China is the world’s largest e-commerce market. At a valuation of $1.1 trillion, the Chinese e-commerce market is every entrepreneur’s dream. However, like all other markets, the Chinese market has its challenges. For one to succeed in this market, they need to have a good understanding of Chinese eCommerce trends. That’s where big data comes into play. With data, an investor is in a position to assess the market, and pinpoint opportunities. Companies like WPIC have an in-depth understanding of this market and are useful to entrepreneurs looking to enter the Chinese market. As a snapshot, here is what you need to know about China’s e-commerce trends.
- China is a mobile-first/mobile-only market
The Chinese e-commerce market is heavy on mobile. People use their smartphones to shop and pay for virtually everything. As such, when looking to enter the Chinese e-commerce market, you need to have a solid mobile strategy. Such a strategy should also incorporate Chinese mobile payment platforms. With a solid mobile strategy and a good product, you should be in a position to make it in the lucrative Chinese market.
- It is dominated by Chinese e-commerce giants
China restricts most foreign websites through the great Chinese firewall. As such, the market is dominated by local e-commerce giants such as Alibaba. When looking to venture into the Chinese market, you need to find out what makes these companies tick. Don’t try importing strategies that have made e-commerce companies successful elsewhere to china. They may not work due to the variations in culture. Check out the trends that Chinese giants use, and innovate your business strategy around it. Alternatively, you can use them as a tool for understanding the culture, then launch your blue ocean strategy based on their ideals as a baseline.
- Trademarks are a big deal in the Chinese e-commerce market
China is the world’s largest e-commerce market. By default, this also makes it one of the most competitive. Every entrepreneur wants a piece of this $1.1 trillion pie. Some will copy your ideas, and even business logos and replicate faster than you. To survive in this market, you need to protect your ideas through patents and trademarks. However, before you embark on the processing of copyrighting your business, you need to first understand the copyright process in China. Unlike in the U.S where the law favors the first-to-use, in China, the legal framework favors the first-to-file. This means someone can patent your technology while you are using it, and snatch it from you. To stay safe, understand the law and file your parents before you test your product in the market. You don’t want a situation where your potentially lucrative idea benefits someone else.
Once you understand the trends in the Chinese market and mastered them, let data guide you in choosing your customer-base. Strong data analytics tools such as those provided by companies like WPIC can help you identify opportunities in the Chinese market. Data can also help you in pricing your products right for the market.