As we have shared in our previous blog, EVERY has set its sights on a China Launch, as the Chinese market is an important market for any global brand that has a strategic interest in e-commerce growth. It’s not just the economic buying power of the Chinese markets that make them an ideal market for EVERY; The Chinese market’s payment infrastructure is more technologically advanced than many western markets. Some would argue cash is nearly dead in China, as the majority of Chinese B2C physical commerce utilizes ecommerce and mobile payment systems.

Even though physical currency still exists in China, mobile payments apps like WePay or Alipay are the transactional norm. In 2018, China’s mobile payments hit $12.8 trillion (USD), more than 50 times the size of America’s $48.8 billion (USD) market according to data from eMarketer.

The preference of mobile payment systems versus cash is one of the many indicators that this market is ripe for continued technological change in the commerce space. Another indicator—Chinese ecommerce growth—is outpacing the growth of traditional retail sales according to the NBS of China, with an increase of 27% from November 2016 to November 2017 compared with a 6% increase in offline sales during the same period. Consumers consider mobile payments more convenient, while vendors prefer the security it offers by reducing the risk of theft and counterfeit currency. 

This points brands to a target market that is primed to make most or all of their purchases through an app or online, and where shoppers are also more comfortable with digital advertising. PwC wrote that 31% of Chinese consumers as likely to click on relevant ads, more than double the global average of 16%.  Accenture’s shopper study shows that 70% of Millenial and Gen Z Chinese shoppers prefer to buy directly from social media, as these shoppers are gravitating toward retail experiences that fit into their daily use of technology.

These statistics all point to a market primed for the next retail revolution. China is not a market that has to be convinced that ecommerce can be improved; Chinese consumers actively seek out a better way to purchase using technology, while brands and retailers are looking for more secure ways to conduct transactions. For EVERY, this makes the Chinese market a natural choice as we seek to roll out a platform that allows consumers to monetize their data for digital rewards that can be spent directly at partnering brands.