According to the latest report by iResearch, the market size of B2B cross-border e-Commerce in China has crossed the RMB 3.2 trillion marks in 2020. The surging market benefited the ecommerce giant, DHgate as they received huge demands from international markets. They experienced significant growth in 2020.
Europe and North America are two of the main markets for China’s cross-border e-Commerce trade. However, e-Commerce markets in other regions, such as Latin America, the Middle East, and Southeast Asia are also witnessing a sharp increase with significant potential.
DHgate is one of the leading e-commerce businesses in China. They experienced a massive demand for Chinese products from outside the country. This led to an increase in trade in international markets, which in turn helped the company grow in 2020. With an over 60% compound annual growth rate, the company outperformed the industry’s average.
In recent years, DHgate has emerged as a one-stop B2B cross-border e-Commerce platform. In the beginning, it operated as an online trading platform.
In 2020, when the global supply chain was facing challenges due to the pandemic, DHgate decided on meeting the crises. They did so by increasing product selections, adopting new financial solutions to help both buyers and sellers, and deploying local warehouse services.
They also founded MyyShop, which is a new Software-as-a-Service product developed for decentralized cross-border e-Commerce. It is introduced to help micro, small and medium enterprises (MSMEs) worldwide. It would give them easy and quick access to products. Plus, it will also monetize their private domain channels.
A seller of cycling products called SUMTOP has derived great benefits from its cooperation with DHgate. To protect public health from the pandemic, many of the European countries have issued policies related to promoting private transportation. This is expected to increase the demand for electric scooters, bicycles, and other similar products in those markets.
SUMTOP’s taking advantage of these opportunities, and with DHgate’s warehouse located in European countries, they managed to boost the sale of their cycling products. Their sales increased significantly. At the same time, they also managed to cut down on their warehouse costs by 20% in 2020.
The founder and chairperson of DHgate, Diane Wang said that cross-border e-commerce is very crucial for China’s foreign trade business. China has a strong supply chain. By combining it with rich experience, new policy support, and emerging technologies including IoT and big data, they should be able to grow their cross-border e-Commerce at a fast rate.
According to the report by iResearch on future trends for the B2B cross-border e-Commerce market, the future of offline businesses is dark. This is the time when only e-Commerce sites with strong operational systems, rich resources, and integrated supply chain capabilities can keep their businesses floating and grow.
DHgate is currently leveraging its experience in B2B e-Commerce, financial, and logistics solutions. The company is planning to focus on empowering buyers and sellers and help them achieve success in 2021. This eCommerce giant seems to have everything planned and sorted for the future.