This year, China’s online retail sales are expected to grow to $1.5 trillion, representing 25 percent of China’s total retail sales volume. China’s 855 million digital consumers are pushing the digital economy, transforming the country into a global digital disruptor.
Jing Daily has analysed McKinsey’s Digital Consumer Trends Report for China and has distilled several key take-aways.
One of these conclusions is that retailers in China power the innovation in their physical store by their digital presence. Chinese consumers are merging online and offline channels by shopping at physical stores while making their buying decision based on online reviews and information.
One other conclusion is that social commerce is becoming more important. China is the world’s largest social media market and consumers increasingly familiarise themselves with a product via social media, while 25 percent acquire products directly through social media channels.
Also, retail sales is not just coming from China’s large cities. As Tier-1 and Tier-2 markets are becoming increasingly saturated, international brands are now starting to focus on smaller towns where they want to achieve their goals for growth.
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