Yangtze River Delta outspends other regions
of online shopping are people below the age of 30, individuals who are changeable in terms of shopping habit, trend-driven, and most importantly, have yet become the grocery shopper of a household, as Wang pointed out.
By August, SF Express, one of China’s largest and most expansive delivery companies, has increased the destinations of its cold chain delivery from 11 to 48 cities. Cold chain logistics refers to the preservation and transportation of fresh food maintained at or minus 18 degrees Celsius.
But the market remains lucrative for both investors and players.
E-commerce currently represents less than 1 percent of China’s more than 700 million tons of annual fresh food sales, according to China Retail Research Center.
In 2014, US online shopping behemoth Amazon.com Inc., bought a stake with $20 million in Yummy77.com, a fresh food e-commerce site founded and based in Shanghai. Meanwhile, its China rival Alibaba Group invested in Yiguo.com, a Shanghai-based website known among locals with its offerings of imported fruits.
“If China’s fresh food market is ever going to pay off, high priced offerings like imported fruits, steak and seafood might be the triggers, as they are largely missing in the country’s brickand-mortar stores and wet markets. What’s more, increasingly health-oriented Chinese consumers are more than ready to pay big on these offerings and the delivery fees,” said Wang.