Reaching Chinese Consumers in Seven Easy Steps

1. Ensure Your Supply Can Meet the Demand

Shoppers made to wait weeks on end for their orders while you struggle to meet demand are not likely to recommend you to friends or purchase from you again. So before you do anything, ensure you have the ability to ramp up production. While this is true of any expansion, it’s particularly crucial given the sheer population density of China.

 

2. Stand Out with Free Shipping

Our research shows that shipping cost is a major consideration for buyers - 46 percent of Chinese shoppers view free shipping as a must when buying from overseas online stores, and 50 percent feel the same about free return shipping. Offering free shipping can help your products rise above the rest.

 

3. Focus on a Product Line that is Already in Demand

Over the next year, Chinese shoppers are projected to increase spend across the board on products. That said, the top two categories for growth are leisure, hobby and outdoors goods (expected to grow 25 percent) and baby and children’s supplies (expected to grow 21 percent). However, healthy/beauty, entertainment, and clothing, footwear and accessories aren’t far behind (expected to grow 19 percent each). Here’s the top ten list of the most popular products that Chinese consumers buy online from overseas:

Make sure products in these categories are front and center when you market to Chinese shoppers.

UK retailers have a natural advantage over other European merchants. PayPal’s research found that when Chinese consumers shop overseas, they’re likely to buy from British sites, which ranked third in popularity behind only the US and Hong Kong.

 

4. Go Mobile

China has the world’s largest smartphone user base with over 521 million smartphone. When selling into China it’s simply impossible to ignore m-commerce - 68 percent of Chinese online shoppers have purchased via mobile in the past 12 months and that number is expected to grow dramatically in the coming years. You’ll likely fare better if you offer an app, as 59 percent of Chinese smartphone shoppers prefer them.

 

5. Invest in Translations

Nearly half (42 percent) of Chinese online shoppers said that having the website available in their language would encourage them to shop cross-border. By the same token, 46 percent cited "different language of websites, product descriptions and customer support" as a reason that they don’t shop cross-border more often. While China does have a number of dialects, Mandarin is the primary language used on the mainland and will appeal to the largest number of potential buyers.

 

6. Simplify Payment

Chinese consumers that purchase cross-border are after convenience first and foremost – 63 percent of them cite convenience as their main motivation for buying online (by comparison, only 47 percent of domestic-only online shoppers note the same for shopping online). So make information easily available, with clear and high-quality images. When it’s time to check out, offer wallet-less options like PayPal.

 

7. Know the Norms and Maximize the Mores

Every culture has its own taboos, customs and sales peaks. In China, Singles Day (November 11th) is the biggest retail opportunity of the year as single ladies and gents treat themselves by indulging in jewelry, clothing or electronics. In fact, it’s the biggest retail day in the entire world, with over $10 billion having been spent in a 24-hour period.

 

In terms of customs, many are aware that red is considered an auspicious color but fewer are aware that writing a person’s name in red ink is considered a sign of severing ties and should be avoided. Many Chinese shoppers also avoid buying items in sets of four, as the word for four in Cantonese sounds like the word for death. So when catering to Chinese customers, eschew sets of four in your packaging.

Original author: PayPal-Forward