进军中国跨境电子商务市场（英）-55正式版-WN8

Tappingintocross-bordere-commerceinChinaTheinformationprovidedinthisdocumentdoesnot,andisnotintendedto,constitutelegaland/orbusinessadvice;instead,theinformationcontainedhereinisforgeneralinformationalpurposesonly.Readersofthisdocumentshouldcontacttheirownadvisortoobtainadvicewithrespecttoanyparticularmatterortopicaddressedherein.Thecontentinthisdocumentisprovidedonan“asis”basis;FedExmakesnowarrantiesorrepresentationsinrelationtothecurrency,accuracyand/orsufficiencyoftheinformationsetouthereinandshallnotbeliableforanyrelianceplacedonthesame.Fortheavoidanceofdoubt,anyandallliabilitywithrespecttoactionstakenornottakenbasedonthecontentsofthisdocumentareherebyexpresslydisclaimed.Tappingintocross-bordere-commerceinChinaTableofcontentsForeword·······························································································································································································04Section1:E-commerceandcross-bordere-commerceinChina···················································································051.1WheredoesChina’scross-bordere-commercestand?·············································································································································································061.2Selectinginternationalbrands-keycriteria·······································································································································································································071.3China'scross-bordere-commerce-challengesfaced···················································································································································································081.4China'scross-bordere-commercemarketopportunities··········································································································································································09Keytakeaways·····················································································································································································11Section2:Saleschannelsandplatformstogetstarted···································································································122.1Typesofcross-bordere-commerceplatformsinChina··········································································································································································122.2Topcross-bordere-commerceplatforms······································································································································································································152.3Howtochoosetherightplatformtostartwith···························································································································································································182.4Keyconsiderationsbeforestartingtosell······································································································································································································19Keytakeaways·····················································································································································································2002Tappingintocross-bordere-commerceinChinaTableofcontentsSection3:Buildingdemandandconvertingsales················································································································213.1Chineseconsumers’cross-bordershoppingbehaviour···········································································································································································223.2Whatcanbrandsdotomeetconsumers’expectations?········································································································································································243.3MajorChineseholidaysandkeyshoppingevents·······················································································································································································253.4Digitalmarketingchannels······································································································································································································································273.5OverviewOfSocialMediaLandscape················································································································································································································30Keytakeaways·····················································································································································································32Section4:CurrentstateofpaymentsinChina·····················································································································344.1Currentpaymenttools··············································································································································································································································34Keytakeaways·····················································································································································································37Section5:ExpectationsfromChineseconsumersone-commercedelivery····························································415.1DecodingChina(ByZono’s)······································································································································································································································385.2ShippingoptionsinChina···········································································································································································································································405.3WarehousinginChina···················································································································································································································································445.4Cross-bordere-commerceshippingmodes····································································································································································································475.5Importantshippingconsiderations·······················································································································································································································48Keytakeaways·····················································································································································································52References····························································································································································································5303Tappingintocross-bordere-commerceinChinaForewordForewordThiseBookprovidesageneraloverviewforinternationalbrandsonhowtoaccesstheChinesee-commercemarket.Chinaisnowtheworld’slargestB2C(business-to-consumer)e-commercemarket,accountingfor30%oftotalretailsalesinthecountry.ChineseconsumersspendonlineonaverageUSD$2,058peryear,50%ofwhich(USD$1,018)isonmobilephones.AsperStatista’sreport,83.8%oftheChineseinternetusersshoponline,purchasingproductsfromlocalandinternationalbrands.Thenumberofe-commerceusersisexpectedtogrowby24%to1,224millionusersinChinaby2025.ThisgrowthisdrivenbytheriseofChina’smiddleclass.Cross-bordere-commercemakesup13.5%ofChina’stotale-commercemarket,withJapan(24%),Australia(14%)andtheUS(12%)rankedasthetop3countriesChineseconsumersshopfrom.Overseasmerchantsneedtotakepracticalstepsandgrasptherightsaleschannels,paymentpartners,logisticsplatformstotapintotheChinesemarket,andscaleuptheirbusiness.We’veputtogetherthiseBooktoprovideageneraloverviewofChina’sexcitingandcompetitivelandscape.Dividedintofiveeasy-to-digestchapters,youcanreaditfrombeginningtoend,ordipintospecificsectionsusingourhandyindexbelowtoguideyou.Insideropinionsfromindustryexpertsthatdriverightdecisionsarealsoincludedinside!Pleasenotethatthise-bookisprovidedforgeneralinformationalpurposesonlyandisnotintendedtoaddresstheparticularcircumstancesofanyspecificentityorindividual.Markettrendsandstatistics,especiallythoseofaforeignjurisdiction,aredynamic,subjecttochange,andareinfluencedbymanyexternalfactors,suchasinternationalrelationsandpolitics.Pleaseensureyouthoroughlyconductyourownresearchandseekprofessionaladvicebeforeenteringaforeignmarketforbusinesspurposes.04E-commerceandcross-bordere-commerceinChinaSection1Figure1.0:PentrationrateofonlineshoppinginChinafrom2012toJune2023AspertheStatistaDigitalMarketOutlookreport,Chinaisthelargeste-commercemarketintheworldwithover1,25,366billiongeneratedinrevenuelastyear.Thisnumberisexpectedtogrowby24%to1,224millionusersby2025.100%80%60%40%20%081.6%82%79.1%79.2%74.8%73.6%69.1%63.8%60%55.7%48.9%Bytheendofthisyear,theglobale-commercemarketisprojectedtobeworthUS$4.23trillion

inrevenue.Chinaremainsbyfarthelargeste-commercemarketworldwidewitharevenueofoverUS$1.5billionandispredictedtoreachUS$3.3trillion

by2025.42.9%Inthelasttenyears,theChinesee-commercemarkethasexperiencedanexponentialrise.Figure1.0showsasnapshotofthepenetrationrateofChina’sonlineshoppingsince2012.AccordingtoStatista,thepenetrationrateofonlineshoppinginChinahit82%in2023,andisexpectedtohitanastonishing83.9%by2025.2012201320142015201620172018H12019202020212022H12023China’se-commercemarketpotential:ThenumberofeCommerceusersisexpectedtogrowby24%to1,224millionusersinChinaby202535%ofonlineshoppersinChinahaveahighhouseholdincome68%ofthepopulationinChinashopsonlineSmartphonesarethemostfrequentlyuseddevicesforonlineshoppinginChina05Tappingintocross-bordere-commerceinChinaSection1WheredoesChina’scross-bordere-commercestand?1.1ThetradevolumeofChina’scrossbordere-commerceplayersin2022was15.7trillionYuan,a10.56%year-on-yearincreaseoverlastyear.Inthatsameyear,thenumberofcross-borderusersinChinareached168million.Figure1.1.1:TradevolumeofChina’scross-bordere-commerceplayersfrom2012to2022(intrillionyuan)Figure1.1.2:Marketshareofimportcross-borderB2Ce-commerceretailersinChinain202317.515.71512.51014.2TmallGlobalJDWorldwideDouyinECGlobalPinduoduoGlobalVIPGlobal37.6%12.510.518.7%98.067.556.712.3%5.44.23.155.9%2.12.504.1%20122013201420152016201720182019202020212022Thecross-borderimportmarkethasbeengrowingevenfasterwiththeprevalenceofonlineshoppingandcrossborderlogistics:KuaishouGlobalOther2.1%5%19.3%10%15%20%25%30%35%40%45%Thetotalcross-bordere-commercegrewby10.56%in20220%In2023,Alibaba'scross-borderplatform,TmallGlobal,helda37.6%shareofthetotalmarketinChina'simportcross-borderB2Ce-commercesector.06Tappingintocross-bordere-commerceinChinaSection1Selectinginternationalbrands-keycriteria1.2Figure1.2.1:Top3reasonsforChineseconsumerstopurchasegoodsfromcross-borderplatforms60.00%55.67%51.29%50.00%44.14%40.00%30.00%20.00%10.00%0.00%WhenChineseconsumerspurchaseoverseasgoodsfromcross-borderplatforms,CategoryrichnessPlatform/appcredibilityProductquality55.67%ofthemvalue"productquality".Platform/appcredibilityisalsoakeyattributethatensuresthattheyarenotonlygettingtherightproductbutalsothatit’sgenuine.Source:iResearch-2021Chinacrossbordere-commerceIndustrywhitebook07Tappingintocross-bordere-commerceinChinaSection1China'scross-bordere-commerce-challengesfaced1.3Ordercancellationwasanothermajorissuefacinginternationalcompanies.Inordertoachieveadirectcross-borderroute-to-marketinChinaandcutoutretailermargins,brandsshoulddeveloptheirown(orpartnered)capabilitywithininternationaltax,customs,andlogistics.WeChatPayandAlipaycontributetoover90%ofChineseconsumers’mobilepayment.Therefore,yourbusinessneedstoadopttoalocalizedpaymentoption.91%ofshopperswillabandonretailsitesiftheydon’tofferfast,freeorflexibleshipping.Also,ifyouplantoshipdirectlytoChineseconsumersfromoverseaswarehouses,itwilltakemorethan3days.Thiscouldbeacauseforcustomerdissatisfaction.08Tappingintocross-bordere-commerceinChinaSection1China'scross-bordere-commercemarketopportunities1.4Figure1.4.1:NumberofonlineshoppersinChinafrom2013to2023(inmillions)1,2001,0008006004002000914.96842.1845.29782.41638.82610.11544.32466.72016413.252015361.422014301.89201320172018H120192020202120222023Figure1.4.2:MajorgoodsimportedtoChinain2023(inbillionyuan)IntegratedcircuitsCrudeoil2,459.12373.3Ironore941.8Naturalgas452.3419.9372.3335.6332.1318.2SoybeanCoal(incl.lignite)CopperandcopperalloysMotorvehiclesPlasticsinprimaryformsRefinedoilproductspaperpulpInthepastfewyears,thenumberofmiddle-andhigh-incomeclasspeopleinChinahavegrownexponentially.ThenumberofonlineshoppersinChinacrossed900millionlastyear(Figure1.4.1)196.5166.589.1RolledsteelEdiblevegetableoil73.402505007501,0001,2501,5001,7502,0002,2502,5002,75009Tappingintocross-bordere-commerceinChinaSection1Withthediversificationofavailableproducts,suchassportinggoodsandelectronicproducts,etc.theproportionofmaleconsumershasbeenincreasing.Figure1.4.3:China'sUrban&RegionalCross-BorderE-commerceUserDistributionWiththeincreasingconsumptionleveloftheyoungergeneration.GenZwillsoonbecomethemainforceofcross-bordershopping.0.3%9.1%13.4%Northwest4.0%Northeast5.4%Amongthoserapidlyincreasingyoungcross-borderconsumers(asshowninfigure1.4.3),thefirst-tiercitiessuchasBeijing,Shanghai,Guangzhou,andShenzhenmakeupthemajorityofcross-bordershoppers,accountingfor29.2%ofthetotalcross-bordershoppers.29.2%NorthChina15.4%CentralChina7.4%28.5%19.5%EastChina34.9%Southwest12.1%Beijing+Shanghai+Guangzhou+ShenzhenNewtieronecitiesSouthChina20.8%Consumersfrommoredevelopedregions,suchasCentralSouth,andSouthernChinaalsohaveadesiretobuyinternationalproducts,whichistheperfectreflectionoftheireconomicstatusandhighpurchasingpower.Consumersbetween26and40yearsarethemaincross-bordershoppers,andthepercentageoffemalesisslightlyhigherthanmales.Second-tiercitiesThird-tiercitiesSource:RFourth-tiercitiesandvillagesHongKong,Macau,Taiwan&outsideChina10Tappingintocross-bordere-commerceinChinaSection1KeytakeawaysChinaisthelargeste-commercemarketintheworldandisexpectedtoreachRMB21.4trillion(US$3.3trillion)by2025.China'sonlineretailsalesin2023totaled15.42trillionyuan($2.1trillion),whichisan11%increasefromthepreviousyear.3.2TThepandemiccausedsomedisruptionshoweverChina’scrossbordere-commercecontinuestogrow.11SaleschannelsandplatformstogetstartedSection2Typesofcross-bordere-commerceplatformsinChina2.1DirecttoconsumermodelBusinesstoconsumermodelItisatradebetweenabusinessandaconsumer.Inthismodel,shoppersbuymerchandisedirectlyfromonlineshoppingwebsites,apps,orWeChatminiprogramsownedbymerchants.Businessesworkwithathird-partyshoppingplatformtosellproducts.Inthismodel,shopperspurchasemerchandiseviastoresownedbymerchantsortheirpartnersonthird-partyplatforms.12Tappingintocross-bordere-commerceinChinaSection2D2CModelB2CModelOverseasmerchants,suchasLux,Gucci,etc.havealldevelopedtheirownD2C(DirecttoConsumer)channels,websites,apps,orWeChatminiprograms,toselldirectlytocustomersinChina.TmallGlobal,JDWorldwide,Kaola,Vipshop,LittleRedBookandAmazon

arethetopplatforms,amongmanyothers.Theseplatformsbringtogethermanydifferentmerchantsunderoneroof,providingconsumerswitharichselectionofmerchandise,rangingfromdailynecessitiesandsportsweartoelectronicsandluxuryitems,essentiallymakingtheseplatformsaone-stopshoppingmarketplace.Pros:Cons:Pros:Cons:FlexibleandindependentmanagementLimitedproductoffersSmallopportunitycostsandlowoperationandcapitalrisksLengthyapplicationprocessLargeinitialinvestmentandopportunitycostsNoextracommissionsandmanagementfeesPlatformcommissionandmanagementfeesSelforderfulfilmentQuickbusinessstartLoyalcustomersOperationrestrictionsandmandatorymarketingeventsLargeselectionofmerchandiseLargecustomerbase13Tappingintocross-bordere-commerceinChinaSection2Cross-bordermarketplaceplatforms:Basedontradingtypes,B2C(BusinesstoConsumer)e-commerceplatformsaredividedintofourcategories-comprehensive,vertical,group-purchase,andsocial.ComparisonofdifferenttypesofB2C(BusinesstoConsumer)marketplaceplatformsComprehensiveVerticalGrouppurchaseSocialFeaturesLargevarietyofproducts&largecustomerbase.Specificandsmallproductcategories.Lowprice,low-endproductcategories.LargeamountofUGCcontentandreviews.Synergeticcombinationofbrandingandsaleschannel.MainproductcategoriesComprehensiveproductrangescoveringallFMCGproducts.Cosmetics,luxurygoods,andmaternityandbabyproducts.Clothes,food&groceries.Food,cosmetics&clothes.AdvantagesGoodreputationandcredibility,powerfulin-platformmarketingtools&alargecustomerbase.Highcustomerloyalty&goodconversionrates.Competitivepriceadvantage,largecustomerbase&highreferralrate.Largeuserbasesforbranding.Influencermarketingandlivestream-ingwithhighconversion.ChallengesChannelsComplexapplicationprocess&competitivepricepressure.Smallcustomerbase&smallplatformsize.Lowcustomerloyalty.Averageproductquality.Limitede-commercefunctions.Underdevelopedregulationsystem.TmallGlobal,Kaola,JDWorldwide,SuningGlobal,andAmazonChina.VipshopGlobal,yMatou,andBeibeiGlobal.Pinduoduo.Xiaohongshu(LittleRedBook).14Tappingintocross-bordere-commerceinChinaSection2Topcross-bordere-commerceplatforms2.2InQ1In2023,asshownbelow,thetopthreeplatformsownedover65%ofthemarketshare.TmallGlobalheld37.6%marketshare,followedbyJDWorldwideandDouyinECGlobalat18.7%,and12.3%respectively.3Figure2.2.1:Marketshareofimportcross-borderB2Ce-commerceretailersinChinain2023TmallGlobalJDWorldwideDouyinECGlobalPinduoduoGlobalVIPGlobal37.6%18.7%12.3%5.9%4.1%KuaishouGlobalOther2.1%19.3%20%0%5%10%15%25%30%35%40%45%15Tappingintocross-bordere-commerceinChinaSection2Fivetopcross-bordere-commerceplatformsinChinaTmallGlobalAlibabaKaolaJDWorldwideVIPInternationalLittleRedbookParentcompanyFoundedAlibabaJingdong2015VIPAlibabaInvested2014AcquiredbyAlibabain201924%20089%20132%Marketshare38%20%SizeLargestcross-bordermarketplaceforforeignbrands.Over800millionbuyers,150,000merchantsand30,000internationalbrands.Morethan25,000productsfrommorethan10,000brandsfromover80countries.10millionSKUsfromnearly20,000brands.Over30,000cooperatedbrands,340millionregisteredIDs&83.9millionactiveusers.300millionregistereduserswith85millionmonthlyactiveusers.Positioning/HowplatformmarketsitselfAplatformfortheworld’stopbrandssellingqualityproducts.Aplatformthatprovidesawidevarietyofimportedproductswithassuredqualityatfairprices.MosttrustedretailplatforminChina.Quailtyfirstanduserfirst.Providecustomerswithauthenticproducts,anunparallelshoppingexperience,andAfirst-partydistributorofferingitsbrandsan“all-inclusiveplatform”,withouthavingtoworryaboutcustomerserviceordelivery.unbeatableprices.TargetcompaniesOverseascompanieswithphysicalpresenceabroadandoverseasregisteredtrademark.Hasitsownoperationsandallowsforeignregisteredcompaniestoopentheirownstores.Overseascompanieswithover500,00RMBincapitalthatmayormaynothavephysicalSelfoperated.Foreigncompaniesmoreinterestedinmarketingpurposes.presence.16Tappingintocross-bordere-commerceinChinaSection2TmallGlobalKaolaJDWorldwideVIPInternationalLittleRedbookTargetcustomersProductcategoryMostlymiddleclassyoung20-45middleclass.Highincomepeoplelivingintier1andtier2cities.Highincomewhitecollar.Womenbetween24and35.3womenlivinginlargecitiesinChinalookingforpremiumforeignproducts.1,476productcategories.Topthreeinclude:Beauty,motherandbabycare,personalcare,home,healthcare,consumerelectronics,affordableluxury,food,clothingandFromnutritionandhealthcaretohomeappliancesandApparels,shoes&bags,cosmetics,maternalandchildproducts,homegoodsandfoods.Beauty,fashion,travelandfood.1)Beautyandpersonalcare2)Nutritionandhealthcare3)Maternityandbabyproductscar-relateditems.shoes,sportsandoutdoor,watchesandaccessories.OperationsWarehouseDeliveryInsideChinaoroverseas.InsideChinaoroverseas.InsideChinaoroverseas.In-houselogisticssystem.InsideChinaoroverseas.Outsidechinaorbondedwarehouse.Bondedwarehouse.OutsideChinaorbondedwarehouse.12overseaswarehousesand11inChina.N/AN/AFromoverseasorbondedwarehouses.Frombondedwarehouses.Globalshippingandwarehouse.Allproductsaresourcedandboughtdirectlyfromoverseas.17Tappingintocross-bordere-commerceinChinaSection2Howtochoosetherightplatformtostartwith2.331.Analyzelocalmarket2.Selectrightplatform3.ApplyforlicenseDomarketresearchtothoroughlyunderstandthelocalmarketDodiligentresearchoneachplatform.Consideritscredibility,customerservicecapabilities,logistics,paymentsystems,etc.ConsultlocalspecialiststogothroughtheapplicationprocessCarefullychoosetherightproductofferingstomeetthedemandsoflocalcustomersPreparelegaldocumentsSubmitapplicationConsultwithspecialistsifneededComparethedifferentcostsoftheselectedplatformsandthemarketingtoolstheycanprovide18Tappingintocross-bordere-commerceinChinaSection2Keyconsiderationsbeforestartingtosell2.4Tobetterunderstandthestepsmentionedabove,let’slookatapaymentgatewaysoꢀwarebySamarkandGlobalcalledNomadCheckout,which3operatesthroughabusinesscollaborationwithFedEx&SFExpress.SpeedupthedeliverytimeRemoveexchangerateissuesNomadcheckoutoperatesthroughabusinesscollaborationwithSFExpressandFedEX,thefastestandmostreliabledeliveryagentsinChina.Deliverywithin7daysisnormalandacceptableformostconsumers.AtcheckoutthecostsareshownandchargedinRMB.Costsarebrokendowntoshowproductcost,shippingcostandduty.ChineselanguageReduceimporttaxesNomadcheckoutprocessisinChineseandsupportslocalpaymentoptionsthroughWeChat,AlipayandUnionPay.DatacollectionandprocessingisallmadeinChineseandusestrustedChinesedeliveryagents,alongsidetheircustomerserviceinChina.Thisallservestoincreasetheconfidenceoftheconsumer.NomadcheckoutoffersconsumersthespecialCBECtaxrateof9.1%formostproductsversus20%forpostalordersor23.1%vs50%forhighendcosmetics.Thisisasignificanttaxsaving.OptimizethehighshippingcostSpeedupcheckoutloadingspeedNomadcheckoutisoptimisedtoavoidtheslowloadingspeedscausedbytheChinafirewall.Thesiteloadsinjustafewsecondswhichlowersthebouncerateonthewebsite.Nomad’scollaborationwithSFExpressandFedExgivesthemaccesstodirectairlineratesandoptimizedend-to-endcostandtariffdiscountsofupto83%.19Tappingintocross-bordere-commerceinChinaSection2Keytakeaways3Selectingtherightplatformiscriticalforabusinesstosellitsproductssuccessfully.Theapplicationprocessiscomplexandneedslocalexpertiseincludinglanguagetranslation.Toreducetheopportunitycosts,findingagoodpartnerisalwaysagoodidea.20BuildingdemandandconvertingsalesSection3China'scross-bordere-commerceoffersvastopportunitiesforinternationalbrands.Accordingtothelatestcustomsstatistics,sincethebeginningofthisyear,China'simportsandexportshavecontinuedtoimprove.Inthefirsttwomonthsof2024,Chinasawitsimportsandexportsreach6.6trillionyuan(about930billionU.S.dollars),ahistoricalhighforthesameperiod.ItisestimatedthatChina'sforeigntradewillbasicallymaintaintheupwardmomentuminthefirsthalfof2024.ThegrowthrateofChina'stradewithBeltandRoadpartnercountriesishigherthantheaveragelevel.Cross-bordere-commerce,marketprocurementandothernewforeigntrademodelshaveseenstrongmomentum.China'ssizeanddiverseconsumerbasedemandadeepunderstandingoflocalexpectationsandshoppingbehaviorstoensuresuccess.21Source2:/news/202403/11/content_WS65eeec19c6d0868f4e8e4f8c.htmlTappingintocross-bordere-commerceinChinaSection3Chineseconsumers’cross-bordershoppingbehavio