Once an order is placed, it can be delivered to consumers through direct mail which usually takes 14 days, or from bonded warehouses in Chinese free trade zones (FTZs) which often takes 7 days. In addition, the company would need to have a local partner that can import and distribute the ordered goods. We deliver in-depth and superior quality research in prices that are reasonable, unmatchable, and shows our understanding of your resource structure. In 2016, packaged food witnessed US$18.4 billion in online sales and experienced a compound annual growth rate of 61% from 2012 to 2016. For more information on Tmall Global, please visit the Tmall Global website (available in Mandarin only). Thus, our latest estimates and analysis about the current market trends and forecast will exhaustively reflect the effects of this emerging pandemic. According to the ranking of the 10 leading markets for what concerns online grocery sales drafted by IGD, not only is China the current leader in the sector, but it is also set to quadruple… This trend in e-commerce is largely driven by a combination of economic, technology and support infrastructure factors that are driving the demand for product variety/quality, convenience, and greater deals and transparency (BMI research, 2017). E-commerce leads to Online marketplace and Independent website. Internet retailers are opening physical stores or cooperating with store-based retailers to improve their logistics. Packaged food is a major driver for the growth of China online grocery market. Independent websites are another entry point for a Canadian company to enter China's e-commerce market. *: Compound annual growth rate Tmall is an online mall (B2C) marketplace founded by Alibaba Group. Exclusive shop - is a single brand store front in a marketplace (online mall) run by an authorized brand reseller. In reality, ecommerce sales are not higher across the board, although some industries are seeing significant upticks. 1.4.2 China Online Grocery Sales and Growth Rate (2011-2021) 1.4.3 China Online Grocery Revenue and Growth Rate (2011-2021) About Radiant Insights. E-grocery sales are expected to continue to see rapid growth, with a forecasted compound annual growth rate of 12.7%. Mintel, Online to offline Retailing China, 2016. In this model, the Canadian company is not directly involved in e-commerce in China, but rather selling to the company running the platform. Also, main leading marketplaces are embedding their websites into well-known social networking sites or apps to draw more traffic to their platforms. E-mail: aafc.mas-sam.aac@canada.ca. “However, despite South Korea maintaining a higher online grocery market share in 2023, China will strengthen its position as Asia’s largest online grocery market, with sales set to reach US$205bn. Note: E-grocery data only includes online sales of food and drink products. China online grocery market is growing rapidly and is expected to witness further growth in the coming years. Euromonitor, Grocery Retailers in China, 2016. Growth has slowed from its eye-popping pace of a … Walkthechat, WeChat store: 5 ways to open a WeChat shop for free, 2016. It was initially a social media platform where people could share overseas product information. Fulfilment method leads to Direct mail and Bonded warehouse. Like Tmall and JD.com, Yhd.com also provides a Yhd.com B2B platform (available in Mandarin only) to attract companies to purchase big ticket items from its online merchants. The study objectives are to present the Online Grocery Sales development in North America, Europe, China, Japan, Southeast Asia, India and Central & South America. Online sales of fast-moving consumer goods (FMCG)—the kinds of low-cost products typically sold in grocery stores—grew 30% in the 12 months ended in March 2017 and now account for 4.6% of global FMCG sales, up from 4.4% a year earlier, according to a recent report from consumer research firm Kantar Worldpanel. In 2016, China's central government issued a cross-border e-commerce tax. Dublin, Dec. 16, 2020 (GLOBE NEWSWIRE) -- The "China Online Grocery Market, by Segments (Packaged Food, Dairy, Sweet Biscuits, Snack Bars and Fruit Snacks, and Soup), by Channel, Company Analysis & Forecast" report has been added to ResearchAndMarkets.com's offering. Identified as one of the most advanced countries in e-commerce, the UK now sits comfortably alongside notoriously tech savvy countries, China and South Korea when it comes to value share. *: Compound annual growth rate Chinese Food Online Store is an all-in-one Chinese grocery store offering authentic Chinese and Chinese products at retail prices. You can get them for a range of actions: shopping, product reviews, photo and video purchases. -: No data available With a population of 1.4 Billion, the potential value growth in the Chinese online grocery market is phenomenal. Despite this growth, e-grocery continues to account for a minor part of e-commerce sales with a market share of 6.5%. Home delivery - This is the most preferred delivery option among Chinese consumers for online purchases. E-commerce has given Chinese consumers access to a wider arrangement of products in which they never had access to before, especially for those in low-tier cities and rural areas. As of 2016, internet access was available to 53.8% of the Chinese population and it is anticipated to cover 89% of the total population by 2030 (Euromonitor, 2017). Most online sales … BMI Research, China Food & Drink Report, 2017. As a result, online retailers offer a variety of flexible delivery options which include home delivery, store-based partnerships, locker services, and drone delivery. In 2014, they launched a cross-border B2C e-commerce platform to provide imported products from overseas brands. E: Estimate JD.com is expanding its drone delivery program. This platform is presented in both Mandarin and English. The internet penetration and surge in ownership of smartphones and tablets helped to drive the growth of e-commerce sales in China. Online hypermarket – business-to-business-to-consumer (B2B2C). Source: Euromonitor International, 2017. See An introduction to E-Commerce in China for more information on e-commerce regulations. For information related to account application process, please visit WeChat Pay's website. In-app payment lets merchants to enable WeChat pay in their Android or iOS apps as a payment option. The store would either be operated by the Canadian company or a partner such as a third-party logistics company with official partnerships with the marketplace (such as, Tmall Global). Furthermore some of the online shopping websites from China can provide a quit good discount for a customer while offering wholesale offers. A flowchart showing e-commerce delivery options for Chinese consumers. IT structure is still developing and can pose problems with regards to internet speed. “However, despite South Korea maintaining a higher online grocery market share in 2023, China will strengthen its position as Asia’s largest online grocery market, with sales set to reach US$205bn. It has also launched eight regional/country pavilions on its platform, including a Canadian pavilion. The platform provides cross-border payment services by collecting payments on web, mobile or in stores from Chinese consumers in Chinese Yuan (CNY) and settling the payment to the merchant in a foreign currency at a real-time rate. Currently, online marketplaces make up 90% of the online transactions in China and are the most important aspect of the e-commerce ecosystem (Canadian Trade Commissioner Services, 2016). Expert Market Research (EMR) is a leading market research and business intelligence company, ensuring its clients remain at the vanguard of their industries by providing them with exhaustive and actionable market data through its syndicated and custom market reports, covering over 15 major industry domains. Its annual sales turn over reached 104 billion yuan ($16.5 billion) in 2014. This reseller has been given the rights to use some of the brand's intellectual property (IP) such as the brand logo. E-commerce marketplaces in China are an ideal market entry point for Canadian agri-food producers wanting to expand into the Chinese's market. The increase in the online payment applications and the shift towards going cashless is driving the market growth. Working with a Chinese partner/distributors can be risky as there is potential to loose control of brand. This e-commerce model gives international firms immediate access to an established consumer domain with high consumption traffic. China’s internet giants have been fighting hard for grocery shoppers this year. The sector is being driven by increased infrastructure assistance and continued enhancement of technology for e-commerce enterprises. Online grocery shopping in China is driven by the country’s rapidly growing middle class, high smartphone usage and strong internet connectivity. Chinese e-commerce giant Pinduoduo is on track this year to double last year's online grocery sales, a senior executive with the company told CNBC. 2020-11-17 . China is one of the largest e-grocery markets in the world and is poised for explosive growth in the future too. Access to overseas website from China is limited due the Chinese government “Great Firewall” which blocks Chinese consumers access from certain western sites (for example, Google) and can hinder internet traffic (Canadian Trade Commissioner Services, 2016). Retrieved from http://tech.hexun.com/2015-10-16/179879743.html/. Agriculture and Agri-Food Canada provides this document and other report services to agriculture and food industry clients free of charge. The global governance, risk, and compliance platform market reached a value of about USD 27.8 billion in 2020. Since their overtaking of personal computers (PC), mobiles have become the prominent devices for Chinese consumers to purchase their edible goods (Euromonitor, 2016). The Chinese market regulator has set its eyes on a popular e-commerce model called community-group buying. Therefore, you should always follow the shop's news. According to the Canadian Trade Commissioner Services' e-commerce guide in China, independent website retailers tend to suffer approximately a −4% earnings before interest, tax, depreciation and amortization (EBITDA) loss while merchants operating on marketplaces experience a 9% EBITDA. JD.com is planning to further expand its fulfilment logistics infrastructure and technology platforms, expand its product range and hire more employees to gain more ground in the market. Although the category is seeing dynamic growth, it continues to account for a small portion (6.5% share) of total e-commerce sales in China. Further, through 2023, sales are anticipated to more than quadruple as online options become more available and consumers become more open to trying online grocers or using them more frequently. BriefingWire.com, 11/27/2017 - The report on China Online Grocery Sales Market is the latest addition to the huge database of DecisionDatabases.com. Yhd.com is a B2B2C marketplace, with its core business as an online grocery mall. The major regional markets are Shanghai, Zhejiang, Guangdong, Jiangsu, Beijing, and others. To obtain detailed information on the internet merchant recruitment on the JD.com Worldwide website. This research study is segmented on the basis of applications, technology, geography, and types. For additional intelligence on this and other markets, the complete library of Global Analysis reports can be found on the International Market Intelligence page, arranged by region. Agriculture and Agri-Food Canada, Global Analysis The India school market is expected to exhibit a strong growth in the forecast period of 2021-2026. International Trade Commissioners can provide Canadian industry with on-the-ground expertise regarding market potential, current conditions and local business contacts, and are an excellent point of contact for export advice. China’s Pinduoduo forecasts 100% growth in online grocery sales this year. Wide range selection of chinese foods and snacks online at EFoodDepot.com, best chinese grocery store. In this case, the marketplace acts as the platform in which stores operate, such as Amazon.com. Alibaba is most likely to expand its reach in China as well as globally after the great response from consumers. This is a business-to-consumer model in which a Canadian company can setup virtual “stores” on the online marketplace. In 2017, the grocery industry in the country attained a value of nearly 1.3 trillion. 1: Internet pure play retailers refer to the retailers which sell only through the internet. Ottawa, ON China is the largest e-commerce and e-grocery market in the world worth US$366.1 billion and US$23.9 billion respectively for 2016. Research company IGD Asia said earlier this year that China will overtake the United States to become the world's largest grocery market by 2023, with online sales alone more than … New Report On Global Online Grocery Sales Market 2019 by Company, Regions, Type and Application, Forecast to 2024 added to Orbisresearch.com store which has … Within the domestic market, store-based retailers are venturing into the e-grocery channel by choosing to outsource their online grocery business to third party operators who provide the service of purchasing the groceries for consumers at the nearest store and delivering them in a very short time period (for example, two hours after online purchase) (Euromonitor, 2016). Most often customers can make a quit good bargains when buying a discounted product or purchasing during the sales. Retrieved from https://www.tmall.hk/. This report focuses on the global Online Grocery Sales status, future forecast, growth opportunity, key market and key players. Global Pest Control Market Report and Forecast 2021-2026, Global Governance, Risk, and Compliance Platform Market Report and Forecast 2021-2026, Global Motor Repair and Maintenance Market Report and Forecast 2021-2026, Global Mobile Payment Market Report and Forecast 2021-2026, India School Market Report and Forecast 2021-2026, We use cookies, just to track visits to our website, we store no personal details. Rural shoppers usually benefit from the wide availability of cheap mobiles and prefer to possess a mobile phone rather than a personal computer or laptop. E-commerce provide a relatively straigforward path to gain entry into the Chinese market. Source: Euromonitor International, 2017. *: Compound annual growth rate According to The Economist's report, “WeChat's world”, the platform in the first quarter of 2016 gained approximately US$1.8 billion in revenue. *: Compound annual growth rate With Alipay and WeChat Pay's dominance in online payment, Apple Pay's future performance is uncertain, however, the partnership might help Apple Pay leverage some market resources in China. Ecommerce in China is aided by a rapidly growing middle class, high smartphone usage and strong internet connectivity. This law is expected to promote the development of cross-border e-commerce that allow Chinese consumers to purchase products from online merchants located in other countires and the establishment of a supervision and management system for those activities. One of the companies that is making strides in online grocery sales is Tmall.com, the big B2C marketplace owned … For this method, Canadian enterprises can use international express companies such as UPS, FedEx, or DHL. *: Compound annual growth rate They allow both major brands and smaller merchants to open stores, which has increased the rivalry between Tencent (WeChat) and Alibaba, since it is seen to threaten Alibaba's B2C platform Tmall. Through this new taxation policy, the Chinese government aims to even the playing field between overseas and domestic online players. Now China Resources Vanguard owns over 5,000 outlets under multiple brands including Vanguard, Tesco China, Suguo, Vivo, Ole’, Legou Express, Vango, BLT, Voi_la!, Lenonardo, Huanleshong, Zhongyi, Huarun Tang. Shipping fees and timing pose a majour hurdle for Canadian companies shipping from overseas as consumers in China are used to receiveing online purchases within days or placing the order. The Chinese market regulator … The top e-grocery retailers in China are Alibaba and JD.com. The major online products bought by Chinese consumers within the packaged food segment were baby food, dairy, rice, pasta and noodles. David Liu, vice president of Pinduoduo, said the coronavirus pandemic has profoundly changed the way people buy groceries — and that's generated demand for the company in China. In 2016, the online sales of packaged food exceeded USD 18.4 billion. N: Non-calculable These types of cross-border marketplaces allow international companies without Chinese business licenses to sell their products more easily and conveniently in China's market. Although the grocery retailers in China have been facing fierce competition and stagnating sales growth over the past few years, sales recovery has resumed gradually as many foreign groceries entered the … In basic terms, an e-commerce marketplace is a platform where products and services are provided by multiple brands, while the transaction is processed by the marketplace operator. New international entrants enter China by establishing their own independent websites or cooperating with marketplace operators. Overall, online marketplaces are the most established and advantageous platforms in China's e-commerce market for Canadian businesses as they reduce the cost and time needed to develop and run an independent retail site. In addition, the Chinese government released a list of imported commodities for retail cross-border e-commerce, referred to as the “Positive List”. China Online Grocery Market will be US$ 219 Billion by the end of the year 2026. Where the reproduction or redistribution includes data from this document, it must also include an acknowledgement of the specific data source(s), as noted in this document. For example, the law is expected to increase the digitalization and convenience level of custom; clearance, tax collection and inspection and quarantine procedures. As a result, China was also the largest e-grocery market in the world worth US$23.9 billion in 2016. China E-commerce Trends: What you NEED to Know for 2019 . Buy finest Chinese ingredients, drinks, snacks, and groceries here! We assist and facilitate organizations and individuals procure market research reports, helping them in the decision … Online marketplace leads to Online hypermarket (B2B2C) and Online mall (B2C). -: No data available Government policies regulating the marketplace are dense, complicated and are prone to change without notice. A flowchart showing China's e-commerce channels for Canadian agri-food producers. This option is the most favorable for Canadian businesses looking to test the market before setting up in a broader business model in China. It provides the platform for online retailers to open virtual stores and sell their products directly to consumers. The cross-border online malls are a lower risk approach to entering the market, as they require relatively little investment from the foreign company (Canadian Trade Commissioner Services, 2016). RT-Mart (大润发) Established in Taiwan, RT-Mart is now one of the leading food retailers in China, operating over 320 hypermarkets in mainland China. China has become the world's largest market for food and grocery retail, surpassing the US, a study showed. WeChat was initially an instant messaging app, launched in 2011 by Tencent, a Chinese online-gaming and social media company. Flagship store - is where companies can sell their own brands. Apr 17, 2016 - China is a old country where produces famous gourmet, there are many different cooking systems and recipes. France; Ireland; Great Britain; Spain; China National In 2016, the online sales of packaged food exceeded USD 18.4 billion. The leading payment platforms have also launched mobile applications, apps, to drive more consumers to make purchases through mobile devices. Euromonitor, China: Country Profile, 2016. From 2012 to 2016, e-grocery was the most popular category of e-commerce, witnessing robust growth in value sales. Although online grocery trade in China had seen sales growth over the 2012 to 2016 period, it has been slowing down, which is due to increased competition between retailers for existing consumers. Than ever before in online shopping payments and cash on delivery always the! Foreign online retailers to drop off their parcels for consumers to collect orders at their convenience. 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