After Making Strategic Investment in GOME, Pinduoduo Starts Livestreaming in GOME Offline Store

China’s social commerce platform Pinduoduo (Source: Pinduoduo)

On Aug. 3, Pinduoduo’s official live studio “Limited Time Flash Sale” entered Hong Kong-listed electrical appliance retailer GOME’s largest flagship store on Pujian Road in Shanghai, bringing a grand online sales promotion to online consumers. Staff from both companies recommended a number of popular digital home appliance products on the spot, driving more than 2 million RMB sales that day.

“Flash Sale” business group is very popular among Pinduoduo’s consumers and has become one of the largest channels in terms of platform traffic while also plays a long-term role in the growth of user numbers.

The Pinduoduo “Limited Time Flash Sale” official live broadcast from GOME’s flagship store in Shanghai, China. Zhang Chao (right), the deputy store manager, is greeting the viewers. (Source: Hu Hao)

The live sales broadcast activity on August 3 was jointly initiated by Pinduoduo and GOME to bring together famous brands such as Apple, Lenovo, Dyson, Gree, Midea, Siemens, TCL, Supor and hundreds of other best-selling products from China and abroad. The prices of many of the products were lower than market prices, which set off an upsurge of consumers competing for orders.

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Earlier in April 2020, Pinduoduo announced its $200 million investment in its convertible bonds and strategic partnership with GOME, with the goal to provide high-quality electronic products to Pinduoduo’s 600 million users at competitive price.

The two companies will also integrate GOME’s product range, logistics and after-sales customer service with Pinduoduo’s platform to bring more value-for-money merchandise to consumers.

“At present, we have established a comprehensive connection with Pinduoduo. For those home appliances purchased digitally by consumers on the ‘Official Gome Flagship Store’ platform, we will arrange for either the nearest warehouse or store to arrange distribution according to the receiving address and the customers will be able to enjoy the logistics, installation and after-sales service equivalent to what they would receive from Gome’s physical stores.” one of the senior personnel in charge of GOME Appliances said. He also expressed that the live broadcast was an attempt to link online and offline sales and similar activities will be carried out regularly with Pinduoduo in the future.

The staff of Pinduoduo and Gome introduced product functions and features, and interacted with viewers in the live broadcast in real time. (Source: Pinduoduo)

As of 10:00 pm on Aug. 3, the live broadcast of Pinduoduo and GOME attracted more than 200,000 netizens to watch online. The staff led consumers on a shopping mall trip through an array of electric appliances. During the live broadcast, consumers were constantly introduced to those household appliances, digital 3C and other products they were interested in, uncovering a large number of potential users for each brand.

“Consumers were interested in the live on-site displays and the price comparison process, and the platform will increase the recommendations for popular products in the market,” said the head of Pinduoduo’s “Flash Sale” business group. “Currently, we have reached consensus with a number of home appliance and digital dealers, including GOME, for their intention to participate in Pinduoduo’s “Limited Time Flash Sale” set to be carried out every Monday.”