At the International SME Expo organised by the Hong Kong Trade Development Council (HKTDC) earlier, I had the pleasure of sharing some of the trends and prospects of e-commerce with you in the “Attract Your Target Audience: Online Store Marketing Tips”. Now allow me to analyze with you the current prospects of e-commerce and online stores, hoping to provide a little help to those who are interested in developing this field.
According to the U.S. Commerce Department, from the second quarter of 2013 to the second quarter of 2015, the growth of e-commerce has far outpaced that of traditional brick-and-mortar stores, and the sales of brick-and-mortar stores in the United States have recorded a decline on Thanksgiving. Nowadays, online shopping is no longer the preserve of young people, with more than 50% of users aged 45 to 64 having tried online shopping, and 48% of friends over 65 years old have tried online shopping. Although these figures are from the United States, it is not an exaggeration to say that online shopping has become a global trend.
When you start expanding into e-commerce, your products and services are already available to the world, and potential consumers around the world can reach you through your online store. Of course, this is also a double-edged edge, as your competitors are also expanding their business in this area. What does it take to do it well? Let me give you an example: I am a father of three and I want to give them better health products to enhance their health, although I already have a list of health supplements and organic foods, but since these products are not available in Hong Kong, I have to buy them online in the United States. But the longer I use this store for online shopping, the more competitive I find it. Its pricing is very aggressive, and with a wide selection of items, you can already buy most of what you need in one store. In addition, it is logistically efficient and reasonably priced, and has launched a promotion that charges a flat rate of HK$40 no matter how much you buy.
In fact, e-commerce has a profound impact on every industry, even if you get the exclusivity rights in Hong Kong, customers can still buy on other websites, and with the rise of electronic business models such as Uber and Airbnb, e-commerce has fully entered our lives. Whether it’s retail or service, the ecosystem of the entire industry is changing, and if you want to keep your brand competitive, you need to understand your consumers’ spending habits and develop a tailor-made e-commerce strategy.