Most Koreans still lack a comprehensive understanding of China and Chinese e-commerce. In my opinion, the perspective of ordinary Koreans towards China remains stuck in that era despite my several travels across various parts of China in the early to mid-2000s. While it is true that there were many areas in China that were socially and culturally underdeveloped back then, the country’s progress over the last 20 years has been staggering. Particularly, within China, I consider Shenzhen to be the most advanced city globally from an e-commerce standpoint.
The fact that Chinese e-commerce is more advanced than in Korea might sound unfamiliar to Koreans, but I have been experiencing this firsthand for over two years. Based on this experience, I founded the company in Shenzhen to provide the most advanced e-commerce operating services to global brands.
In Shenzhen, a society without cash or traditional menus already exists. Daily life is impossible without WeChat Pay and Alipay. Since offline transactions are already minimal, most stores operate without card readers or cash. Online, instead of adopting simplified payment methods like in Korea, the ecosystem revolves around WeChat Pay and Alipay, with online shopping malls being part of this ecosystem.
One of the basic methods to increase purchase conversion rates in e-commerce is to shorten the payment process. In China, where the payment process flows smoothly like water, more time and effort can be allocated to steps beyond the payment process.
While Korea boasts early morning or rocket deliveries that arrive the next morning, the standard in Shenzhen is delivery within 30 minutes. Almost all products, not just fresh produce, can be received within 30 minutes through ‘delivery’ rather than courier services, with delivery fees being almost free. The integration of online and offline is also excellent, with ordering coffee from a cafe in front of the destination subway station while commuting and immediately taking it out being a daily occurrence.
While in Korea, experiences like these are only possible with major chains like Starbucks, and even then, you need the Starbucks app. In contrast, China’s e-commerce infrastructure enables even small individual stores to provide an omnichannel shopping experience on par with Starbucks.
The support provided by Korean government agencies to Korean companies in Shenzhen also gave me greater confidence in my decision to establish a presence in Shenzhen. I am receiving support from the Small and Medium Business Administration, and KOTRA Shenzhen Trade Office is also housed in the same building. I believe that the recent relocation of the Small and Medium Business Administration from Xi’an, a representative ancient city in China, to Shenzhen reflects the city’s growing status. Various organizations such as the Korea Chamber of Commerce and the Korea Creative Content Agency are also making significant efforts in Shenzhen to support the expansion of Korean companies into China.
#Shenzhen #E-commerce #Shenzhen
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