China becomes the world's largest e-tailing marketplace

In an instructive March 2013 report, "China's e-tail revolution: Online shopping as a catalyst for growth", Mckinsey Global Institute reveals the following game-changers in China's consumer e-marketplace -

• China has the world's largest online population with 130 million residential broadband accounts
• E-tailing produced more than $190 billion in 2012 sales
• China's e-tailing industry has posted 120% compound annual growth since 2003
• More than 6 million e-merchants list products on Taobao
• Singles Day 2012 generated $4 billion in online sales, surpassing Cyber Monday in the United States

E-tailing in China still has huge potential, according to MGI -

• China's broadband penetration is only 30%
• Online sales could reach $650 billion by 2020
• By 2020, e-tailing could potentially lift China's private consumption by an additional 4-7 %
• In Tier 4 cities, the average online shopper spends 27% of disposal income through e-tailing
• E-tailing could boost labour productivity in China retail sector by 14%

Download MGI - China e-tailing Full report March 2013

The Economist (23 March, 2013) features a Leader on E-Commerce in China which shows how the king of the country's e-tailing creates The Alibaba Phenomenon

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