Our News

China e-Commerce Solutions - Effective, Efficient, Yet Affordable


The Rise Of Global E-Commerce.

We are in an age now where two generations were born after the internet and have no experience of life before it. The next generation up - now heading into middle age - were teenagers when the internet burgeoned to most homes. This means that three generations of people living today have done most of their planning, interactions, budgeting, communicating, and purchasing via the internet.


The internet has given rise to a revolution never before seen in the history of all human civilization, all in the span of a mere 25 years. The internet has changed human culture, language, and commerce with its potential for instant results. As of 2020, it has been commonplace for everyday people to do their banking and purchases for twenty years, and investors and business people with foresight have been conducting their business online for even longer.


Of the many sub-revolutions that came along with the internet, it’s hard to think of any with a greater global impact than the e-commerce revolution. Due to online trade, world markets have changed, and each country’s output and market value has become interconnected with everyone else. Trading has gone from the stock market floor to the split second of a mouse click, and accessibility has gone from the hands of the resourceful elite to everyday interested investors.


As a result, markets that may have been restricted to trade within borders and with surrounding countries are finding themselves privy to the means of foreign direct investment, and the world’s most prominent example is China. The e-commerce revolution in China has brought about an era of mind-boggling exchanges of some of the most exorbitant amounts ever in international trade. According to the Canada Trade Commissioner, China’s e-commerce market has grown by 50% every year since 2011 and, as of the 2018 report, was slated to be worth $1 trillion USD in 2019. In 2017 alone, Chinese consumers spent more than $750 billion USD online, more than the United States and the United Kingdom combined.


So it should go without saying that it makes sense to look into the benefit of Chinese e-commerce, how it works, why it’s efficient, and what makes it so appealing.



Brand Umbrella Companies: China’s Competitive Edge.


In the West, it is customary for companies and brands to be autonomous, both for the sake of competition and to cater to individual customers. However, China’s unique market operates in a slightly different manner, which adds to its efficiency advantage. The Chinese model’s distinction from the individual model in the West has been described as “personalized.” Rather than each company having its own site where you can shop and purchase, multiple companies will often agglomerate under a single umbrella company whose site allows instant access to multiple retail outlets, the most prominent examples of which are Alibaba and JD.


This integration of online content makes it easier to cross-merchandise, having suggested products and advertisements accessible with a single click rather than through constant web browsing. This means less time, less cost, and fewer resources and red tape are involved between the consumer and the product, and exchanges happen with relative ease.



Singles’ Day


Chinese e-commerce behemoth Alibaba proposed the Singles’ Day marketing campaign in 2008 and launched it the same year, in conjunction with the nation’s holiday of the same name. It was to become a commerce festival, with sales, promotions, discounts, and incentives being offered en masse from all of China’s most prominent retailers. It could be compared to Black Friday and Cyber Monday, but it differs in some very prominent aspects.


To begin, Singles’ Day is an established cultural event that has been augmented by the adjoining massive marketing campaign associated with it. This means that, rather than simply being considered a sale, it is regarded as a cultural celebration, unifying and galvanizing the Chinese populace into a full-scale celebration of both culture and commerce.


Black Friday and Cyber Monday are also not affiliated with anyone brand or company, but are rather agreed-upon times for all companies to offer their best deals at one time to pull out consumers en masse; however, the fragmentation of the market into individual, competing outlets still hampers ease and efficiency of e-commerce compared to the Singles’ Day model.



The Necessity For Global Brands to Enter the Chinese Market


Needless to say, there are myriad reasons for companies in the West to attempt to integrate into the Chinese market, and indeed, there have been strides made in that area as well. It is a constant, and concentrated effort contributed to by global firms, governments, brands, and agencies alike. Each year, a global China marketing conference with speakers from around the world in the areas of business development, global marketing, and executive business is arranged by Plan China.