TikTok isn’t the only disruption in social media and e-commerce to come out of China in 2020.
Other trends from Chinese e-commerce are now going mainstream.
China, the land of online marketplaces, is already home to 3 of the top 5 highest-grossing marketplaces in the world.
In many ways, e-commerce in China is still starkly different than what we’re used to.
Everything in China is app-driven and centralised to a handful of platforms.
The centre of growth is shifting and Asia is expected to represent 56% of global consumer demand by 2030.
Global brands are already using China as a blueprint for developing their e-commerce strategies for the next decade.
The two biggest e-commerce trends to come out of China this year are:
- Live e-commerce
- Social e-commerce
Amazon ran Amazon Live in the US on Prime Day.
And Facebook introduced ‘Live Shopping’ for both Facebook and Instagram.
Now all major social media apps – Pinterest, Snap Chat, YouTube and TikTok – offer shoppable content or integration with your Shopify store.
Influencer-driven ecommerce and live-streaming are excelling in China.
You’ve may have seen this video – “Creepy Social Media Influencer School in China” – floating around lately:
During a live-stream, customers can interact with each other and the influencer, discuss the product, ask questions and place an order – all at the same time.
On Singles’ Day this year, JD made $15m in a 6-second live-streaming session.
Brands are embracing influencer-driven e-commerce with open arms.
Because it offers a combination of entertainment, engaging with brands and meeting your favourite influencers.
Consumers in Asia skipped the credit card altogether.
They went straight from cash to e-wallets instead.
And the same is now true for new business models.
Mobile banking, robo-advisory services, and wealth management tools have all enabled a shift towards mobile-first e-commerce.
Consumers in Asia aren’t only open to these new technologies but actively embracing them.
And this is giving rise to a new type of business model – the super app.
For consumers, super apps offer a single point of contact into a vast ecosystem of services.
And for businesses, it brings down the cost of marketing and sales – furthering the benefits of building digital value networks.
What does this mean for you?
There are differences in regulation, consumer maturity and consumer preferences with China.
And you shouldn’t chase advancement for the sake of advancement itself.
But you should be focusing on finding new ways to serve your customers.
Focus on building digitally-enabled value chains, collaborative ecosystems for e-commerce and innovative go-to-market solutions.
The blueprint already exists.
Now you just have to make the most of it.