China’s B2C e-commerce to overhaul C2C
China’s B2C market will grow faster than C2C, accounting for a higher share of the online shopping market, a new report says.
With the improvements in income and living standards, Chinese online shoppers are focusing on the quality of goods more than before. Compared with C2C, B2C offers better credibility and quality assurance for online shoppers.
In 2008-2012, China’s online shopping market rose from 128.2 billion yuan to 1.3 trillion yuan at the CAGR of 78.6 per cent. In H1 2013, the market valued 789.21 billion yuan, up 41.2 per cent year on year. The B2C market hit 227.86 billion yuan, accounting for 35.2 per cent of the total online shopping market size.
From the perspective of B2C shopping websites, Tmall (53.68 per cent), Jingdong (17.10 per cent), Suning.com (4.74 per cent), Amazon China (2.72 per cent) and Yihaodian (2.47 per cent) were the top five companies by share in Chinese B2C online shopping market in 2012.
Although the competition pattern of the B2C market is bound to evolve over time, the B2C platform Tmall and the proprietary B2C website Jingdong will still occupy the leading positions firmly in the short term; however, the market share of other B2C websites will change with increased focus on product strategy direction, marketing promotion and customer relationship management.