China is the world's number one eCommerce market, expected to reach USD $5.8 trillion by 2020. But did you know that nearly 75% of the Chinese population uses smartphones, and more than half of online sales are made through mobile devices? Contrast this with figures from the United States, which is slated to only reach 45% of eCommerce spending on mobile by 2020.
For eCommerce merchants, these figures are important, especially for online business owners who want to grow their global client base and leverage China as the world’s largest and fastest-growing eCommerce market.
Let’s look at this explosive growth in Chinese mobile eCommerce and how you can use it to benefit your business!
Between now and 2019, the leading ad spending channel is expected to be mobile, as more and more Chinese online consumers flock to smartphones and tablets to shop, socialize and otherwise spend their time bathed in the soft, blue glow of their omnipresent smart devices.
The lion’s share of mobile ads can be attributed to Baidu, Alibaba and Tencent, expected to take in over 72% of all mobile ad revenues in China in 2017. Alibaba Group, China’s leading eCommerce retailer, is expected to earn $6.02 billion in mobile ad revenue this year.
Since the Chinese mobile advertising technology ecosystem is evolving so quickly, it's important to partner with agencies that are experienced in monetizing international traffic. Quickly and efficiently establishing a foothold in China means understanding the market,user habits and unique dynamics that make up the Chinese mobile ad market.
If your website isn’t optimized for mobile yet, you risk losing sales by making it extra difficult for your customers to shop on smaller screened devices. Imagine your online guests pinching and zooming, squinting and grimacing as they try to view and purchase your products.
You can make it simpler to do business by enabling mobile responsiveness, which automatically changes the screen layout, font size and other elements of your website to conform to the device used by your prospective client. Most website designers and template themes are now responsive.
As of April 2015, Google Search expanded its use of mobile-friendliness as a ranking signal. So it’s really a no brainer – if your site isn’t easy to read on a mobile device, not only will prospects have a hard time buying your goods or services, it will also impact your Google search results. Is your website mobile-friendly? Use Google’s free tool to test it out.
Accepting UnionPay is a simple way to let the lucrative Chinese market know you mean business. With minimal investment, you can reach millions of potential new clients, increase sales and reduce checkout friction by allowing foreign buyers to pay more easily using their preferred payment card.
In partnership with more than 1,000 institutions worldwide, UnionPay International provides high quality, cost effective and secure cross-border payment services to the world’s largest cardholder base. Over 6 billion UnionPay cards have been issued globally and 40 countries and regions outside the Chinese Mainland have issued UnionPay cards.
Did you know that UnionPay credit cards make up only 10% of total cards issued? 90% are actually PIN debit cards. GlobalOnePay ensures you can accept 100% of all UnionPay cards, both credit and debit.
As a Principal Member of UnionPay International, GlobalOnePay also provides a direction connection to UnionPay, giving you direct access to the world’s largest online retail market, quickly and easily.
GlobalOnePay is all about expanding growth opportunities for our merchants, domestically and internationally. UnionPay International is a prime example of how merchants can leverage a worldwide payment processing platform to grow by accessing new markets and more potential customers.
Competition is fierce among online vendors targeting consumers in China and around the world. Those that can differentiate themselves from rivals and make it a friendly, simple process for customers to shop – especially on mobile – will benefit for years to come. Contact us to get started.
Rod R Katzfey, Senior Vice President, International Acquiring, began his career in banking prior to moving into the merchant services arena. Initially hired as a street-level commission sales rep in June 1996 for FDMS, Rod saw quick success in sales and quickly began to mentor other sales reps and take on management roles. This success has led to growth in his 25+ Years in the Electronic Payments Industry; International and US Domestic Processing, Banking, Payment Gateway & Gift Cards (Open, Closed Loop and Network). Rod is continuously working on ways to differentiate the organizations he represents while also being known for his “out of the box” thinking and approach to challenges.