Report: Chinese Online Shoppers to Spend $158 Billion Annually by 2020 on Cross-Border Purchases
June 16, 2016
Chinese consumers will spend nearly $86 billion dollars at e-commerce sites based outside China in 2016 and that figure will rise to nearly $158 billion in 2020, according to a new report from eMarketer. Opportunity for global retailers to sell in China is enormous. Shoppers, looking for quality and reliability, are turning to cross-border e-commerce in larger numbers each year despite some challenges. Nearly 130 million online consumers in China shopped cross-border in 2015 and that number will increase this year to more than 180 million, with an average annual spend of $473.26.
“While the new cross-border e-commerce tax implemented in April this year negatively affects some categories of goods, the demand for foreign goods via the cross-border e-commerce channel is still expected to remain strong due to better prices compared to offline retailers, perceived quality and better variety,” said eMarketer forecasting analyst Shelleen Shum. “Furthermore, cross-border e-commerce goods sold via the business-to-consumer channel are expected to take up a growing share of the total cross-border e-commerce market in 2016 as consumers shift to platforms that are more professional and organized. Since the merchants selling on these B2C platforms have to be authorized, they are considered more trustworthy.”