An aerial drone photo taken on Feb. 2, 2024 shows a cargo ship sailing in the main channel of Tianjin Port in north China's Tianjin. (Xinhua/Zhao Zishuo)

China's cross-border import e-commerce sector has stepped into a period of "upgrading development", according to a white paper on China's cross-border import consumption trends jointly released recently by JD Worldwide, a one-stop platform for consumption of imported and exported goods under JD.com, and NielsenIQ, a monitoring and data analysis company.

The white paper shows that driven by faster integration and concentration of online cross-border e-commerce platforms, and direct engagement of more brands in cross-border trade via these platforms, the cross-border ecology has taken shape. In addition, consumers' higher trust in cross-border e-commerce platforms further boosts the prosperity of the sector. Data shows that more than 80 percent of consumers are interested in buying imported goods.

Statistics from China's Ministry of Commerce show that in the past five years, the country's cross-border e-commerce trade had an over-ten-fold increase and there are over 120,000 players in this market segment. Cross-border e-commerce has not only promoted foreign trade, but also enriched consumers' choices.

-- Varieties and qualities of imported goods attract large numbers of consumers 

According to the white paper, from 2018 to 2023, China's cross-border import e-commerce rose from 444.1 billion yuan to 548.3 billion yuan; from 2017 to 2023, the cross-border import e-commerce users in China increased by nearly 20 percent annually, and the total number tripled in this period, reaching 188 million in 2023.

Meanwhile, consumers' growing trust in cross-border e-commerce platforms results in higher consumption frequency, larger consumption amount and more diverse shopping categories. Data shows that in almost the whole year past, 36 percent of consumers had a year-on-year increase in imported goods consumption, and 35 percent bought a greater variety of imported goods.

The thriving purchase demand is backed by abundant supply. Cross-border e-commerce has currently developed into a business model with coverage of all goods categories. In such a context, consumers' needs have become more diversified and refined, and quality remains the first cause of selecting imported goods. The white paper shows that 56 percent of consumers pay more attention to international brands and the product quality of overseas origins when buying imported goods.

With respect to category preference, the imported goods purchased over the past 12 months mainly involved beauty and skincare, personal care, nutrition and health, maternal and infant, food and beverage. Consumers attached more importance to the functionality and efficacy of products as well as raw materials and quality of origins.

For the categories with a higher growth trend like home appliances, fashion, household cleaning, alcohol and pet, consumers are mainly attracted by the professional and cost-effective features of products.

-- Foreign brands only need "three steps" to get access to the Chinese market 

Spurred by multiple factors such as favorable policies, improved infrastructure, enriched supplies and diversified demands, various platforms get integrated and concentrated, which pushes China's cross-border e-commerce sector into a period of "upgrading development".

This stage implies huge opportunities for foreign brands. The white paper proposes that Chinese cross-border e-commerce platforms can provide more diverse service modes to foreign brands, and that through a "three steps" strategy of low-cost test, brand mindset cultivation and brand scale exploration, foreign brands can easily get access to the Chinese market.

For the first step of the low-cost test, by overseas direct delivery, authorizing the self-run channels of cross-border e-commerce platforms and other means, foreign brands may leverage Chinese bonded warehouses to conduct low-cost trial runs and introduce new products, thus gaining the frontrunner advantage of brand awareness. For the second step of brand mindset cultivation, foreign brands may open stores for efficient interaction with users, achieving brand penetration. For the third step of brand scale exploration, foreign brands may expand client touchpoints like conventional e-commerce and offline distribution channels to promote brands in a big way.

Take JD Worldwide as an example, which provides self-run and platform-based cooperation modes to overseas brands. Under the fully managed pattern, potential partners like brand operators and retailers without local teams or agents in China may rely on JD's supply chain facilities and retail competency, and quickly gain access to the Chinese market at a lower cost. Those capable of running local e-commerce in China may also take advantage of JD's efficient logistics and diverse marketing resources to quickly start online sales and expand scale.

So far, a considerable number of foreign brands have achieved wider brand awareness and higher sales via JD Worldwide. From the perspectives of consumption scenarios, marketing ecology, quality, service and business attraction, JD Worldwide keeps optimizing and consolidating the opening-up ecology, effectively assists foreign brands in gaining access to the Chinese market, and is known as the first stop for foreign brands to enter the Chinese market.