eCommerce in Asia/China

Identifying opportunities and challenges

Asia and especially China is the fastest growing market for eCommerce around the world. Only in 2016 the turnover were 530mrd. Euro. Until 2020 it will increase yearly for 23% to 800mrd. Euro.

Of course there is no standard strategy that 100% fits for every company, but there are some universal regulations.

For foreign companies with less capital the entry in Chinas biggest eCommerce-platform Tmall would be useful. But there are some costs e.g.

  • Only a legal registered company is able to open a shop
  • The corporate identity is only partly practicable and
  • Tmall demand for a setup and transaction fee.

And we have to attend that the concurrence is only one klick away.

A possible alternative is the set-up of a new and completely independent shop. It has to fit in the design area of China. For example the Name box does not need to be separated in first name and name. In China they have to stick together. And it is possible to adapt the menu to involve local Social-Media Networks.

Social Media means a lot in China. People believe much more in recommendation in Social Media than in the common distribution channels.

The most important networks are Weibo, Weixin and Renren. But even that independent shop has to be hosted in China or Asia. Because otherwise it is possible that the potential customer close the shop because of a too long waiting time. Responsive Design is for China and Asia mandatory.

Even the search engine optimization (SEO) has to be adjust for China. To conclude the differences between Chinese and German online shops are fundamental. We need to take them into account and to operate close to the local circumstances. It is useless to hold the western standard just of principle and to ignore the differences.

We are happy to answer any further questions.