Young prove to be driving force for global e-trade
China’s cross-border e-commerce sector has witnessed rapid growth as the country’s young consumers logged increasing demand for high-quality, diverse and personalized overseas products, industry experts say.
Although orders from crossborder online shopping are still mainly from first-tier cities, residents living in lowertier cities have displayed rapidly growing purchasing power, a report jointly published by Amazon Global Store and Baidu said.
Those in their 20s emerged as mainstream consumers, and cross-border online shoppers are clearly becoming younger, the report said. The proportion of those in their 20s among overall crossborder online shoppers has continued to rise in the past few years.
Users aged about 25 mainly consume to satisfy their own interests and hobbies, whereas those aged over 45 pay more attention to quality and are willing to buy branded clothes and healthy food, the report said.
The “stay-at-home economy” has activated more consumption scenarios and needs, and shopping for health and quality of life has become the new norm, said Li Yanchuan, head of the China Global Store and Prime, Amazon. “Beauty, personal care and clothing have been the most popular categories among consumers in crossborder online shopping.”
Moreover, products such as tableware and kitchen utensils, small home appliances and gardening tools are very popular, Li said. For example, Tefal frying pans, DeLonghi coffee makers and Koizumi study desks have become popular among more and more Chinese consumers.
The growth of healthcare products was eye-catching because of the pandemic, and product categories related to outdoor activities, such as hiking jackets, tents and outdoor cooking utensils, were also welcomed by consumers, Li said.
The General Administration of Customs said the value of China’s e-commerce imports and exports reached 1.98 trillion yuan ($311.5 billion) in 2021, up 15% year-on-year.
“The penetration rate of cross-border e-commerce in lower-tier cities and townships has been increasing in recent years,” said Chen Tao, an analyst with the internet consultancy Analysys in Beijing.
“Chinese consumers show a rising demand for diverse, personalized and niche products from abroad.”
Zhang Tianbing, head of Deloitte Asia-Pacific consumer products and retail industry, said: “With the expansion of domestic demand and advances in emerging retail technologies, China has introduced preferential policies, such as lowering import taxes and expanding the range of goods allowed to be imported.”