The Dubai Chamber of Commerce and Industry recently hosted a workshop for its members and the business community in Dubai focusing on the key consumption and e-commerce trends reshaping China’s e-commerce sector, as well as the potential for UAE companies to capitalise on new opportunities in the market.
Entitled “Navigating China’s B2C E-commerce Landscape,” the workshop addressed a wide range of high-potential product categories that could be exported from the UAE to meeting fast-growing consumer demand in China, including halal food, dates, jewellery, fragrances, cosmetics, baby products, fashion and textiles.
During his opening remarks, Mr. Omar Khan, Director of International Offices at Dubai Chamber, said that China remains Dubai’s top trading partner as non-oil bilateral amounted to $45 billion in 2016, accounting for 13 per cent of the emirate’s total non-oil trade during the year. He explained that there is plenty of scope for UAE companies to expand the range of products that they export to China as the country’s middle class rapidly expands. He added that the timing for this is ideal as Chinese consumers are increasingly looking for trusted and high-end brands from all corners of the globe.
Mr. Khan also spoke about recent developments related to cross-border e-commerce in China, including steps taken by the government to ease the entry process for foreign companies and exporters that want to sell directly to Chinese consumers.
He also stated that the Chamber’s Shanghai-based office has achieved considerable progress since it opened last October, noting that it has worked to effectively promote Dubai as an attractive trade and investment hub, and build important relationships with public and private stakeholders. He added that the number of Chinese companies that have registered with Dubai Chamber has seen a steady increase in recent months to reach 3,300.
Participants were also briefed on value-added support services and tools that Dubai Chamber provides its members and businesses in the emirate, including the B2B e-commerce portal that it launched in cooperation with Alibaba.com, and its “Trusted Member” Label Scheme, which enhances companies’ e-trade reputation and trustworthiness globally.
During her presentation, Scarlett Xing, Regional Business Director of China-based travel agency Ctrip, shared insight into shopping trends of Chinese travellers, and revealed that Chinese tourists spent $120 billion abroad in 2016. She pointed out that the number of Chinese visitors coming to Dubai has grown exponentially in recent years, and highlighted several categories that remain the most popular with Chinese shoppers, including cosmetics, handbags, jewellery, electronics, and children products.
“It is a huge business opportunity for retailers to cooperate with Chinese platforms to target Chinese consumers through online and offline channels,” said Xing, adding that foreign retailers should adopt an online and offline approach to target domestic consumers and outbound tourists.
Mark Tanner, Managing Director of Shanghai-based marketing and research agency China Skinny, gave an overview of China’s evolving e-commerce landscape and revealed that there are 466.7 million
Chinese who currently shop online, accounting for over $766 billion in retail sales. He added that millennials remain a driving force behind current market trends, adding that 80% of China’s online shoppers are under the age of 35.
Mr. Tanner also shared practical tips for foreign companies that want reach Chinese consumers and stressed the importance of localising online platforms and utilising complimentary marketing channels to drive e-commerce sales.
Following the presentations, one-on-one and group consultations were held with the aim of helping businesses adopt a customised approach to targeting Chinese consumers at home and abroad.