Ticker

6/recent/ticker-posts

China Retail Revolution: A New Development That Could Change the Way Global Markets

 

China's dominance in manufacturing has made China the factory of the world. Subsequent market growth resulted in medium-term expansion and the domestic retail market quickly adapted to meet consumer demand. Some advancements in the way people spend money are made available through the latest technology and will soon appear on devices near you. In fact, earlier this year The Economist said all retailers are looking to China, and some are already.

So how will China's “economic revolution” be transported to another world? Here are 5 tips consumers around the world should keep in mind.

1. Business life
The growth in disposable income has led to an increase in the number of Chinese in search of food, entertainment and travel. Existing e-commerce businesses sell a wide range of products, but fail to introduce new lifestyles.
This is where the digital “super platform” comes in. For example, with over 600 million users and a value of $ 100 billion, Meituan offers all kinds of lifestyle and entertainment services. It offers restaurant inspections, transportation, tours, movie tickets, biking and more. Consumers elsewhere can turn to financial services and expect “super apps” to be accessible to all aspects of their lives, such as grabbing, delivery and transportation, which is done in Asia. 'East.

2. Convergence between online and offline
The combination of online and offline use already knows many customers. But in China, platforms like Taobao, JD.com, and Meituan are much bigger than Amazon. They sell everything from food and phones to villas and resorts.
The most difficult products for businesses to sell quickly online are seafood and new products due to high shipping costs, low prices, and poor quality products. However, some people are now using their new warehouse in less than an hour (the idea has already gained popularity elsewhere). Online grocery stores have become ubiquitous in many countries, but we must expect that in the future all shopping will be faster and easier.
Three. manufacturing industry

3. Business development
Although the middle class in large Chinese cities appreciate the convenience of Meituan and others, there are still thousands of Chinese living in small towns and rural areas, and still poor and more valuable. A social media platform called PinDuoDuo is now using this audience to invest in the popular social network WeChat (think WhatsApp, Instagram, Facebook and Amazon are one organization).
The idea is to make online shopping more attractive and interactive. It has become very popular because it is a fun place and has attracted a lot of wealthy consumers. Consumers outside of China can expect digital shopping to become more fun, social, and more functional.

4. Celebrity direct sales
Selling famous brand products is a proven marketing tool for big names. In China, the concept includes business leaders and officials involved in media and sales. For example, Dong Mingzhu, chairman and CEO of Gree Electric (the world's largest manufacturer of home air conditioners), sold $ 9.3 billion worth of products in 2020, or 13 live broadcasts. Social media influencers that consumers identify with and trust play a bigger role in how consumers spend their money. 

5. Sell "invisible"
It's a place that appears in movies of the same people in their everyday lives, but without a recommendation to buy. For example, Li Ziqi, also known as the "Quarantine Queen," caused an online sensation in China with her YouTube channel, which garnered 2.4 billion views, featuring her cooking and crafts.
Although there is no direct link or endorsement to the product, consumers are enjoying the lifestyle after watching this video wanting to buy the product. It requires a balance between lifestyle and diet, and Ziqi, who earns money by advertising and selling products such as home appliances, fashion, and food, is among the fresh foods. 

All of these ideas have three things in common. First, it includes e-commerce platforms, third-party payment, shipping, and advertising. In countries that already have similar markets, like the UK and the US, these new sales strategies will be more successful than others. Second, all of these sales strategies are the answer for new consumers to take advantage of digital technology. It could affect markets such as UK and Europe if aspiring youngsters want to grow up with more needs and wants than their mother, father. Third, all of these improvements rely heavily on sophisticated algorithms and data analysis. Consumers can expect more personal information, but may have to pay more for personal information.