China’s e-commerce sector booms

China’s e-commerce sector continues to expand, driven by unique mix of supporting factors in the country

Image by seoungwook Park from Pixabay

China’s e-commerce sector is booming, driven by exponential growth in its middle class. With the growth in urban living, many cities have not built expanses of retail buildings. Instead, the population has focused on online shopping.

During one peak shopping season, Alibaba’s Cainiao Network processed 1.3 billion orders within a 24-hour period.

Companies like Alibaba and JD have invested in their own delivery solutions, in contrast to the European approach of outsourcing deliveries.

Use of 5G, smart warehouses using automated guided vehicles and data platforms lining warehouse operators, contractors and distribution centres are common.

Chinese companies are placing great emphasis on innovative pick-up and inhouse delivery systems and unified communications.

Cainiao has now said it will add 30,000 community post stations in more than 100 countries. These delivery and collection pick-up stations, popular in large neighbourhoods, student campuses and factory complexes, now account for up to 10% of China’s e-commerce traffic.

According to China Daily, China’s logistics performance in the last decade has outperformed that of other BRICS (Brazil, Russia, India, China and South Africa) emerging economy nations. 

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