The latest ranking of cross-border e-commerce platforms in 2022
London, United Kingdom, 11th Aug 2022, As the epidemic further erodes the economy, the international situation has further deteriorated, the world economy is weak, and the domestic employment situation is grim. The rise of cross-border e-commerce has taken a different path to international cooperation. More merchants are rushing in, but more have withdrawn, mainly because they have not found a platform and supply chain suitable for their development. Which platforms can be focused on this year, and which platforms need to be settled in now? I will combine platform data and seller feedback to sort out platforms with explosive trends in 2022 for your reference.
Ⅰ. Mature European and American markets
Advantages:
1. High e-commerce penetration rate: The average e-commerce penetration rate of the three new stations (Sweden, Netherlands, Poland) is 72%, higher than the average European e-commerce penetration rate of 59.7%.
2. High level of online consumption: The per capita online consumption level is higher than the global per capita online consumption level.
3. Most are high-spending buyers: with more than 65 million online buyers.
Disadvantage: Strained international relations.
Three major platforms
1. Amazon
As the world’s largest cross-border e-commerce company, Amazon is sought after by numerous sellers. Amazon is very popular: it is the top choice in five European countries (UK, Germany, France, Italy, and Spain).
2. DZSHOP
DZShop has the most complete logistics facilities in the Russian e-commerce industry and provides Russian customers with door-to-door delivery services across 11 time zones. With a customer base of 11.4 million in Russia, more than 3 million unique visitors per day, and a well-established infrastructure + business team, DZShop sales in the first quarter of 2021 increased by as much as 135% year-on-year, and DZShop will maintain rapid growth in the next few years. At the beginning of 2022, DZShop tightened its entry policy. From the original one business license can apply for ten stores, it reduced to one business license can apply for only one store. We can see that DZShop is controlling the quality of sellers. In 2022, DZShop will have a big explosive trend, which is a good choice for novice sellers. (DZShop E-commerce platform)
3. AliExpress
AliExpress is one of the e-commerce businesses of Alibaba Group, and it is also the number one e-commerce website in Russia and Spain. AliExpress is committed to serving global small and medium entrepreneurs so that there is no difficult cross-border e-commerce business in the world. Saying goodbye to savage growth in 2022, AliExpress has optimized the seller structure by closing down some poorly managed stores. The entry threshold for new sellers has been raised, and individual users will not be able to enter AliExpress, but settled merchants will receive more traffic and resource support. In the second half of 2022, AliExpress is still very worthy of sellers’ expectations!
Finally, I would like to add another platform in the European market, Fanno, which has become popular since last year. You can also pay attention to it.
Ⅱ. Fierce competition in the Southeast Asian market
Advantages: The total number of Internet users is the third in the world. Southeast Asia can be the most potential e-commerce market in Asia after China and India. Southeast Asia has a population of more than 600 million, of which 340 million are netizens, and the e-commerce market is as high as 21.8 billion US dollars. Countries in Southeast Asia remain under social distancing due to the pandemic. Even in such situation, the overall sales of e-commerce in Southeast Asia are still on the rise, so exporting to Southeast Asia is one of the choices that cannot be missed.
Disadvantages: low economic level and consumption power, many religious beliefs, and obvious cultural differences. This difference in beliefs, coupled with differences in cultural background and education, will directly lead to deviations in consumption habits. Whether in product selection or marketing methods, the possibility of direct copying is not high. Many sellers mocked themselves as the “Southeast Asia Poverty Alleviation Organization”.
E-commerce platforms
1. Shopee
Shopee is an e-commerce platform in Southeast Asia and Taiwan. Since its establishment in Singapore in 2015, Shopee’s business scope has radiated to more than ten markets including Singapore, Malaysia, the Philippines, Thailand, Vietnam, Brazil, etc. Shopee has over 30 million social media followers, 7 million active sellers, and over 8,000 employees across Southeast Asia and China. It is the fastest growing e-commerce platform in Southeast Asia and the preferred platform for domestic products to go overseas in Southeast Asia. In the context of the meager profits in the Southeast Asian market, Shopee opened the Latin American market channel last year, and the promotion momentum is also very strong. In general, the Latin American market is the starting point for Shopee to improve and standardize sellers, and the second half of 2022 may usher in a relatively large growth.
Ⅲ. High Potential Latin American Market
Advantage: During the demographic dividend period, the market potential is big.
Disadvantage: need to pay attention to the safety of goods.
Chinese cross-border sellers are digging into the Latin American market. There is a saying in the cross-border e-commerce circle that “Latin America may become the last blue ocean market for cross-border e-commerce.” As the largest e-commerce platform in Latin America, Mercado has completed full coverage of Latin American countries, including Brazil, Argentina, Mexico, Chile, Colombia, and other 18 Latin American countries, with 159 million registered users. The population of Latin America is estimated to be about 627 million, and it occupies an absolute leadership position in the e-commerce market in Latin America. In particular, Mercado has a wide range of categories, especially Chinese sellers are welcome, and Chinese manufacturing products have become the mainstream of sales.
Ⅳ. Small but beautiful Japanese and Korean markets
Advantages: fast logistics and strong consumer spending power.
Disadvantages: Japan and South Korea have a small population, a small area, and a small customer base.
Coupang
Under the acceleration of Covide-19, the overall e-commerce market has ushered in explosive growth in 2020. South Korea is currently one of the largest e-commerce markets in the world, surpassing France in 2020 and ranking sixth globally after Germany. South Korea is expected to become the third largest e-commerce market after the US and China in the next two to three years. The Korean APP download data shows that Coupang, which ranks fifth in the query day, has obvious advantages over other platforms in terms of total user evaluations and total downloads. Coupang official website ALEXA world ranking: 305.
In April, Coupang officially opened the Chinese market, and it is now fully open to Chinese merchants. There is no deposit system, no complicated penalty mechanism, and the platform algorithm is simple. Now it has very high traffic support. At present, half of South Koreans have installed the Coupang app on their mobile phones, and the valuation has exceeded 5 billion US dollars. It can be said to be a future star. Most sellers have reported that the platform has good traffic, and the number of orders is acceptable after listing, which is more suitable for novice sellers.
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