Yangtze River Delta out­spends other re­gions

China Daily (Canada) - - FRONT PAGE -

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.

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