Digital Consumers in China

China's ascent as a global ecommerce powerhouse has been nothing short of spectacular. This year, online retail sales are expected to reach $1.5 trillion, accounting for a quarter of China's entire retail sales volume and more than the combined retail sales of the world's next 10 largest markets.

COVID-19 has driven consumers towards online purchasing:

China's e-commerce business had been flourishing for years before the pandemic, but the pandemic significantly enhanced consumers' willingness to spend online. Brands and retailers are banking on e-commerce to make up for the losses that offline retailers have suffered as a result of store closures and decreased foot traffic.

Social media to gain prominence in e-commerce:

With traditional e-commerce platforms maturing, social media participation is becoming increasingly important for firms looking to increase web traffic. Social media is being utilised for more than just connecting people; it's also used for entertainment and commerce, with a growing influence on purchasing decisions.

Proximity digital payment to be encouraged post-COVID-19:

Due to mandatory social distance laws imposed as a result of the COVID-19 epidemic, the use of digital wallets for proximity payment has continued to expand in 2020. The Payment and Clearing Association of China (PCAC) published a suggestion in February 2020, during the pandemic's initial breakout stage, encouraging individuals to use mobile payment, online payment, and proximity payment to minimise infection.

Commercial 5G to be widely deployed:

Following the development of 5G technology, China accelerated infrastructure construction, with an eye toward transferring from traditional projects to digital infrastructure by 2020. Despite the economic impact of the COVID-19 pandemic in 2020, the 5G sector is maturing, and the adoption of 5G technology in a wide variety of commercial fields has quickened.

Internet giants help to drive digital transformation:

Leading internet firms such as Alibaba, Xiaomi, and Huawei have all contributed to the advancement of digital technology. Alibaba's AliCloud, for example, has been establishing ten industrial internet platforms in diverse industries, including textiles, clothes, food, and drinks.