The market size and development trends of cross-border e-commerce
As an emerging business model, cross-border e-commerce has developed rapidly around the world in recent years. It has not only changed the traditional international trade model, but also provided consumers from various countries with more diversified shopping options. This article will combine multiple perspectives to explore the current situation and future development trends of the cross-border e-commerce market.
Global cross-border e-commerce market size and trends
1. Global e-commerce development
According to the “2019 Global Cross-border E-commerce Market Development Status and Trend Analysis” released by iiMedia Report Center, the global B2C cross-border e-commerce transaction volume exceeded US$650 billion in 2018, a year-on-year increase of 27.5%. It is expected that in 2020, the global B2C cross-border e-commerce transaction volume will exceed 900 billion US dollars. The report also pointed out that the global cross-border online shopping penetration rate reached 51.2%, with the Middle East having the highest proportion of consumers using cross-border e-commerce for online shopping, reaching 70%. Clothing, shoes and hats are the most popular categories purchased by consumers through cross-border e-commerce; Western Europe is the largest e-commerce market in Europe. Among European countries or regions, North Macedonia and Portugal have the highest penetration rate of cross-border online shopping; cross-border e-commerce has the highest penetration rate in Australia The e-commerce market share reaches 25%, and Australian online shoppers prefer cross-border purchases of British and American products; in South America, Brazilian e-commerce is relatively mature, and Argentina’s e-commerce is developing rapidly.
2. Development of cross-border e-commerce in China
The overall development environment for China’s cross-border e-commerce is good. Affected by the trend of domestic consumption upgrading and the country’s focus on the development of import and export trade, coupled with the continuous development of international logistics and supply chain technology, the cross-border e-commerce market has developed rapidly in recent years, showing High-speed growth trend. The scale of cross-border e-commerce transactions (including retail and B2B) reached 8.06 trillion yuan in 2017, and increased to 9.1 trillion yuan in 2018. It is expected that the scale of China’s e-commerce transactions will exceed 35 trillion yuan in 2020, a year-on-year growth of 16%.
3. Market size growth rate
Data from the China E-Commerce Research Center show that the transaction size of China’s cross-border e-commerce market reached 8 trillion yuan in 2017, 9.1 trillion yuan in 2018, 10 trillion yuan in 2019, and is expected to reach 120,000 yuan in 2020. billion, with a three-year compound growth rate of 16% and a penetration rate of 37%. Accenture Consulting and Alibaba Research predict that more than 900 million people around the world will shop cross-border in 2020, and the largest market will be China.
Scale effect of cross-border e-commerce
From the perspective of division of labor, the formation of industrial clusters is the product of specialized division of labor. It is a form of economic space that is designed to reduce the transaction costs generated by specialized division of labor and obtain the incremental rewards generated by division of labor. Any industrial cluster shows obvious characteristics of division of labor and specialization, and the development of division of labor and specialization shows a high degree of consistency with industrial clusters. The development of industrial clusters is a systematic evolution process of gradual accumulation and self-reinforcement. Its self-reinforcement dynamic mechanism comes from the increasing returns generated by specialized division of labor.
Due to the highly specialized division of labor, a large number of laborers are employed, which not only relieves local employment pressure, but also rapidly improves production efficiency. By deepening the professional division of labor and establishing close cooperative relationships based on the division of labor, the competitiveness of all enterprises can be improved to varying degrees, thereby enhancing the competitiveness of industrial clusters and promoting regional economic development. The core enterprises of the industry often have huge demand for specialized inputs such as raw materials, intermediate products and services. This demand is reflected in market signals (price increases) and can be captured by keen entrepreneurs, prompting enterprises in related industries to enter. This area. There are economic reasons for this kind of settlement, because companies in ancillary industries and upstream and downstream industries can first save transportation costs by settling in the area where core companies are located; secondly, because they are close to core companies, they can obtain market information more quickly and accurately, which is useful. Help enterprises quickly change their production according to market changes. In addition, this kind of presence also reduces transaction costs and makes it easier to obtain professional talents, greatly increasing the possibility of successful transactions.
Conclusion
To sum up, cross-border e-commerce has become an indispensable part of global trade, and its market size continues to expand. Especially in China, cross-border e-commerce has developed particularly rapidly. In the future, with the continuous development of cross-border e-commerce in logistics and supply chain, the market prospects are broad. However, cross-border e-commerce companies also need to face many challenges when expanding overseas markets, such as intensified market competition and diversified customer needs. In order to seize opportunities and achieve sustainable development, export cross-border e-commerce companies need to study the market and competitors, focus on brand and quality, pay attention to logistics distribution and customs clearance, choose appropriate cross-border e-commerce platforms, and comply with legal and tax regulations.