“When it comes to e-commerce operations, it’s not just about ‘agency outsourcing’ or ‘brand self-operation’!” In recent years, HH Galaxy has introduced the PowerSolution series of tools, offering brand owners a more diverse range of options for e-commerce operations. These tools not only help brands generate revenue but also assist in reducing manpower and improving operational efficiency. How do they achieve this?
Understanding user pain points and offering suitable solutions is the key to success for every company. To achieve this, companies often invest heavily in market research and user interviews. Every company strives to understand what users truly want, putting in maximum effort and exploring various methods. However, HH Galaxy’s unique position in the e-commerce industry allows it to be both a user and a developer of e-commerce tools.
Rising Cost of Traffic: Shifting Focus from Revenue to Data
“We are the Experts in Sales, Data, and Tools!” by Ethan Shaw, Vice President of Operations at HH Galaxy
Established by the largest brand agency in Taiwan, THL (Taiwan HsinLin Enterprises), and HCT Logistics, HH Galaxy is capable of providing services for brands looking to sell through various channels such as official websites, momo, PChome, and Shopee. From product listing and advertising to final product delivery, HH Galaxy covers the entire process.
Since 2013, HH Galaxy has accumulated a portfolio of hundreds of domestic and international brand clients, including New Balance, PANDORA, L’Oréal, Kao, and Johnson & Johnson etc.
Three years ago, HH Galaxy entered the SaaS market, starting with advertising tools and gradually expanding its services to include customer data analysis. The latest addition to its offerings is the newly launched order and warehouse management system called PowerOrder.
Ethan Shaw pointed out that in the past, e-commerce was just one of the many channels for brand owners, and many of them chose to outsource their e-commerce operations to e-commerce service providers. However, in recent years, brands have started to view e-commerce as a crucial channel for collecting consumer data and understanding the market.
This has put many brand owners who previously relied on e-commerce service providers in a dilemma: should they continue to prioritize efficiency and maintain their collaboration with e-commerce service providers, or should they invest significant resources in reclaiming their e-commerce operations to gain access to customer data?
However, from HH Galaxy’s perspective, it’s not a binary choice. Ethan said that the PowerSolution tools were developed to allow brand owners not only to continue entrusting their operations to HH Galaxy but also to leverage the data collected through these systems to provide more customer insights to the brand owners.
For HH Galaxy, entering the SaaS market not only helps its brand clients gain more data and improve their performance but also allows HH Galaxy to expand its customer base from large enterprises to small and medium-sized enterprises, bringing a new wave of growth to its operations.
Data Analysis with Precision Advertising, PowerSolution Boosts ROI up to 50%”
“The PowerSolution tools were developed to allow us to leverage the data collected through systems to provide more customer insights to the brands.” by Ethan Shaw
HH Galaxy’s SaaS e-commerce operation tool, PowerSolution, currently includes the following product offerings: PowerCDP for customer data analysis, PowerAI for advertising placement, and PowerOrder for orders management.?
Firstly, let’s talk about PowerCDP. As the pandemic-driven e-commerce boom gradually subsides, many e-commerce brands are facing slower growth and increased sales and acquisition costs due to inflation. Therefore, leveraging the accumulated customer data from previous years for precise marketing has become a major focus for brand owners.
That’s why HH Galaxy’s PowerCDP tool not only includes a self-developed customer data platform specifically for Shopee, but also actively collaborates with AI consultancy data platform company beBit to provide cross-platform data integration, automated customer segmentation, and marketing campaign automation features.
Ethan pointed out that through actual testing, the use of PowerCDP to analyze customer data combined with PowerAI resulted in an average increase in advertising return on investment of two to three times, and sometimes even up to five times higher compared to before.
He provided an example where it was commonly believed that customers who purchased clearance or short-lived products were unlikely to become repeat customers, and brand owners were concerned that the popularity of such products would affect the prices of regular products. However, HH Galaxy’s data analysis revealed that customers who purchased short-lived products not only had a high probability of becoming repeat customers but also had a higher average customer lifetime value than typical customers.
This discovery led HH Galaxy to encourage brand owners to promote short-lived products more boldly, attract new customers, and develop new combinations of short-lived products with regular products to increase the average order value. Recently, this approach generated nearly $300,000 additional revenue for a brand in just one sales period.
Another showcase involves a diaper brand. In the past, the brand believed that customers who purchased size S diapers would naturally purchasing size M or L diapers as their children grew, so the advertising focus was on converting customers to buy larger sizes. However, data indicated that as much as 80% of diaper customers were one-time purchasers. This led HH Galaxy to shift their advertising target towards increasing the average order value instead of converting customers to larger-sized products.
Ethan revealed that an international beauty brand has deeply collaborated with HH Galaxy, relying on data interpretation of customer shopping journeys to adjust product sales combinations and pricing strategies.
In terms of advertising, HH Galaxy not only utilizes common advertising platforms such as Google and Facebook but also plans to collaborate with cloud-based invoice and music streaming platforms. This diversifies the types of advertisements and expands the audience reach, ensuring that advertising costs are not completely controlled by major platforms.
From Operations to Tool Development
“We started as a business operator, so we transform the pain points we encounter at work into tools that we provide to our customers, making our services increasingly comprehensive.” by Ethan Shaw
There are similar e-commerce tools available on the market, so why choose HH Galaxy?
Firstly, their solutions are highly practical. “We started as a business operator, which sets us apart from other SaaS service providers,” explained Ethan. These tools are not only sold to customers but also used daily by HH Galaxy’s own operational teams. “We transform the pain points we encounter at work into tools that we provide to our customers, making our services increasingly comprehensive.”
The second major advantage of HH Galaxy is comprehensive data. In the past, data of customer behavior, e-commerce advertising and sales performance were scattered across different systems, making it difficult to compare them simultaneously. However, with HH Galaxy’s PowerSolution, real-time advertising ROI, sales performance, and customer behavior data are integrated and directly compared on the same platform, helping brands improve the efficiency and accuracy of their advertising strategies.
Many different tools are available, what truly sets a brand apart is understanding customers, mastering operational processes, and implementing precise sales strategies. All of these aspects come from accumulated experience and continuous optimization, which is the core value of HH Galaxy.
“In the past, it may have been a binary choice between self-operation and outsourcing, but now businesses can take control of their operations and strategies while leaving the work of developing supportive tools to HH Galaxy,” emphasized Ethan.
The new round of e-commerce competition has already begun, and the winners will be those who can effectively utilize digital tools to enhance operational efficiency and gain insights into consumer behavior!