E-commerce enables Chinese people to loose the purse

Online, October 10, 2009 (Newswire.com) - News from Reuters News Agency, the rise of online shopping will enable China to become the world's largest consumer market.

In recent years, the most popular topic is: Chinese people's spending is too little. Yet, this country is now thriving online retail business, which indicates that the young and affluent consumers who will be there, they will change the next decade global economy.

Dong Tao, the economist of Credit Suisse Hong Kong department mentioned in the latest report that the growth of Chinese consumers structure will produce China's economic growth model and change the global landscape. We expect that by 2020 China will surpass the US as the largest consumer market.

Furthermore, the new global consumption order in China's Internet shopping boom is clearly visible.

According to online market research firm iResearch market consultation data, China's e-commerce sales is up to 91 percent over last year in this second quarter, reaching 56.36 billion Yuan, namely 8.26 billion US dollars. At the same period, China's total retail sales of social consumer goods grew by 15%, Chinese e-commerce sales growth rate greatly exceeded the total retail sales of social consumer goods.

Taobao.com is China's largest online auction site, there were 145 million registered members, accounting for about 43% of whole country's Internet users, and well-known as "China's eBay". Taobao.com is expected two times in 2009 from the advertising revenue than the last year, and increases to 300 to 400million Yuan.

E-Commerce is not only an example of China's consumption increase, but also for shoppers to provide a springboard for removing obstacles for them.

Although China has invested heavily in infrastructure, but those remote places are still in a period of scarcity. Retailers are rushing to set up sales in China's internal Web site to win those outside potential customers.

According to a survey conducted by consultancy firm McKinsey, the residents of poorer city who are willing to shop online are 21% more than affluent cities, even though the former's network penetration is relatively low.

For retailers, the message is obvious: Internet sales.

As a retailer in e-commerce, ePathChina.com (www.epathchina.com) considers online retail is booming in China, and quietly changing people's consumption habits, which lead a special and far-reaching impact to China's younger generation.

Besides, epathchina.com (www.epathchina.com) thinks this is a huge broad potential market and will not ignore the perfect opportunity. Epathchina.com will broaden sales in the form of online spending in the coming years.