Tuesday, 15 March 2016

In China, More people Shops Via Mobile Phones than PC's

Smartphones and tablets are becoming the preferred choices for Chinese consumers while shopping online. The value of mobile sales exceeded the transactions made through personal computers in the Communist country, according to a report.

With the domestic smartphone makers expanding their offerings, the gadgets have become increasingly affordable and mobile internet connections have reached 594 million.

The share of mobile sales in online sales nationwide gained 3.2 percentage points from the first quarter this year to 50.8% in the second, the first time more transactions occurred on mobile gadgets than on personal computer (PC), a report released by consultancy iResearch said.

China's largest online retailers have been pushing for more sales of their mobile apps amid growing penetration of smartphones in the country.

More than 594 million people had access to mobile internet by the end of the first half of this year, up 6.7% from the same period a year ago, according to China Internet Network Information Centre.

In August, Chinese e-commerce giant Alibaba said in its quarterly results ending June 30 this year that mobile transactions account for 55% of gross merchandise value on its online marketplaces Tmall.com and Taobao.com.

Alibaba's rival JD.com also said in its second quarter results that mobile orders nearly tripled year-on-year in that period to account for 47% of all orders.

Over the past two years, domestic smartphone makers Huawei, Xiaomi and Lenovo have been expanding their offering of budget phones, most with a price tag around 1,000 yuan (around $160).

This has made smartphones increasingly affordable, especially among rural Chinese, reported state-run Xinhua news agency quoting iResearch.

China's online retail expanded nearly 40% year on year in the second quarter of this year to 872.41 billion yuan, accounting for 12.3% of total retail sales in the country.

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