2022 Research Report on Chinas Cross border E-commerce Industry, with Huge Market Potential

Qiyun International, a one-stop comprehensive service provider for cross-border e-commerce logistics in Australia
Qiyun International Logistics has been engaged in dedicated logistics for Australia for many years, providing comprehensive services such as sea and air freight, FBA first leg, small package, warehousing and shipping, and overseas warehousing for cross-border e-commerce sellers in Australia. The company currently has a warehouse operating sorting center in Sakata and Fuyong, with an average of loading containers twice a week.
The logistics channels are rich, covering large and small goods, as well as sensitive goods channels such as general goods, electrified goods, and counterfeit goods, while meeting the shipping needs of different customers. In terms of sea transportation, independent container loading, stable delivery time, and significant price advantage; In terms of air transportation, we have reached a long-term strategic cooperation with China Southern Airlines logistics, import and export customs clearance companies, etc., with stable channels and efficient customs clearance.
First hand resource channels, with standard price channels and promotional price channels, maintain low market prices for receiving goods year-round. Large and small goods, general goods, and sensitive goods all have price advantages. The price is open and transparent, with no hidden costs. There is a strong promotion during the off-season, while prices remain stable during the peak season.
Under the influence of the epidemic, the "homestead economy" has become mainstream, consumer demand is accelerating its shift to online, and global e-commerce sales are growing rapidly. According to eMarketer data, global e-commerce sales will exceed $5 trillion for the first time in 2022, and the global e-commerce penetration rate will reach 20.3%.
At the same time, intensified market competition has also prompted China's cross-border e-commerce industry to develop towards diversification. The "2022 China Cross border E-commerce Industry Research Report" produced by 36Kr Research Institute provides an in-depth analysis of the current situation and trends of China's cross-border e-commerce industry. Take a look at the key content.

1、 Overview of Cross border E-commerce Industry
According to online economic and social data, the transaction scale of China's cross-border e-commerce industry reached 14.2 trillion yuan in 2021, a year-on-year increase of 13.6%. Under the increasing uncertainty of global trade policies and the Amazon account suspension wave, the scale of cross-border e-commerce transactions in China still maintains a high-speed growth trend, with a compound annual growth rate (CAGR) of 16.2% in the past five years.
Multidimensional factors have driven the development of cross-border industries. From the demand side, the global e-commerce penetration rate is accelerating, and China's cross-border e-commerce import and export demand is strong. In terms of policies, China's cross-border e-commerce regulatory policies are constantly improving, and the institutional system is gradually maturing, promoting the standardized development of the cross-border industry.
In addition, in recent years, digital technology has developed rapidly and fully penetrated all aspects of the cross-border e-commerce industry, becoming an important driving force for promoting innovation in the cross-border e-commerce industry model and efficiency transformation. With the increase of new service providers in cross-border e-commerce such as SaaS and marketing, the cost of website construction has decreased. More and more brands are turning to building their own websites, and independent websites have become a new trend in the development of the cross-border e-commerce industry.
2、 B2C branding and multi-channel layout
The 2021 Amazon account suspension wave has had a huge impact on cross-border sellers. While platform regulation is becoming stricter, as market competition intensifies, suppliers with weak brand power are more likely to fall into homogeneous competition and can only continue to operate by lowering prices.
Branding has become an important breakthrough point for suppliers to achieve growth. Branding operations can accumulate highly viscous private domain traffic, promote sellers to establish their own supply chain system, and form a sustainable competitive advantage with a positive cycle. In the independent website mode, merchants can directly interact with consumers through native content exposure and brand exposure, while obtaining user data, and based on this, carry out precise marketing and user cultivation, thereby achieving the accumulation of brand value.
The collaborative layout of third-party platforms and independent sites can reduce risks, and the differentiated operation of multiple channels can attract traffic from each other, expand and deepen customer value.
3、 Creating competitive advantages for overseas brands
The report takes the cross-border B2C fast fashion e-commerce platform SHEIN as an example to analyze from which perspectives enterprises can shape brand product advantages. SHEIN products have a strong competitive advantage in pricing, with fast and diverse product categories, which can better meet the needs of consumers.
In addition to building a complete and efficient supply chain system to achieve fast and high-quality product delivery, Facebook agent YinoLink suggests that sellers can also use Google Trends and other tools to capture real-time trends, understand consumer preferences, and continuously enhance consumer stickiness.
In terms of marketing, SHEIN has been using internet celebrity marketing strategies since its establishment, collaborating with KOLs through exclusive discounts, commissions, and other means to enhance its brand image. At the same time, by advertising through channels such as Facebook and Google, as well as operating social media channels such as Instagram and TikTok, a marketing matrix is created to effectively enhance the brand's competitive advantage.
4、 Development trends in cross-border industries
1. The market potential for cross-border e-commerce support service providers is enormous
Cross border e-commerce logistics, payment, SaaS services, digital marketing and other support service providers rely on digital technology to assist in optimizing and improving the entire process of cross-border e-commerce, greatly improving industry operational efficiency.
2. The industry pattern is concentrated towards the top
The number of market participants is constantly increasing, and competition is deepening. Overall, China's cross-border e-commerce market is mainly dominated by mid to mid-range enterprises, but the industry pattern is concentrated towards the top with core competitive barriers.
3. Branding, diversification, and refinement have become new trends in development
Establishing a unified product system with a unified tone, understanding changes in consumer demand, implementing precise marketing strategies, strengthening digital operation capabilities, and highlighting brand image will become the key for cross-border e-commerce enterprises to break through in the context of intensified homogeneous competition.