the analysis of Shangpu Consulting, the main competitors in the overseas e-commerce market are the following: Amazon, the world The largest e-commerce platform, its market share in the overseas e-commerce market is23.7%Its main product lines include:Amazon.com, is its global integrated e-commerce platform, providing various types of goods and services;Amazon Prime, is a series of preferential and privileged services for member users, including free fast distribution, digital content such as video and music books, cloud storage, etc;Amazon Web Services（AWS), is the cloud computing services it provides, including cloud servers, cloud databases, cloud storage, etc;Amazon Echo, is its smart speaker product, through voice assistantAlexaInteractions with users;Kindle, It is an e-reader product provided by it, downloading and reading e-books through wireless networks;Fire, Is its tablet computer products, through its own operating systemFire OSAchieve interaction with the user.

Amazon's core competency is that it has a large and loyal user base throughAmazon Primesuch as member services to enhance user stickiness and loyalty; it has a strong and efficient logistics and distribution network, through its own warehouses, transport vehicles, drones and other ways to achieve fast and accurate delivery of goods; it has advanced and innovative technical capabilities, throughAWSsuch as cloud computing services to enhance the operational efficiency and security of itself and its customers; it has a broad and in-depth category coverage throughAmazon.comSuch as integrated e-commerce platforms provide various types of goods and services.

Amazon's development strategy is mainly to continuously expand its coverage and share in overseas e-commerce market, enter emerging markets or subdivided fields through acquisition or cooperation, continuously increase its product line and service content in overseas e-commerce market, launch new or optimized goods and services through innovation or improvement, and continuously improve its brand influence and competitiveness in overseas e-commerce market, create your own image or respond to competitors' challenges through marketing or public relations.

Overview, product line, market share, core competitiveness, development strategy, etc. of the main competitors in the overseas e-commerce market (continued): According to the analysis of Shangpu Consulting, the main competitors in the overseas e-commerce market are as follows:

Alibaba is the largest in the worldB2BE-commerce platform, its market share in the overseas e-commerce market is12.4%Its main product lines include:Alibaba.com, which is offered to small and medium-sized enterprises worldwide.B2BE-commerce platform, providing various types of goods and services;AliExpress, is its offering to individual consumers worldwideB2CE-commerce platform, providing various types of goods and services;Lazada, a comprehensive e-commerce platform it acquires and operates in Southeast Asia, offering various types of goods and services;1688.com, which is provided for domestic small and medium-sized enterprises.B2BE-commerce platform provides various types of goods and services; Alipay is the electronic payment service it provides, including online payment, transfer, recharge, etc.; Ant Financial is the financial service it provides, including lending, financial management, insurance, etc. Alibaba's core competitiveness lies in its large and active merchant base throughAlibaba.comWaitB2BThe e-commerce platform provides more business opportunities and cooperation; it has strong and flexible technical capabilities to enhance transaction convenience and security through electronic payment services such as Alipay; it has a broad and in-depth international layout, throughAliExpressWaitB2CE-commerce platform andLazadaRegional e-commerce platforms such as Ant Financial Services provide businesses and consumers with more financial support and financial options through financial services such as Ant Financial Services.

Alibaba's development strategy is mainly to continuously strengthen its leadership and influence in overseas e-commerce markets, enter emerging markets or segments through acquisitions or cooperation, continuously enrich its product lines and service content in overseas e-commerce markets, launch new or optimized goods and services through innovation or improvement, and continuously optimize its user experience and operational efficiency in overseas e-commerce markets, improve user satisfaction and operational effectiveness through technology or management.

eBay is the largest in the world.C2CE-commerce platform, its market share in the overseas e-commerce market is9.8%Its main product lines include:eBay.comis its globalC2CE-commerce platform, providing various types of goods and services;eBay Motors, is its professional e-commerce platform for automotive goods and services;StubHub, is its professional e-commerce platform for ticketing goods and services;

eBay Classifieds Group, its professional e-commerce platform for classified advertising goods and services;PayPal, is the electronic payment service it provides, including online payment, transfer, recharge, etc.eBayThe core competitiveness of the company is that it has a large and diverse user base througheBay.comWaitC2CE-commerce platforms offer more choices and transactions; they have professional and segmented category coverage througheBay MotorsSuch as professional e-commerce platforms to provide higher quality and professionalism; it has an innovative and flexible trading model to provide more fun and discounts through auctions, bargaining, group purchases, etc.; it has a convenient and safe payment method, throughPayPalsuch as electronic payment services to enhance the convenience and security of transactions.

eBay's development strategy is mainly to continuously consolidate its core advantages and competitiveness in the overseas e-commerce market, and improve its product power, technical power, and marketing power through optimization or upgrading; continue to expand its overseas e-commerce market New fields and new markets, enter emerging markets or subdivisions through acquisitions or cooperation; constantly adapt to its changes and challenges in the overseas e-commerce market, responding to competitor challenges or changes in user needs through adjustments or changes.

Wal-Mart, the world's largest retailer, has a market share7.6%Its main product lines include:Walmart.com, is its global integrated e-commerce platform, providing various types of goods and services;Sam’s Club, is a series of preferential and privileged services for member users, including free fast distribution, digital content such as video and music books, cloud storage, etc;Flipkart, a comprehensive e-commerce platform it acquires and operates in the Indian region, offering various types of goods and services;Jet.com, a comprehensive e-commerce platform it acquires and operates in the United States, offering various types of goods and services;Walmart Pay, is the electronic payment service it provides, including online payment, transfer, recharge, etc. Wal-Mart's core competitiveness lies in its large and stable user base, throughWalmart.comSuch as integrated e-commerce platforms to provide more choices and transactions; It has a strong and efficient logistics and distribution network, which can deliver goods quickly and accurately through its own warehouses, transportation vehicles, unmanned aerial vehicles and other means. It has a wide and in-depth offline store network, which can realize more contacts and services by combining with online platforms. It has rich and preferential commodity price strategies, achieve lower costs and higher profits by working with suppliers, manufacturers, brands, etc.

Wal-Mart's development strategy is mainly to continuously strengthen its coverage and share in overseas e-commerce markets, enter emerging markets or segments through acquisitions or cooperation, continuously increase its product lines and service content in overseas e-commerce markets, launch new or optimized goods and services through innovation or improvement, and continuously enhance its brand influence and competitiveness in overseas e-commerce markets, create your own image or respond to competitors' challenges through marketing or public relations.

According to the customer's target market and target customers, provide the corresponding market entry advice, marketing strategy advice, product optimization advice, etc.: according to the analysis of the customer and its competitors by Shangpu Consulting, the following suggestions are provided to the customer:

Market Entry Advice: Customers should choose the right market entry mode according to the characteristics and opportunities of different regions and segments. Specifically, customers can use the following modes:

Independent development model: Customers can use their own advantages in brand, technology, and operation accumulated in the domestic e-commerce field to directly establish their own e-commerce platform in overseas markets and provide goods and services similar or identical to the domestic platform. The advantage of this model is that it can maintain the customer's brand unity and product consistency, as well as save the cost and time of intermediate links. The disadvantage of this model is that it requires a lot of resources and energy to adapt to the market environment of different countries and regions, including laws and regulations, consumption habits, competitors, etc. In addition, this model also needs to face higher market risks, including political risks, economic risks, social risks, etc.

This model is suitable for customers with strong brand influence and technical strength, as well as high risk tolerance. For example, customers can use this model to enter the North American market, because the North American market is the world's largest e-commerce market, with high growth potential and profit margins, and it is also one of the markets that customers are most familiar with and understand in overseas markets.

M & A model: Customers can quickly enter and occupy the market by acquiring or acquiring e-commerce platforms that already have a certain scale and influence in overseas markets. The advantage of this model is that it can use the existing users, merchants, brands, technology, operations and other resources of the acquired or acquired platform, as well as its in-depth understanding and adaptation to the local market, thereby saving development time and costs, and improving market entry speed And efficiency. The disadvantages of this model are the need to pay higher acquisition or merger prices, as well as to take greater integration risks, including cultural conflicts, management confusion, and performance decline.

In addition, this model also needs to face higher regulatory risks, including anti-monopoly review, anti-dumping investigation, anti-money laundering investigation and so on. This model is suitable for customers with strong financial strength and integration capabilities, as well as low regulatory sensitivity. For example, customers can use this model to enter the Indian market, because the Indian market is one of the largest potential e-commerce markets in the world, with huge demographic dividends and consumer demand, and it is also one of the most unfamiliar and complex markets for customers in overseas markets.

Cooperative alliance model: Customers can cooperate or form alliances with e-commerce platforms or other related institutions that already have a certain scale and influence in overseas markets, so as to share each other's resources and advantages and achieve mutual benefit and win-win results. The advantage of this model is that it can use the existing users, merchants, brands, technology, operations and other resources of the partners or alliances, as well as their in-depth understanding and adaptation to the local market, thereby reducing the difficulty and risk of development and improving the success rate of market entry And effect.

The disadvantage of this model is the need for consultation and coordination with cooperating or alliance parties, as well as the distribution of benefits and responsibilities, which may sacrifice part of the autonomy and flexibility. In addition, this model also needs to face higher cooperation risks, including trust crisis, conflict of interest, cooperation rupture and so on. This model is suitable for those customers who have a strong willingness and ability to cooperate, as well as a high degree of mutual trust and complementarity. For example, customers can use this model to enter the Southeast Asian market, because the Southeast Asian market is one of the most dynamic and diversified e-commerce markets in the world, with high growth rate and potential, and it is also the most inexperienced and inexperienced in overseas markets. One of the markets with resources.