The latest IDC report said ecommerce sales have been thriving in China for several reasons, particularly highlighted by the success of China’s “11.11” shopping festival in 2024. A combination of policy support, market trends, and evolving consumer behavior has fueled this growth.
Government Policies Boosting Consumption
The introduction of national policies aimed at stimulating consumer spending, such as the “Action Plan for Promoting Large-scale Equipment Renewal and Consumer Goods Trade-in,” directly encouraged consumers to purchase new electronics. Discounts up to 20 percent were offered on products through major ecommerce platforms, creating a strong incentive for shoppers to spend online rather than offline.
Surge in Device Upgrades and Gaming Demand
The release of popular games like Black Myth: Wukong sparked demand for high-performance gaming PCs, while the back-to-school season accelerated device replacement cycles globally. These factors pushed the “11.11” shopping period earlier in 2024, creating a surge in ecommerce sales well before the traditional peak.
Ecommerce Outpaces Offline Sales
Ecommerce channels have increasingly dominated sales, particularly in markets like PCs and smartphones. During the “11.11” period, online platforms accounted for 45 percent of China’s overall PC shipments. Similarly, ecommerce shipments for mobile phones grew rapidly, with over 48 percent of smartphone sales happening online, surpassing offline sales.
Convenience and Transparency of Online Shopping
Consumers have continued to favor online platforms due to their ease of use, transparency, and flexible payment options. The combination of convenience and government-backed incentives has driven more people to purchase through ecommerce platforms, supporting their growth relative to offline channels.
Strong Sales in Tablets
The tablet market showed strong growth, driven by large ecommerce platforms. With shipments of tablets through online channels expected to account for 47.5 percent in Q4 2024, ecommerce has proven essential for sustaining this market segment.
In summary, ecommerce’s success in China is propelled by strategic government policies, a shift in consumer habits, and the ongoing convenience of online shopping. This trend is expected to continue as ecommerce platforms offer better deals, easier shopping experiences, and more efficient transactions compared to traditional retail.
