Understanding Pinduoduo and Search vs. Engagement-Focused Ecommerce (255)

Jul 27, 2025

Dive into the intriguing world of e-commerce as search-focused strategies clash with engagement-driven models. Discover Pinduoduo's unique approach that incorporates community, entertainment, and innovative recommendations. The discussion highlights the transformative impact of smartphone usage and AI on shopping experiences. Plus, catch fascinating anecdotes from a panel on low altitude economies, featuring drones and unexpected TV appearances. It's a captivating exploration of how the digital landscape is evolving!

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INSIGHT

Search vs Engagement E-commerce

E-commerce strategies split between search-focused and engagement-focused models.
AI will transform these strategies differently, highlighting their unique paths.

INSIGHT

Attention vs Infrastructure Focus

E-commerce can focus on attention (demand side) or infrastructure (supply side).
TikTok Shop excels on attention, Amazon on infrastructure, showing distinct strengths.

INSIGHT

Demand Side Growth Drives E-commerce

Demand side value addition in e-commerce keeps growing with creativity.
Supply side advantages (warehouses, logistics) tend to plateau over time.

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This week’s podcast is about search-focused vs. interaction / engagement focused ecommerce. And a lot about Pinduoduo.

You can listen to this podcast here, which has the slides and graphics mentioned. Also available at iTunes and Google Podcasts.

Here is the link to the TechMoat Consulting.

Here is the link to our Tech Tours.

Interaction / engagement-focused product has three dimensions:

Recommendations. This is passive consumption, not active searching. So that means machine learning-powered newsfeeds. Basically, just like TikTok and Instagram.
Entertainment. That means features, games, and videos.
Community. This is about tapping into group behavior. You want active communication and sharing between users. And on social networks. You also want livestreaming with friends. And, if possible, you want group buying.

I think there are two archetypes for interaction-focused ecommerce.

Type 1: Newsfeed based. That’s TikTok. That’s the sushi train restaurants. This is TikTok Shop is a good example of this. With lots of little purchases. Mostly based on whose videos you like to watch and what surprises show up in your feed.
Type 2: Carnival based. That’s early PDD. It’s lots of games. Which is very different than TikTok Shop.

Alibaba has three interesting use cases for ecommerce.

The Power of Livestreaming in Ecommerce
Image-Based Search Changes the Way We Find Products
Conversational Search

Photo by Hugh Han on Unsplash

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I am a consultant and keynote speaker on how to accelerate growth with improving customer experiences (CX) and digital moats.

I am a partner at TechMoat Consulting, a consulting firm specialized in how to increase growth with improved customer experiences (CX), personalization and other types of customer value. Get in touch here.

I am also author of the Moats and Marathons book series, a framework for building and measuring competitive advantages in digital businesses.

This content (articles, podcasts, website info) is not investment, legal or tax advice. The information and opinions from me and any guests may be incorrect. The numbers and information may be wrong. The views expressed may no longer be relevant or accurate. This is not investment advice. Investing is risky. Do your own research.

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