China top Ecommerce country to developp your eCommerce !
The index assesses the attractiveness of electronic commerce in 30 developing markets listed in the GRDI 2012. A summary of 10.
leader of the pack . $ 23,000,000,000 China online retail market , just behind the United States, up to the top of the E - Commerce Index.4 With an annual growth rate of 78 percent since 2006, the online retail market is expected to explode , to $ 81,000,000,000 over the next five years as the country's infrastructure improves and online purchasing behavior change .
China has 513 million of Internet users , the largest online population in the world, and 164 million online shoppers who are attracted by lower prices online , promotions and free shipping on operations to a certain price. Chinese online shoppers appreciate the opportunity to read online reviews and the opinions of stores, products and quality service to consumers. Consumer electronics and clothing are two of the most popular among online shoppers in China
. Clothing attracts more than half of all online shoppers ( men and women) in metropolitan areas , higher than in the U.S. percentage. Beauty is as popular, as nearly half of women online shoppers in major cities of China to buy cosmetics online.
Infrastructure challenges continue to thwart the potential of e -commerce in China, but only 34 percent of citizens use the Internet less than other markets due mainly to a large rural population that is less likely to use the Internet. The quality of the transport infrastructure of China also varies outside its metropolitan centers , inhibition of deliveries. In levels 1 and 2 cities, online shopping retail are usually delivered by courier , which are competitively priced with the express service premium offered by FedEx , UPS , DHL and EMS.
With an annual rate of 78 percent growth since 2006, the online retail market in China is expected to explode to $ 81,000,000,000 over the next five years.
Payment solutions such as Alipay is the most popular online payment form and are often the first option offered by major online retailers. COD exists but is less popular , and some retailers, such as amazon.com U.S. , cap the amount that can be paid by COD for security reasons . Luxury goods sales go even further . For example, Richemont , based in Switzerland has partnered with security companies such as Brinks to ensure delivery and payment , while others send two couriers to deliver the high priced items and ensure that the funds are filed correctly.
Chinese local retailers , including Taobao, Paipai and 360buy dominate the retail market online. 360buy , sale behind consumer electronics online, has increased in clothing, food , cosmetics and books. The company owns 16 percent of the market and is considered the version of Vintage China amazon.com . Leaders of international distribution , including Carrefour , Tesco and Wal -Mart trying to take market share in online national actors. Wal -Mart has a majority stake in the Chinese e-commerce company Yihaodian , allowing access to high-end clientele of the company and its extensive network of logistics. Other foreign retailers are far behind , with the Spanish clothing retailer Zara and the UK luxury goods online seller Net- A-Porter establish an online presence .
2 . Brazil:
a not so distant second . Brazil has 80 million users who spend $ 10.6 billion online per year , the highest in Latin America overall , and is expected to spend $ 18.7 billion in 2017.
Stores strong and growing middle class in Brazil online to get more " bang for the buck ." These buyers are price sensitive , without request shipping and payment terms without interest, and sites to purchase common search for the next big deal Group: In 2011, 10 million Brazilians have more than 20 million transactions on Groupon -like sites . Appliances and consumer electronics are the most common products sold online. Clothing sales online are marginal as fashion-savvy Brazilians still value the social experience of in-store shopping .source
Brazilian local retailers already have one foot in line with B2W ( Lojas Americanas owned by department stores) with 20 percent of the retail market online. Local electronics retailer Magazine Luiza is on a mission to increase its online presence by tapping into the largest database of social networking in Latin America. The company encourages consumers to open their own digital stores Luiza on Facebook and Orkut and sell products to friends and family. These social entrepreneurs are paid anywhere from 2.5 to 4.5 percent in commissions.
Although the market for e -commerce is booming in Brazil , the country has problems of logistics and security of online payments. To combat this , the Brazilian government has invested in the sea and air ports and strengthened its laws digital commerce .
3 . Russia:
a giant wakes online. Russia has the largest online population in Europe ( 60 million users ) and 15 million online shoppers. Russians also browse the Web regularly on their mobile phones , there are 1.8 mobile phones per person in the country. These market dynamics result in a retail online 9 billion, with growth expected to reach over $ 16 billion in 2016.via
To support the growth of online sales , Russia should treat its poor financial and logistical infrastructure and lack of confidence in the delivery of consumers. Russians are buying mainly with money , that only one in five households has a credit card. The country is also heavily dependent on rail for the transport of goods, if the products ordered online can take a week or more for delivery to the outer provinces . As a result, 70 percent of e -commerce sales in Russia are concentrated in Moscow and St. Petersburg, and 20 percent are in the second tier cities that have more than 1 million people.
Both domestic and foreign retailers invest in e-commerce transactions to position for future growth . Leading Russian grocer X5 Retail Group has recently launched an e -commerce site, while French retailer Auchan plans to establish collection points for online orders. In April 2012 , the Spanish clothing chain Mango has announced its intention to continue its expansion into online selling through its own web site and its partners .
The market for e -commerce in Russia is hampered by poor protection laws and active digital consumers , regular censorship of digital content, so that the key to growth is to build trust with Russian consumers . This is most often done by promotions and customer service . Ozon , for example, operates a 24-7 call center to answer questions and M.video offer a discount of 5 per cent for credit card orders online.
4 . Chile:
the hidden gem of Latin America. Advanced technology and telecommunications infrastructure and an active base of online shoppers have propelled Chile at a rate of growth of electronic commerce 27 percent since 2006 (see Figure 4). Sixty-one percent of Internet Chilean online store, the highest among 30 countries ranked in the GRDI users. However, due to the relatively small size of the Chilean market online, just $ 749 million in sales compared to Brazil's $ 10.6 billion it is easy to forget its immense potential .
2012 Index E -Commerce
Internet users in Chile are not afraid to buy online. The Chilean average household has four credit cards and spending $ 158 per year online, compared to $ 44 for the rest of Latin America. Over the next five years , the market for online retail in Chile is expected to double to 1.5 billion more people buy online.
Chile national retailers control the market , but international players are gaining ground. As such , a national retailer Falabella trying to stay one step ahead of the competition thanks to heavy investment in the online shopping experience . He has developed an e-commerce ground -up logistics network , Intelligent routing systems , track orders online, and a strong system of reverse logistics returns.
5 . Mexico:
the next star connection . Mexico is the second largest market for online sales in Latin America ( after Brazil) with 1.2 billion dollars in sales per year , and the rate of the fastest growing Internet penetration in the world. More Mexicans get access to the Internet, online sales are expected to almost triple to $ 4.4 billion in 2016.
Despite its potential, poor technological infrastructure hinders Mexico. The rate of Internet penetration is 31 percent, with users connecting especially at low speed to avoid paying for faster connections , but higher broadband prices. Yet , Mexico offers some of the most unique innovations e-commerce, such as BanWire system, which allows customers to purchase a product online , print a voucher , and pay for the product in person in a convenience store nearby .
International retailers looking to capitalize on the potential of Mexico. The Gap offers international delivery to Mexico on its website of the United States , its long-term goal is to exploit specific websites for each country that fulfill orders e -commerce in the country. The Superama chain Wal -Mart allows customers to order products online and either seek ( toll free) in the store two hours later or pay for home delivery within an hour .
UAE serves as a gateway to e -commerce markets in other rich oil from the Middle East with advanced technological infrastructure , strong retail sales, and a common Arabic.
6 . United Arab Emirates :
the gateway to the Middle East. The UAE enjoys a technological infrastructure , an active Internet user base and strong growth of retail . 76 percent personal computer penetration of households of UAE is the highest of all countries classified in GRDI , and its rate of Internet penetration of 78 percent leads to the Middle East. In addition, retail sales per capita of $ 9155 is on par with the United States and Sweden, indicating that residents of the UAE have money to spend on all channels of retailing.
Although the current market size of online retail ( 227000000 ) is relatively low , the UAE serves e -commerce gateway to other markets in the Middle East oil-rich with advanced technological infrastructure , sales retail high per capita and a common Arabic. Souq , an online retailer of leading the Middle East , has established websites in the UAE , Saudi Arabia, Jordan and Kuwait as part of a regional strategy. International retailers , such as Carrefour and brand Nespresso ( a unit of Swiss-based Nestlé ) , test the online sales in the UAE before expanding regionally . The site Carrefour UAE gives customers access to more than 3,000 articles, some of which are not sold in stores, free shipping for purchases over a certain amount.
However, some features may hinder the development of e -commerce UAE . Credit card penetration is low among local residents (although higher among expatriates ) and stores brick and mortar also offer free delivery in regular service , which reduces the convenience of shopping online.
7 . Malaysia :
next of e -commerce in Asia ? Half of all households have a PC in Malaysia , and 56 percent of the population is connected to the Internet. Malaysians are relatively heavy users of credit cards ( 1.1 cards per household) and debit cards (5.6 per household) , which facilitates online shopping . In addition , high quality logistics infrastructure of Malaysia ensures that retail purchases online can be delivered in a timely manner. The World Economic Forum , the quality of transport services in Malaysia is on par with the United States.
Active user base online Malaysia adopted e-commerce. More than half of users shop online and rely on personal recommendations , search engines , and special offers Internet to make informed purchasing decisions. Online sales level in today's retail of $ 250 million is expected to double over the next five years. Among the main challenges in e -commerce in Malaysia include cyber security concerns and the need to touch and feel the products before purchase.
Potential online Malaysia established , inter alia, Rocket Internet GmbH , which has developed and launched local versions of Zappos and Amazon , and Zalora Germany, an online fashion retailer in Singapore , which began its activities e-commerce in Malaysia in February 2011 and offers 48 hours delivery, cash on delivery COD , and 30 days free returns for all orders .
8 . Uruguay:
an urban stronghold . Uruguay has a user base of active online in urban areas and 48 percent Internet penetration the highest rates in Latin America . Uruguayan proved willing to shop online - 70 percent of Internet users make purchases online, the second largest country GRDI only in Chile . A very urban population also improves the reliability of deliveries. To this day, is one million small online retail market - $ 43 Uruguay , but sales are expected to double by 2016.
9 . Turkey:
a quiet success. Turkey has a strong logistics infrastructure that allows consumers to make purchases online and receive their products in a day or two . In fact , most online purchases less than 350 miles from Istanbul arrived in 24 hours. The country also has a committed Internet users spend an average of 30 hours online per month , half of all users to shop online database. The Turkish government has also helped the growth of electronic commerce by adopting numerical laws that protect consumers online and supervise business e-commerce .
$ 1.3 billion online market in Turkey has already attracted interest from many retailers and investors. For example, based in Turkey Dogan Online , which operates hepsiburada.com , recently bought evmanya.com ( a decoration website of the Turkish house), and is in talks with up to four other online retailers . In 2011, Naspers , the conglomerate of South African media , has acquired 70 percent of Markafoni , one of the largest sites online private sales in Turkey.
10 . Oman :
small but important. Oman has an advanced technological infrastructure to support electronic commerce and an active Internet user base . Half of Omani households own a PC and 62 percent of the population (about 1.7 million people ) are connected to the Internet . Omani citizens have , on average, more than one phone , including smart devices that connect to the Internet . Yet the market in Oman line remains low at 111 million.
In addition Omani buy consumer electronics online retailers brick and mortar noted . National retailer OHI Electronics has launched e-commerce transactions in 2011 as part of a multichannel strategy , and its site is remarkable to offer customers a unique and interactive shopping.
The path to profits
Success in the retail online requires patience , perseverance , and an ability to adapt to local markets. There are four key success factors to penetrate new markets, either online or through a multichannel strategy .
Develop a proposal for custom value. As in brick and mortar retail , e-commerce requires adaptation to local markets. A one-size- fits-all approach does not work because the online consumers in different countries have unique behaviors and make purchases on the Internet for different reasons . Success requires adjustment sites , payment methods , delivery options, and business models based on the needs of each market.
Manage the customer experience. The ability to order products at the click of a button and have them delivered to your home is a main advantage of online shopping. Thus, the management of the customer experience online browsing and buying the product delivery and return is critical. In markets where logistics are a challenge, a constant communication with customers about delivery times may help manage expectations and reinforce confidence
Conclusion Ecommerce !
Do not underestimate local actors. National companies dominate online retail in developing markets because they understand the local consumer preferences and challenges of electronic commerce and have developed well-established online retail in their country of origin skills. Even foreign retailers enter these local businesses continue to be formidable competitors .
Have a long-term vision . Launch of e -commerce operations in developing markets requires patience . It takes time to navigate a market, learn about online consumers , and build a brand online reputation.
Expansion and long-term Awards source
The race for the expansion of online retail in developing markets has already begun for international and garden retailers. E - commerce and multichannel integration in emerging markets offer great opportunities - to potentially lower risk investment than building stores bricks and mortar. The best path to success online retail is one that creates an immediate impact on developing markets and built a long-term benefit more .
1The conclusions GRDI 2012 , see " Global Retail Expansion : Keeps the means. "
2E- commerce is defined as the sale of consumer goods to the general public through the website is operated by line - only the dealer or store retailers .
3In this paper, the growth rates are CAGR .
4All monetary figures are in U.S. dollars unless otherwise specified, the size of the online market in the document refers to the sale