With this year’s mid-annual promotion (also known as 618 Shopping Festival) now behind us, Tmall and Joybuy became the absolute leading roles in this game, while cross-border electricity suppliers like NetEase Kaola, VIPSHOP and Ymatou were also getting busy during the period. It’s not hard to see the high proportion of cross-border e-commerce products, making it become almost the leading actor on the stage of 618 Shopping Festival.
Cross-border e-commerce market went through new policy adjustment, economic environment change, and consumer priority shift in the past year. Some suppliers have been gradually eliminated from the market due to the fierce market competition, while some others seized the opportunity to make a further development. Unquestionably, NetEase Kaola is the one who luckily grabbed the chance and improved itself. You may wonder what made cross-border e-commerce platforms as NetEase Kaola survive in the surge of 2016? Here is Cross-Border Import Electricity Supplier’s 2016 and 2017—Overseas-Purchasing Consumes White Paper, which is released by NetEase Kaola and involves answers to your question.
Cross-Border E-Commerce Development Trends
According to the NetEase Kaola’s report, China cross-border e-commerce market size continued notably expanding and the cross-border e-commerce industry was becoming more competitive over the past year. China cross-border e-commerce retail import deal size is expected to reach 408.95 billion yuan in 2017, nearly up 25% year-over-year. Even, the figure could break 600 billion yuan in 2019. The report forecasts the old barbarian growth model will be replaced with healthily steady growth model in the future; and the leading echelon companies will be picked out from the cross-border e-commerce industry competition.
The report also indicates that China cross-border e-commerce policy has been constantly revised in 2016. There had been not any specific inspection and quarantine standards for cross-border e-commerce goods or unified bonded or direct delivery model in the industry before April 2016. Chinese government implemented strict checking rules on clearance sheet, canceled tax exemption for goods passing customs clearance and other more policies in the following May and November. Despite the reduced advantages of government policy, there are more business models emerging instead of the single bonder business mode, as well as a fair and standard cross-border e-commerce market.
Another good point we find in the report is, high-level scenario-based sales model is penetrating China cross-border e-commerce industry. More and more customers are benefiting from this sale model, like decreasing information distortion via a clear two-way communication, improving conversion rate and user agglutinant, and building trust through rebuilding experiencing consumption scenario.
As with the rapid growth of China cross-border e-commerce import market, global enterprises are putting more emphasis on China market to construct brand awareness. For some strong brands, they are redefining the value of online channel and taking advantage of high brand equity to reconstruct the relationship between online and offline. For other weak brands, they are mainly focusing on refining the market and excavating the deepened value of their brands.
Deep Insight in China Cross-Border E-Commerce Consumption Characteristics
Based on NetEase Kaola’s data analysis, young girls aging between 24 and 35 years old are main target consumers of cross-border e-commerce businesses, accounting for nearly 50% of all consumers. And from the province perspective, users from Zhejiang Province and Guangdong Province have much more consuming enthusiasm than people in other provinces.
Do you know when users behave the most active during a day? The answer is noon and night. An increasing number of users are making use of mobile devices to do shopping online. And, surprisingly, beauty and makeup products are the most welcomed cross-border e-commerce branch, along with the fastest growing orders and sales.