3. 802 million users
are connected to the internet in China
21x the population of Italy
$1.33 trillion USD
of eCommerce revenue generated by China in 2018
source - digitalcommerce360.com
Accounting for 47% of global eCommerce
USA
$517B USD CHINA
$1330B USD
Source - China Internet Network Center, - digitalcommerce360.com
China’s Current Ecommerce Market Share
4. $1.33 trillion USD
=
26x WeChat Net Worth = 0.78x GDP of Canada359x L.A. Lakers Net Worth =
China’s Current Ecommerce Market Share
5. $1.6 trillion USD
In retail and C2C revenue expected by 2020
20.3% of sales
took place online
in the first four months of 2019
v
While China dominates
the global eCommerce market
the vast majority of sales continue to place offline
Offline Retail vs Ecommerce
source -iResearch.com
7. 854 million
people live in China’s smaller cities,
roughly 2.6x the population of the U.S.
25M
25M
70.9% of China’s population
lives in Tier 3 cities or lower
83M
The Emergence of Smaller Cities
Source – cnbc.com
3.3M
8. Tier Production
TIER 1
19
24.2 million
TIER 2
30
18.8 million
$25490B USD $17377B USD
TIER 3
70
218 million
$
$21718B USD
Others
30,000+
600+ million
$35000+B USD
CITIES
HOUSEHOLDS
$
=
30,100+
636.8+ million
$74095+B USD
Source: Wikipedia AMDR
9. 49.9%
183 million
257 million
50.1%
89%
62%
43%
61%
Tier 1 and 2
Tier 3 and 4Share of national GMV
E-commerce penetration
Online Shopper base
Online Shopper Growth
61% growth
of online shopping in tier 3 and 4 cities
18% more growth
than tier 1 and 2 cities
Source: Mckinsey.com
The Rise of Lower Tiers
10. The lower-tier cities already comprise 59%
of the country's GDP and
73% of its population, may
be bigger engines for spending to fuel
economic growth
Lower Tiers Income Increase
Source: Mckinsey.com
11. The Cities below 3rd Tier have higher consumption potential
Taobao Mobile‘s monthly active users reached
699 million, and annual active users reached
636 million, of which over 70% of new
annual active users came from sinking
market(cities below 3rd tier ).
Source: alibaba..com
12. TRADING
B2B vs B2C
A big portion of the trade in China is C2C.
But B2C is growing fast.
13. B2C roughly a quarter
15.4% of China’s ecommerce in 2018
B2B dominated
China’s ecommerce market in 2018
China’s Ecommerce Market Share
Source: -iResearch.com, chinainternetwatch.com
14. Trend
C2C B2C
In China, more than 60%
of online shopping is through B2C
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
2013 2014 2015 2016 2017 2018 2019 2020
China’s Online Shopping GMV Percentages
B2C vs. C2C 2011 - 2020
% B2C % C2C
Trading Takeaways
Source: -iResearch.com
15. $1119 Billion USD
generated in B2C ecommerce in 2018
40.9 % growth in B2C
Compared to a 15.7% growth in C2C
The Growth B2C
Source: -iResearch.com
B2C
17. 99.9% of the population is online
*Older than 18
High Penetration
Can be seen across high tier cities
89% of online users
already shop online
High Tier Behavior
Source: -iResearch.com,- mckinsey.com
18. 160 million users online
Have yet to begin shopping online
Lower penetration
Yields higher growth rates and potential
62% of online users
shop online
Source: - mckinsey.com
Lower Tier Behavior
22. 12
12/12
Double Twelve
Revenue: 1.3 Billion USD
Volume: .9 Million
1/6
Children’s Day
Chinese New Year
11
11/11
Single’s Day
15/8
Autumn Moon Festival
2018
Revenue: 30.8 Billion USD
Volume: 10 Million
Revenue: 146 Billion
Volume: 3.4 Million
Revenue: 3.8 Billion
Volume: 2.3 Million
Revenue: 8.3 Billion
Volume: 4.9 Million
Top 5 Shopping Holidays
23. 90% on purchases
made on mobile
49.1 million transactions
Per second *maximum
$30.8 billion USD
In total revenue in 2018
0.82
3.04
5.8
9.3
14.3
17.8
25.3
30.8
0
5
10
15
20
25
30
35
2011 2012 2013 2014 2015 2016 2017 2018
Grossmerchandisevolume$BN
Alibaba’s Single’s Day Revenue
( USD BN)
Alibaba’s Singles Day
Source walkthechat.com,-tech2ipo.com,- techcrunch.com
24. In 20 minutes
Single’s day generated more revenue than
Total Black Friday online sales (6.5b)
2018 Single’s Day revenue 2.2x
Black Friday and Cyber Monday combined
0
5
10
15
20
25
30
35
40
45
50
2011 2012 2013 2014 2015 2016 2017 2018
Grossmerchandisevolume$BN
Black Friday, Cyber Monday and Single’s Day
Total Online Revenue (BN $)
Singles Day Cyber Monday Black Friday
Singles Day vs Black Friday & Cyber Monday
Source: -businessinsider.com
25. $30.8 billion USD
=
86x Boeing 747 = 2.0x GDP of Jamaica17,995x Ferrari LaFerrari =
Singles Day Revenue
28. 58.2%
0.7%
0.2%
16.3%
5.2%
1.9%
Tmall and JD.com
Are the current largest marketplaces
58.2% market share
Owned by Tmall.com
1.8%
552 million
use Tmall.com
拼多多
Where They Shop?
Source: - statista,- chinainternetwatch.com
As of June 2018