The increasing maturity of businesses in using data analytics and omni-channel technologies have created a new retail normal in China, according to PwC’s latest report on e-commerce in China.
China’s e-commerce market is set to be driven by content-led experiences, the report said. 29% of Chinese consumers, compared to a global average of 13%, use social media to see what brands or products key opinion leaders and celebrities are endorsing. Livestreaming is emerging as a major growth avenue for mobile and social engagement in China while 70% of Chinese consumers use social networks as a source of inspiration for purchases.
“With continuously increasing purchasing power from millennials, e-commerce is enabling international retailers and brands to enter China more quickly and easily than before through online-only business models. It is also a new window for Hong Kong retailers, whose sales growth is bound by heavy reliance on mainland visitors and somewhat saturated domestic consumption driven by low population growth, to strive for new growth areas,” says Michael Cheng, PwC Asia Pacific and Hong Kong/China retail and consumer leader.