China’s e-commerce sector is the largest in the world, with forecast revenue of $1.5 trillion in 2024.¹ It’s also been fertile ground for the development of many trends in the sector, from livestreaming to social commerce.

But what are the current trends in the market? How they could impact the way you target the Chinese market and, potentially, how might they influence what’s coming next to other markets around the world?

To find out, we’ve looked at three of the biggest recent Chinese e-commerce trends that have made – or are making – a big impact.

Chinese e-commerce businesses have been adopting generative AI at a rapid pace, using its power to both lower costs and enhance the customer experience.

For merchants, AI is helping to drive enormous increases in efficiency. Major selling platforms such as Alibaba and JD.com, among others, are providing AI-backed tools that dramatically reduce workload, time and investment requirements.

JD.com, for example, has launched an AI-generated content platform that helps create product images, marketing text and short videos, resulting in an efficiency improvement of over 90%.⁵ And Alibaba’s AI business assistant, which automatically generates product information and images, cuts the time it takes for sellers to publish goods from an hour to a minute. It is now used by over 30,000 businesses.⁶

Another area where generative AI is really making an impact is in livestreaming. This is hugely popular in China, and AI-based virtual influencers have already seen huge success in the country. But new developments are democratising the technology, allowing retailers to more easily launch their own virtual livestreamers that can operate 24/7. Chinese tech giant Baidu has a platform that can create a virtual human in under half an hour⁷, while JD.com’s Yanxi has completed over 400,000 hours of livestreaming for over 5,000 brands.⁸

AI is also being used to enhance online content for customers, analysing data to drive personalised experiences. As well as product predictions based on prior purchasing behaviours and preferences, it’s powering everything from personalised skincare routines to virtual try-ons and personalised shopping advice.⁹

Cross-border commerce is another key trend in China, in both directions. Chinese businesses themselves are increasingly looking for markets overseas, supported by the government which has established 165 comprehensive pilot zones for cross-border e-commerce.¹¹

Advances in logistics and digital payments are convincing more businesses to target overseas buyers, and while B2B transactions have historically accounted for a significant proportion of sales, B2C transactions have seen their share increase.¹² The gross market value of cross-border B2C e-commerce shipments is expected to reach CNY6.05 trillion (€797 billion) in 2027, up from CNY3.23 trillion in 2022.¹³

Cross-border imports into China have also been surging, fuelled in part by consumer demand for better quality products and better access to major brands. There were almost 190 million cross-border consumers in China in 2023, up from 167 million the previous year, buying imports worth CNY3.61 trillion.¹⁴

Community group buying has been one of the standout trends in China in recent years. It combines social commerce with a physical community experience, as groups of people combine together to buy in bulk and benefit from steep discounts.

The process is led by community group leaders, who act as intermediaries between the seller and the buying group. The group leaders place the order, and the sellers ship it to a designated collection point. The leaders then contact the group members to tell them their individual goods are ready to collect.

The model has proven particularly popular in lower tier cities, where consumers tend to be more price-sensitive, and growth escalated rapidly in recent years. However, the pace has slowed more recently and there has been consolidation in the market, with fewer players now concentrating more on profitable growth rather than racing for market share.¹⁶

Mobile commerce is enormous in China, and understanding how to cater to it effectively is key to overall e-commerce success. The figures make it clear – there are 1.4 billion smartphone users in China, 96% of internet users access content via mobile devices, and 75% of online sales are made on mobile devices.²⁰ Combine that with the popularity of short video platforms and social commerce, and it’s obvious that – from ad campaigns and social media presence to effective integration with popular sales platforms – mobile should be at the heart of any market expansion strategy. If you want to know more, don’t miss our article on social selling in China.

It’s well-documented that growth in China’s economy, which has seen unprecedented expansion over the past three decades, is slowing down. Yet it is still growing, as is the country’s middle class. There are expected to be 80 million more members by 2030²¹ and – as middle-class consumers are one of the major drivers of cross-border e-commerce – that equates to a lot more potential customers for foreign businesses.

Sustainability is increasingly relevant in Chinese e-commerce. Recently introduced government regulations are encouraging eco-friendly packaging in the parcel delivery sector²², while consumers are also making their voices heard. Just over 40% say they prefer shopping at online stores that offer sustainable delivery, compared to 28% in the US.²³ E-commerce businesses are following suit too, adopting more sustainable practices to address concerns and meet the demands of customers.