Chinese Ecommerce to Reach US$1.6 Trillion by 2025

china e-commerce

Insights into the growth of China ecommerce profiling payment methods, target audiences, marketing, social media, economy and logistics

Economy

China is home to 1.4 billion people with a total GDP of US$16.8 trillion USD. GDP per capita is currently US$11,95 and expected to reach US$17,006 by 2026.

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Digital User Insights

There are currently 987 million ecommerce users in China, to reach 1.2 billion by 2025. The average user spends US$1276 online, which will grow to US$1336 by 2025.

Product Categories

Total ecommerce revenue across all product categories is US$1.2 trillion, expected to reach US$1.6 trillion by 2025. Fashion is currently the leading product category, accounting for US$330 billion market share. Toys, Hobby & DIY is second, accounting for US$321 billion .

By 2025, Fashion will still lead, valued at US$454 billion. Toys, Hobby & DIY will also grow, reaching US$441 billion.

Logistics

In 2018, China was ranked 26th in the World Bank Logistics ranking making it among the easiest countries in the world to deliver to. 56% of China’s population reside in urban areas.

Preferred Online Payments

In 2020, 60% of Chinese online shoppers paid by e-wallet, with the next most popular payment method being cards (18%), bank transfer (9%) and cash on delivery (6%).

Where does China buy from?

China imports from South Korea (US$160 billion), Japan (US$139 billion), United States (US$119 billion), Germany (US$109 billion), and Chinese Taipei (US$97.4 billion).

Internet and Device Usage

Internet penetration in China is currently at 70%. Smartphone penetration is 67% and is projected to grow to 75% by 2025.

55% of online shoppers in China shop online via mobile or smartphone. 30% of shoppers make purchases via tablet, and 29% made their most recent purchase via PC.

china e-commerce

Marketing

Total Marketing spend in China has risen in recent years, as advertisers steadily invest more in digital advertising. Digital has grown to the highest market spend reaching US$76.8 billion.

Social Media

China’s Social Media Penetration is 64% in 2021, with this expected to surpass 56% by 2023.  WeChat, Sina Weibo, the short video app Kuaishou, and its domestic rival Douyi are the leading social networks.

For more market insights, check out the ESW series of blogs covering a range of emerging ecommerce markets.

*Insights derived from ESW data, Statista, WorldBank, OECD and other industry sources.

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