Amazon China: The golden age of Chinese brand exports has arrived

Amazon China: The golden age of Chinese brand exports has arrived

In recent years, cross-border e-commerce has risen rapidly in China under the wave of consumption upgrades. Data show that from 2010 to 2017, China’s cross-border e-commerce scale increased from 1.3 trillion yuan to 7.6 trillion yuan, an increase of nearly five times. More predictable that by 2020, China’s cross-border e-commerce transactions will account for 37.6% of the total import and export volume.

In this context, even under the attack of domestic e-commerce giants such as Ali and JD.com, Amazon China’s cross-border e-commerce business is still booming.

In this regard, some insiders said that in terms of cross-border e-commerce, Amazon’s international brand resources make it difficult for domestic competitors to look back. However, due to different styles of competition, they failed to break into the first echelon of imported e-commerce. Under the Amazon, the export business represented by the global store is quite remarkable.

For the future, Amazon China Vice President Song Chunlei said that Amazon China will continue to focus on breaking geographical and product barriers through new technologies and equipment to create more cross-border consumption scenarios. At the same time, Amazon China will focus on user experience and realize cross-border business. Differentiated development.

Healthy development of cross-border business

Amazon has entered China for 14 years, and its overall market value has soared. Founder and CEO Jeff Bezos has become the world’s richest man, while its share in the Chinese market has shrunk, but Kindle, AWS (cloud service) and Businesses such as Global Sell are still strong. Behind the flourishing global store business is the overall benign development of Amazon China’s cross-border business.

Li Chengdong, an e-commerce strategist, said in an interview with the Daily Economic News that Amazon is a global e-commerce platform. Compared with some domestic e-commerce companies, Amazon has a natural advantage in upstream supply and supply chain. Environmental e-commerce may have become the basis of its position.

However, cross-border e-commerce also has pain points such as low product richness, anti-counterfeiting, distribution speed, and high logistics freight. In response, Amazon adopted a cross-border direct mail business model to lower the consumer threshold.

According to Amazon, its overseas purchase business has brought over 210,000 international brands and 20 million overseas products to Chinese consumers. At the same time, Amazon also revealed that the first overseas purchase of cross-border pre-positions has been laid out, making Amazon China the first e-commerce platform in China to achieve “orders are not under, parcels first” in cross-border areas.

In contrast, Amazon’s global store business is more noteworthy.

According to Peng Jialu, at the business model level, global stores have explored two new business models in China: the introduction of a direct mining model in which global sellers directly interface with Chinese manufacturers; and work with local governments to promote regional cross-border e-commerce export development. Cross-border electricity business park model.

The reporter learned that at present, Amazon’s global store has launched three “cross-border e-commerce parks” in Hangzhou, Xiamen and Ningbo. These cross-border e-commerce parks can build a localized cross-border e-commerce export industry service cluster and improve the development of cross-border e-commerce export industry chain.

It is worth noting that on the Amazon global store platform, Chinese sellers are particularly “birthful”. In the latest letter to the shareholders, Bezos pointed out that in 2017, in the global market, Amazon’s global store sales increased by more than 50%, and more than 20,000 SMEs have a turnover of more than $1 million on Amazon. Among them, Chinese sellers performed well.

In this regard, Li Chengdong believes that China has the world’s largest manufacturing base. At the same time, under the “education” of Taobao and Tmall, a large number of merchants and service providers have matured. It can be said that China has the best merchant resources in the world. Therefore, Amazon China has also been increasing its investment in cross-border e-commerce business.

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