Sample Report: China B2C E-Commerce Market 2015

We deliver the facts – you make the decisions

RESEARCH ON INTERNATIONAL MARKETS

Provided by

September 2015



2 2

PREFACE

Market reports by yStats.com inform top managers about recent market trends and assist with strategic company decisions.

A list of advantages

yStats.com provides secondary market research: By using various sources of information we ensure maximum objectivity for all obtained data. As

a result companies get a precise and unbiased impression of the market situation.

Only reliable sources such as national and international statistical offices, industry and trade associations, business reports, business and

company databases, journals, company registries and news portals are used as a basis for the analyses, statistical reports and forecasts.

Our international employees research and filter all sources and translate relevant information into English. This ensures that the content of the

original studies is correctly interpreted.

yStats.com delivers all research results as PowerPoint files. All data can therefore be used directly for board presentations or be individually

adapted.

If required, yStats.com provides in-depth analysis for all research projects. Simply send us a request.

Terms of use and copyright conditions

This report is copyrighted. All rights reserved and no part of this report may be reproduced, stored in a retrieval system or transmitted in any form

without the prior permission of the publishers.

The information in this report does not constitute the provision of investment, legal or tax advise. Any views expressed reflect the current views of

the original authors, which do no necessarily correspond to the opinions of yStats.com GmbH & Co. KG.

The information in this report is provided for informational purposes only and without any obligation, whether contractual or otherwise. No warranty

or representation is made as to the correctness, completeness and accuracy of the information given or the assessments made.

We have taken every precaution to ensure that details provided in this report are accurate. The publishers are not liable for any omissions, errors

or incorrect insertions, nor for any interpretations made from the document.

© Copyright 2015. yStats.com GmbH & Co. KG, 22765 Hamburg, Germany.



LEGAL NOTICE

The licensing structure is as follows:

• A Single User License: allows one (1) user to access the downloaded report.

• A Site License: allows up to ten (10) users of a company within a specified geographic area (i.e. country) to access

the downloaded report.

• A Global Site License: allows up to ten (10) user of a company worldwide to access the downloaded report.

3

This report is subject to the Terms & Conditions of yStats.com GmbH & Co. KG, which can be found at

yStats.com. By selecting a particular license, you agree to the Terms & Conditions which pertain to said

license. Please be aware that any misuse of this product or any use not in accordance with the

aforementioned Terms & Conditions will result in legal action.



4

Methodology (1 of 2)

The reports are compiled based on secondary market research. Secondary research is information gathered from previously published

sources. Our reports are solely based on information and data acquired from national and international statistical offices, industry and trade

associations, business reports, business and company databases, journals, company registries, news portals and many other reliable sources.

By using various sources we ensure maximum objectivity for all obtained data. As a result, companies gain a precise and unbiased impression

of the market situation.

Cross referencing of data is conducted in order to ensure validity and reliability.

The source of information and its release date are provided on every chart. It is possible that the information contained in one chart is derived

from several sources. If this is the case, all sources are mentioned on the chart.

The reports take into account a broad definition of B2C E-Commerce, which might include mobile commerce. As definitions may vary among

sources, exact definition used by the source (if available) is included at the bottom of the chart.

Our reports include text charts, pie charts, bar charts, rankings, line graphs and tables. Every chart contains an Action Title, which summarizes

the main idea/finding of the chart and a Subtitle, which provides necessary information about the country, the topic, units or measures of

currency, and the applicable time period(s) to which the data refers. With respect to rankings, it is possible that the summation of all categories

amounts to more than 100%. In this case, multiple answers were possible, which is noted at the bottom of the chart.

Reports are comprised of the following elements, in the following order: Cover page, preface, legal notice, methodology, definitions, table of

contents, management summary (summarizing main information contained in each section of report) and report content (divided into sections

and chapters). When available, we also include forecasts in our report content. These forecasts are not our own; they are published by reliable

sources. Within Global and Regional reports, we include all major developed and emerging markets, ranked in order of importance by using

evaluative criteria such as sales figures.

If available, additional information about the data collection, for example the time of survey and number of people surveyed, is provided in the

form of a note. In some cases, the note (also) contains additional information needed to fully understand the contents of the respective data.

When providing information about amounts of money, local currencies are most often used. When referencing currency values in the Action

Title, the EUR values are also provided in brackets. The conversions are always made using the average currency exchange rate for the

respective time period. Should the currency figure be in the future, the average exchange rate of the past 12 months is used.

The reports include mainly data from the last 12 months prior to date of report publication. Exact publication dates are mentioned in every chart.

4



5

Methodology (2 of 2)

This country report covers major trends in the B2C E-Commerce market, sales figures, B2C E-Commerce share of the total retail market, the

main online product categories, and relevant information about Internet users, online shoppers and leading E-Commerce companies.

The report starts with an overview of the B2C E-Commerce market and international comparisons, where the relevant country is compared to

other countries worldwide and in the region in terms of criteria relevant to B2C E-Commerce.

The “Trends” section includes an overview of trends on the B2C E-Commerce market, such as social commerce, cross-border and M-

Commerce trends.

The section “Sales & Shares” includes the development of B2C and total retail E-Commerce sales, including historical sales and forecasts.

Furthermore, this section shows the development of B2C E-Commerce share of the total retail market.

In the “Users & Shoppers” section, a review of the development of Internet users and Internet penetration is included. Moreover, the evolution

of the online shopper penetration is shown.

Afterwards, the section “Products” shows the leading product categories among online shoppers.

The next two sections, “Payment” and “Delivery”, cover information related to B2C E-Commerce delivery and payment methods most used by

online shoppers.

Finally, the “Players” section includes information about the leading B2C E-Commerce players, such as online marketplaces and retailers.

5



6

Definitions

The following expressions and definitions are used in this B2C E-Commerce market report*:

B2C E-Commerce: the sale of products (and services) through electronic transactions via the Internet from businesses to consumers.

B2C E-Commerce Sales: the total sales generated either on the B2C E-Commerce market in a certain country or region, or the total sales

generated through B2C E-Commerce by a player on the market.

Gross Merchandise Volume (GMV): total value sales of merchandise sold through online marketplaces and other E-Commerce websites.

M-Commerce: M-Commerce, also called “Mobile Commerce”, means the sale of products (and services) through electronic transactions via

mobile devices, such as mobile phones, tablets and smartphones.

Cross-Border B2C E-Commerce: sale of goods (and services) directly to consumers in other countries, with orders made online through foreign

online shops and delivered from the country where the foreign shop is based or from a central logistics facility, i.e. across the country’s borders.

Social Commerce: sale of goods (and services) that involves the use of social media, such as social networks.

Internet Users: the total number of inhabitants in a certain country that regularly accesses the Internet.

Online Shoppers: the total number of inhabitants in a certain country or region that participates in B2C E-Commerce.

Online Classifieds: an online platform, where both consumers and businesses can publish small advertisements about the sale of goods and

services.

Group Buying: websites offering products and services at significantly reduced prices, under the condition that a minimum number of buyers

would make the purchase.

Third-Party Online Payment: payment made online for a purchase on a merchant’s website and processed by an independent payment

provider.

6

Note: *the definitions used by the original sources might differ from the ones stated on this chart; the exact definition used by each source, where available, is included on the respective charts



7

1. Management Summary

2. Overview and International Comparisons

• B2C E-Commerce Overview and International Comparisons, September 2015

• B2C E-Commerce Sales, by Selected Countries Worldwide, incl. China, in USD billion, 2009, 2014 & 2019f

• B2C E-Commerce Share of Total Retail Sales, by Selected Countries Worldwide, incl. China, in %, 2014 & 2019f

• B2C E-Commerce Sales CAGR, by Selected Countries Worldwide, incl. China, in %, 2009-2014 and 2014-2019f

• Top 10 Countries Worldwide by Retail E-Commerce Sales, incl. China, in USD billion, and in % CAGR, 2013 - 2018f

• Top 10 Countries Worldwide by Number of Internet Users, incl. China, in millions, 2013 - 2018f

• Top 10 Countries Worldwide by Number of Smartphone Users, incl. China, in millions, 2013 - 2018f

• Leading Activities in Terms of Times Spent Online, in % of Internet Users who Use the Internet at Least Once a Week, by Selected

Countries Worldwide, incl. China, July 2014

• Online Shopping Destinations, in % of Internet Users Who Use the Internet at Least Once a Week, by Selected Countries Worldwide, incl.

China, July 2014

• Products Purchased Online, in % of Online Shoppers, by Selected Countries Worldwide, incl. China, July 2014

• Online Shopper Penetration, by Selected Emerging Markets, incl. China, in % of Adult Internet Users, May 2014

• Internet Penetration in BRIC, by Country, incl. China, in % of Population, 2014

• Internet Penetration in Asia-Pacific, by Country, incl. China, in % of Population, 2013 - 2018f

• Share of Respondents who Made at Least One Purchase Online in the Previous Three Months in Asia-Pacific, by Country, incl. China, in %,

Q4 2014

• Mobile Shopper Penetration in Asia-Pacific, by Country, incl. China, in % of Respondents, 2012 – 2014

• Breakdown of Frequency of Cross-Border Online Shopping in Asia-Pacific, in % of Online Shoppers, by Country, incl. China, April 2015

Table of Contents (1 of 3)



8

3. Trends

• B2C E-Commerce Trends Overview, August 2014

• Number of Mobile Shoppers, in millions and in % of Mobile Internet Users, 2012 – 2014 & June 2015

• M-Commerce Sales, in CNY billion and in % of Retail E-Commerce Sales, by Comparative Estimates, 2013 - 2018f

• Cross-Border Online Shopper Penetration, in % of Online Shoppers, 2014

• Cross-Border E-Commerce Sales, in CNY trillion, 2013 & 2014

• Cross-Border E-Commerce Imports, in CNY billion, 2013 & 2014e

• Breakdown of Cross-Border E-Commerce Imports, by Product Categories, in %, 2014

• Product Categories Most Purchased in Cross-Border E-Commerce, in % of Cross-Border Online Shoppers, August 2014

• Most Popular Countries in Cross-Border B2C E-Commerce, in % of Online Shoppers, August 2014

• Share of Online Shoppers Who Purchased Online after Seeing the Product or Promotional Message on Social Media, in %, 2014

4. Sales & Shares

• Historic B2C E-Commerce Sales, in USD billion, by Comparative Estimates, 2009 - 2014

• B2C E-Commerce Sales Forecasts, in USD billion, by Comparative Estimates, 2014 - 2019f

• Historic Retail E-Commerce Sales (incl. C2C and B2C), in USD billion, by Comparative Estimates, 2009 – 2014

• Retail E-Commerce Sales Forecasts (incl. B2C and C2C), in USD billion, by Comparative Estimates, 2013 - 2019f

• Comparative Estimates of B2C E-Commerce (incl. C2C) Share of Total Retail Sales, in %, 2013 - 2019f

5. Users & Shoppers

• Internet Penetration, in % of Population, 2010 - 2014

• Number of Internet Users, in millions, and in % Penetration, 2013 - 2018f

• Number of Online Shoppers, in Millions, and in % of Internet Users, 2010 – 2014 & June 2015

6. Products

• Product Categories Purchased Online, in % of Online Shoppers, 2013 & 2014

• Product Categories Purchased Online in the Previous 3 Months, in % of Online Shoppers, February 2015

• Average Annual Online Spending and Number of Online Purchases, by Product Category, February 2015

• Share of Internet Users Purchasing Groceries Online and Intending to Purchase Groceries Online, in %, September 2014




9

7. Payment

• Payment Methods Used in Online Shopping, in % of Online Shoppers, 2014

• Online Payment Methods Used, in % of Online Payment Users, 2014

• Alipay’s Share of Total Payments for Online Purchases, in %, 2010 and 2014

8. Delivery

• B2C E-Commerce Delivery Overview, September 2015

• Main Considerations When Buying Online, incl. Delivery, in % of Online Shoppers, 2014

9. Players

• B2C E-Commerce Player Overview, September 2015

• Overview of Selected Major E-Commerce Investment Deals, 2014

• Overview of Selected Major E-Commerce Investment Deals, January 2015 - August 2015

• Breakdown of B2C E-Commerce Market Share by GMV, in %, 2014 & Q2 2015

• B2C E-Commerce Sales of Top 10 B2C E-Commerce Companies by Market Share, in CNY billion, 2014

• E-Commerce Brand Awareness, in % of Online Shoppers, 2014

• Profile of Tmall, September 2015

• Profile of JD.com, September 2015

• Profile of Vip.com, September 2015




1. Management Summary 10 – 12

2. Overview & International Comparisons 13 – 29

3. Trends 30 – 40

4. Sales & Shares 41 – 46

5. Users & Shoppers 47 – 50

10

Table of Contents

6. Products 51 – 55

7. Payment 56 – 59

8. Delivery 60 – 62

9. Players 63 – 74



11

In June 2015, the number of online shoppers in China reached 374

million, accounting for 56% of Internet users.

China: Number of Online Shoppers, in Millions, and in % of Internet Users, 2010 – 2014 & June 2015

161 194

242

302

361

374

35.1%

37.8%

42.9% 48.9%

55.7% 56.0%

0%

20%

40%

60%

80%

100%

0

100

200

300

400

500

2010 2011 2012 2013 2014 June 2015

Online Shoppers in % of Internet Users

in %

of In

tern

et U

sers

in m

illio

ns

Note: includes mainland China only, excludes Hong Kong, Macao and Taiwan

Survey Chinese residents who have used Internet in the previous 6 months; ages 6+

Source: China Internet Network Information Center (CNNIC), January 2012, January 2014, January 2015, July 2015



12

In 3 months to February 2015, “Apparel” (66%) was the product

category most purchased by online shoppers in China.

China: Product Categories Purchased Online in the Previous 3 Months, in % of Online Shoppers,

February 2015

3%

7%

9%

10%

13%

14%

21%

21%

26%

27%

29%

29%

37%

40%

66%

0% 20% 40% 60% 80% 100%

Luxury

Insurance

Games

Mom & Baby Products

Large Appliances

Fresh Food

E-Tickets

Travel Products

Books & A/V

Household Care Products

Small Appliances

Consumer Electronics

Skin Care & Cosmetics

Packaged Food

Apparel

in % of Online Shoppers

Note: does not add up to 100% due to multiple answers possible

Survey: based on a survey of 6,183 Internet users in China, in Tier 1 to Tier 4 cities, as well as rural areas, out of which 56% were male and 44% female

Source: McKinsey cited by China Internet Watch, March 2015



Information on Social Media?

www.twitter.com/ystats

www.facebook.com/ystats

www.slideshare.com/ystats

www.scribd.com/ystats

www.linkedin.com/company/ystats

13 13

Contact or Follow us

Copyright of cover picture by Fotolia.com

How to contact yStats.com?

yStats.com GmbH & Co. KG

Behringstrasse 28a

22765 Hamburg

Germany

Phone: +49 (0) 40 - 39 90 68 50

Fax: +49 (0) 40 - 39 90 68 51

[email protected]

More News?

Please subscribe to our

Newsletter on www.ystats.com

Customized Research

You need more Research?

Sample Report: China B2C E-Commerce Market 2015

Business