You know ecommerce is insanely huge and fully ingrained in daily life in China when the country’s second largest online store booked US$71.6 billion in purchases in the past year. That’s the figure revealed today by JD, the closest competitor to Alibaba, in its newest earnings report.
Alibaba, which posted financials a few weeks earlier, is well ahead with a total of about US$460 billion worth of purchases on its Chinese shopping marketplaces in 2015.
Tencent, outside of China mostly known for WeChat, owns 20 percent of JD. JD has 155 million annual active customers.
Ecommerce in China is expected to go past $900 billion in 2016. By 2017 Ecommerce in China will be a trillion US-Dollar market.
Combine this with China leapfrogging in many parts of the country not only brick-and-mortar retail but also the desktop Internet and going straight to mobile commerce and the fact that China has cities with a population as large as France. One consequence of this is clear: the new shopping models to come out of China in the near future will be very interesting to watch and to learn from.
Already, companies like Zalando get inspiration for their overall strategies from looking at China. In more ways than one, a look at China is a look at the future of the Western world as well.