PayPal Stories Archive

5 things your business should know about Chinese New Year
1. It’s a huge ecommerce opportunity
 
This year, Chinese New Year falls on Friday 16th February. 
 
It is the biggest annual celebration for China and Chinese people everywhere. In China, it’s a week-long holiday and all around the world it’s a reason for families to gather together and exchange gifts. In fact, it’s been called the world’s largest human migration.
 
China is the world’s biggest ecommerce market, worth $1.1 trillion and forecast to reach 40.8% of all Chinese retail sales by 2021(1). 
 
There are 1.4 billion people in China and an estimated 50 million “Overseas Chinese” around the world. That makes a lot of eager shoppers.
 
2. Chinese New Year is mobile
 
For many people in China, their smartphone is their only internet connection. The country has 731 million internet users and 95% of those have smartphones(2).  
 
According to PassPort, PayPal’s guide to international ecommerce markets, China’s mobile ecommerce was set to grow by a massive 96%.
 
By the end of 2018, mobile is forecast to reach 75% of all China’s ecommerce sales(3). 
 
If you’re a seller targeting Chinese shoppers, being mobile-ready is critical.
 
3. It’s international, too
 
Gift-giving is a serious business. The quality of a gift and the consideration shown are important for showing respect. As a result, Chinese people (already keen shoppers) spend a lot of time looking far and wide for the perfect present.
 
According to PassPort, 36% shopped on international sites using their mobiles. 
 
PassPort also shows the most important enablers and barriers to international shopping for Chinese consumers. These include the need for “Safe Payments” and a preference to pay in their own currency. 
On the flip side, a seemingly difficult returns process is a serious discouragement to buying online. Why not set shoppers’ minds at ease by promoting PayPal’s Return Shipping On Us programme on your site? With Returns on Us, PayPal covers the cost of returning goods for shoppers. You can see the details, here.
 
And, you can check out the Chinese market (along with many others), on PassPort.
 
4. Chinese shopping behaviour is different
 
The Chinese love online shopping, but their approach is different to Western shoppers. According to Boston Consulting Group(4),  they are looking for a richer experience, rather than a purely efficient one:
“[Chinese] consumers like to spend time in a discovery-driven online world of energetic chaos where shopping is an adventure.”
 
If you’re gearing up for Chinese New Year, think about how you can tailor your shopping experience to better engage your audience.
 
5. New Year shopping lasts longer than you think
 
The lead up to Chinese New Year is a big shopping period, with consumers often buying well in advance.
But, the period after New Year is equally important. Hongbau – those famous little, red envelopes filled with cash – drive a desire for more shopping. New Year is also traditionally the time for salary bonuses. 
 
So, don’t take down your special offers too soon.
 
 
 

PayPal Stories Staff 

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