A report produced by China Research and Intelligence focuses on the trends of online shopping in China over the past three years, and projects what is in store for the future. The following is a summary of the reports findings:
Online shopping is a process during which goods and services are dealt between sellers and customers by internet. The cash flow, logistics and information flow by internet are all included in the online shopping. It plays an important part in the electronic commerce.
In 2007, Chinese online shopping market achieved the highest growth rate. Its sales exceeded RMB 50 billion (the summit of the retail industry) to RMB 59.4 billion, rising by 90.4% compared with 2006 (RMB 31.2 billion). The aggregate turnover of the online shopping in Shanghai ranked the first over the country to RMB 7.01 billion. The consumption amount per capita of online shopping consumers was RMB 1,338, also ranking the first in China.
Among 210 million netizens, 55 million are engaged in the online shopping. The online consumption per capita is more than RMB 1,000, accounting for 7% of Chinese disposable income per capita in 2007. The main reasons for the rapid development of Chinese online shopping market are: netizens and online shopping people increase sharply; most consumers get used to online shopping and it has become a mainstream consuming mode.
In 2008, Chinese online shopping industry maintains a high growth rate. The online shopping is among those online industries with the higher growth rates. It is hardly influenced by precipitating incidents including the snow disaster and earthquake in 2009H1 and the global financial crisis in 2008H2. Instead, the financial crisis brings opportunities for the development of the online shopping. The online shopping plays an extremely important part in Chinese traditional retail market. It has become the mainstream shopping mode among the young. In 2008, the turnover of Chinese online shopping industry exceeded RMB 100 billion to RMB 128.18 billion, growing by 128.5% YOY.
The large quantity of Chinese netizens provides an optimistic future for the online shopping market. With the promotion and maturity of Chinese internet business related to the online shopping (online payment, sincere service, third party pay, logistics recommendation and shopping research), Chinese netizens begin to like the online shopping and choose it as their primary shopping mode because of its convenience. In the following years, Chinese online shopping market will maintain a high growth rate. It is estimated that the transaction size of Chinese online shopping will reach RMB 223.6 billion in 2009 and RMB 569 billion in 2011.
In fact, the maturity of the online shopping requires a certain period. The maturity of the online shopping appears when the online shopping popularity rate stays in a certain level. Therefore, Chinese online shopping will probably become mature in 2016.
To purchase the full report from CRI visit: http://www.shcri.com/