You will find below the 5 reasons why you should sell online in China and the best way to do it :
- Chinese consumers still broke the world record online.
- The prices of products are attractive on the internet which push Chinese consumers to buy online.
- On TMall and Taobao, the Chinese have filled their “caddy” with 2.7 billion euros of goods in 24 hours, passing the US retailers 1.12 billion.
And it’s just a taste of things to come.
You will find below five reasons why you should be on the Chinese e-commerce and you will find some rules to drive it.
- China’s market is huge and the potential is even greater
There are more smartphones sold there than anywhere else, no more groceries …, beer …, antiques and art …
In 2015, online sales in China totaled 523 billion euros, an increase of 33% compared to 2014.
A growing share of the 1.4 billion people in China make discretionary purchases every day.
By 2020, a study predicts 280 million rich consumers in China with disposable income of 18,000 euros to 900,000 euros.
Thus, revenues will have tripled, if not more.
To conclude, no matter what you sell, it is important to take into account the Chinese market.
- E-commerce explodes in China
- Chinese consumers love Western brands
Western brands are generally perceived as better and safer.
According to one study, 61% of Chinese would pay more for products manufactured in the United States.
In some categories, the preference is even higher.
The World Luxury Association revealed that 86% of Chinese consumers refused to buy luxury goods labeled “Made in China”.
- 61% of Chinese have less confidence in local food than in 2011
- 28% expect to replace domestic purchases with imports.
Reduces the risk of counterfeit productsChinese buyers are the most suspicious of consumers because China is known for counterfeit products. (Imitation of big brands for the bags, watches, clothes …) To combat counterfeiting, the most popular site, TMall (B to C), only sells products directly to a brand owner or an authorized distributor, meaning that consumers can buy with confidence .
This bodes well for foreign brands that are much more likely to be copied.
Reaching a Chinese population in rural areas
Thus, they buy the products online.
There are nearly 200 cities with more than one million people in China, and online access is the simplest and most effective way to reach them.
No one will argue that China is an easy market.
That’s why you need to build a solid e-commerce strategy in China to educate Chinese consumers.
TIPS FOR E-COMMERCE SUCCESS IN CHINA
Here are some general rules if you want to sell online in China:
- The presence on e-commerce platforms must be part of your strategy.
- TMall (e-commerce platform), represents 45.1% of online B2C sales
Social media such as Weibo is intimately linked to online shopping and should also be a key pillar of your plan.
85% of consumers use social media frequently to share their online shopping experiences and 55% have participated in a discussion about a foreign brand.
- The service is important for Chinese customers who appeal before shopping online.
It is best that you have someone to answer queries when the Chinese are shopping online – 7 to 8 am in the morning until midnight is a good guideline.
- Fast delivery is something that online Chinese expect when shopping online.
- Payments are not like in most western markets where credit cards are widespread.
Your website is not only imperative for online sales, but also offline sales. 37.6% of Chinese consumers regularly increase their knowledge of the brand through websites.
The Chinese market is changing a lot but one thing that is certain is that selling online is a strategy to adopt.