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Alibaba expands member access to platforms

Ding Yining
Alibaba Group has expanded its membership system to allow wider access to its other platforms.
Ding Yining
Alibaba expands member access to platforms

Alibaba Group has expanded its membership system to allow wider access to its other platforms.

The 88VIP membership privileges, costing 88 yuan (US$12.6) a year, will now include a 5-percent discount on 388 brands at their Tmall flagship stores. 

There are also perks and discounts on a number of the e-commerce giant’s affiliates, including its travel service platform Fliggy, audio and video-streaming sites, on-demand delivery service Ele.me, and online ticketing platform Taopiaopiao.

Shanghai is a leading domestic city with the largest number of 88VIP members, and 70 percent of them are female. The discounts these members have enjoyed in the previous 12 months totaled  511 million yuan.

The expansion of the loyalty program has helped the e-commerce giant enhance customer loyalty, as well as strengthen its capabilities in cross-selling and generating consumer insights. 

Head of Alibaba's 88VIP program Xiu Xun said the loyalty program has also brought new customers to other affiliates apart from its online shopping business. It also allows both online and offline merchants to get a holistic picture of shoppers' consumption behavior. 

“These synergies with other business segments benefit our long-term growth while different business affiliates also keep selected membership privileges for their own users who are not 88VIP yet,” she noted.

The average annual spending of a 88VIP membership holder is around 100,000 yuan, which is double the average spend of an average Alibaba user. They also purchase a much wider category of products and are trendsetters.

Zong Yanping, managing director of Delonghi China, said the Italian coffee machine and home appliance group is leveraging Alibaba's membership program to more specifically target those who are interested in premium home electronics.

It can also cater to consumer demand thanks to the e-commerce site's consumer insights.

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