#1 E-commerce and Omnichannel
Omnichannel refers to the multichannel approach of customer fulfillment. In China, it is made of four major components:
- Consumer Engagement
Online retailers are focusing more and more on delivering integrated experiences, sometimes even combining digital with physical experiences – “phygital”.
#2 Social Commerce
In the aftermath of Covid-19, Chinese consumers spend over 7 hours a day on the mobile internet. Two-thirds of which are spent on social apps.
China’s social commerce market is est. to reach $449 billion this year.
Consumers social commerce through:
- Ecommerce Platforms
- Video and Live-streaming Platforms
- Social Ecommerce Platforms
- Retailers and Brand Vendors
#3 On-Demand Economy
With disposable income on the rise for the average Chinese city-dwellers, digital demand has also taken off.
At as food delivery apps first started to gain momentum, large operators like ele.ma and Meituan soon began to expand horizontally, offering grocery, medicine and even same-day courier services.
Even on-demand chauffeur services were introduced, making designated drivers a thing of the past.
#4 Shared Mobility
From cars to trucks, electric bikes to bicycles, umbrellas to powerbanks, all sorts of daily transportation and conditional necessities can be rented digitally in China.
Mobility-wise, a lot of the shared transportation projects have heavy government backing.
Companies are scrambling to increase efficiency and effectiveness – the top way to achieve this is to further accelerate the digitalization of the supply chain.
Major powers like Alibaba are even going beyond, enlisting the help of mom and pop stores to engage in what is known as “community group sales”, attempting to leverage local knowledge and expand markets.
The Chinese digital market runs on the backbone of 30% of the global FinTech market by value. The majority market share is pretty much divided by two giants – Alipay and Wechat Pay.
This market is driven by:
- Financial Empowerment
- Pro-credit Culture
- Digital Insurance & Efficiency
- Technological Advances (Blockchain & Digital Currency)
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