By Amanda Massello, Product Marketing
A few months before Alibaba announced its intention to launch its initial public offering in the US, Founder Jack Ma told the world that ecommerce in China is not a way to shop. It’s a lifestyle.
Recent numbers certainly support his bold claim. China is leading the way in mobile and social commerce, outpacing the mature ecommerce market in the US; they are leading with high mobile purchase rates (69% of Chinese consumers made a purchase through their smartphone vs. 46% of consumers in the US) and they are more actively participating in social media.
Forbes Contributor Helen Wang predicts that the convergence of a few key consumer trends in China will bring about a wave of social and mobile commerce innovation – one that is already beginning to crystallize. This dovetails with the trends that we’re seeing emerge in China, including:
- The Golden generation in China is now – The main spending power in the US is with Boomers (consumers in their 50s), but in China, it’s the emerging educated urban youth born after 1980. And this coincides with the key demographic of active social media users.
- Chinese social media behavior – The Chinese participate more actively in social media, more frequently creating content than their Western peers.
- Chinese consumer demographics – The one child policy translates into an entire generation of young adult only children; raised in isolation, it could explain a stronger desire to nurture connections with their friends through social media, according to Wang.
You can read the full article on Forbes here.
In a country with a vast pool of young consumer spending power, it should come as no surprise that China is a hotbed of social commerce innovation. What do you think? Is social commerce the future of retailer success in China?
Check out this report on opportunities and challenges for Retailing in China.