{"id":6052,"date":"2023-11-21T11:39:20","date_gmt":"2023-11-21T11:39:20","guid":{"rendered":"https:\/\/ecommercechinaagency.com\/?p=6052"},"modified":"2023-11-27T11:43:06","modified_gmt":"2023-11-27T11:43:06","slug":"guide-chinas-top-e-commerce-platforms-foreign-companies","status":"publish","type":"post","link":"https:\/\/ecommercechinaagency.com\/guide-chinas-top-e-commerce-platforms-foreign-companies\/","title":{"rendered":"5 Top Chinese eCommerce Platforms for Foreign Companies"},"content":{"rendered":"\n

China is the world\u2019s largest e-commerce market. It will reach US$1.55 billion in sales by 2024 <\/strong>and global, international e-commerce platforms control a market share of over 92 percent, foreign engagement with the Chinese online retail sector is at its most prolific. The <\/span>Chinese e-commerce landscape<\/a><\/strong> is changing a lot, with new players joining the game, to adapt to Chinese consumers’ needs and shopping behaviors. <\/p>\n\n\n\n

Selling products through Chinese e-commerce platforms is a must for all foreign brands, especially those without a presence in China. But how to do it without an offline presence in the country? Today we will present 5 e-commerce platforms that adopt a more international business model, allowing for cross-border e-commerce. <\/p>\n\n\n\n

Chinese eCommerce Market Overview<\/h2>\n\n\n\n

The Chinese eCommerce market<\/a><\/strong> is a global phenomenon. There is no nation that would be more used to and advanced in online shopping, which is well-fueled by online shopping infrastructure, unseen anywhere else. Big Chinese eCommerce platforms and e-commerce websites with the possibility of buying literally anything, fast mobile payment methods, same-day deliveries, returns, and competitive prices help the market grow at a record speed every year. <\/p>\n\n\n\n

The Chinese e-commerce market is on its way to surpassing expectations and is expected to reach 1.55 billion U.S by 2024<\/strong>. It\u2019s expected to represent more than 60% of total retail sales in the country.<\/p>\n\n\n\n

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In 2017, the e-commerce landscape in China was fueled by the two most popular Chinese eCommerce platforms from Alibaba Group: Taobao, and Tmall, with sales reaching $44.41 billion. Today, just 5 years later, e-commerce in China is a role model to all the markets in the world<\/strong>. Covid helped the growth, even more, convincing older generations to online shopping. <\/p>\n\n\n\n

Cross-border e-commerce in the Chinese market<\/h3>\n\n\n\n

Cross-border e-commerce<\/a><\/strong> is booming in the Chinese market as more and more Chinese consumers are looking for products that are not available in China. The most popular categories of products that are purchased through cross-border e-commerce channels are clothing, cosmetics, and health supplements.<\/strong><\/p>\n\n\n\n

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Chinese consumers prefer to purchase products from foreign brands<\/strong> because they trust the quality and authenticity of these products. Another reason why Chinese consumers prefer to buy products from foreign brands is that they perceive these brands as being cooler and trendier than domestic brands.<\/p>\n\n\n\n

Top e-Commerce Platforms in China<\/span><\/h2>\n\n\n\n

In order to capitalize on the growth of cross-border e-commerce in China, businesses need to understand the preferences of Chinese consumers and create marketing campaigns that resonate with them. <\/p>\n\n\n\n

Here is the list of the most popular e-commerce platforms among Chinese consumers:<\/p>\n\n\n\n

Tmall Global<\/h3>\n\n\n\n

Tmall <\/a>is China\u2019s largest online marketplace<\/strong> selling domestic and international branded merchandise. Tmall is owned by the Alibaba Group. It provides a marketplace for foreign brands to open exclusive shop fronts.<\/span><\/p>\n\n\n\n

Tmall Global<\/a><\/strong> e-commerce platform was launched back in 2013. It only sells imported goods. Thanks to Tmall International, brands without a physical presence in China can sell directly to Chinese consumers<\/strong>. Therefore, it is a great opportunity for foreign brands willing to sell in China without a physical location all the costs and level of risk associated with this. <\/span><\/p>\n\n\n\n

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However, Tmall Global now operates via an invitation-only policy<\/strong> where only qualified merchants are either invited to join or may apply through a certified third-party agency (TP)<\/strong>. Consequently, the necessity of TP cooperation has complicated the process of building up a store on the Tmall Global e-commerce platform. For foreign companies looking to set up an online store with no physical presence, JD Worldwide is an increasingly attractive option.<\/p>\n\n\n\n

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Tmall Eligibility requirements<\/h4>\n\n\n\n

You must have a registered corporate entity outside of Mainland China. You must possess retail and trade qualifications overseas. You must be the brand owner or authorized agency or possess the purchase voucher. You must possess the relevant stock certificate.<\/p>\n\n\n\n

Tmall Global targets<\/h4>\n\n\n\n

Corporations that have been operating for over two years with annual sales exceeding US$10 million. Branded B2C overseas businesses. Brand owners or authorized agencies.<\/p>\n\n\n\n

Tmall Warehouse<\/span> and logistics<\/h4>\n\n\n\n

Tmall Global cooperates with certain FTZs in China to provide select merchants with a bonded warehouse service.<\/span><\/p>\n\n\n\n

Merchants should either ship packages straight from overseas or store their products in a bonded warehouse in China for shipment to consumers. A Chinese address is mandatory to ease product return.<\/span><\/p>\n\n\n\n

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Tmall is Suitable for:<\/span><\/h4>\n\n\n\n

Large international brands with demonstrated potential to achieve a large volume of sales or high revenue.<\/span><\/p>\n\n\n\n

Hypermarkets, like JD and Taobao, allow independent sellers to list products or operate shop fronts. Online hypermarkets are vertically integrated, multi-category marketplaces that purchase straight from suppliers in order to sell through their own network. These hypermarkets operate a proprietary online e-commerce platform and an in-house logistics network providing same-day delivery.<\/span><\/p>\n\n\n\n

Selling to a hypermarket is done via negotiation with a procurement manager. Exporters are not required to manage distribution or a shopfront but must provide official marketing collateral to promote their products.<\/span><\/p>\n\n\n\n

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JD.com<\/span><\/h3>\n\n\n\n

JD is China\u2019s largest online, direct sales company<\/strong>. JD allows sellers to open individual shop fronts and can import food, beverage products, apparel, and shoes straight from overseas. JD\u2019s cross-border service, JD Worldwide<\/a>, allows merchants to sell straight to Chinese consumers without a Chinese presence.<\/strong><\/span><\/p>\n\n\n\n

JD distinguishes itself from Tmall Global via active global promotion of JD Worldwide (particularly in the U.S. and Australia) and the provision of a leading in-house logistics service. Furthermore, JD boasts a zero-tolerance policy with regard to counterfeit products.<\/span><\/p>\n\n\n\n

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JD Entry Requirements<\/span><\/h4>\n\n\n\n