Billy Florence - China Internet Purchases Up
This article was first published on http://www.e-quadnews.com/.
China online purchasing is taking baby steps. Like any market in its infancy, they are experiencing growing pains. Twenty million Chinese Internet users made at least one online purchase last year, spending an equivalent of $20 USD (RMB157). Researchers report this is approximately 15 percent of their online population. The number of people shopping online and the amount they spend annually will follow an upward trajectory, forecasting to increase five times by 2010. How does this compare to US online shopping? In comparison, 66 percent of US online shoppers age 14 and older made a purchase last year.
Three of the speed bumps impacting the pace of market growth, according to CNNIC (China Internet Network Information Center), are low credit card use, lack of reliable infrastructure for settling transactions, and delivery challenges. Only a quarter of the buyers in China surveyed by AC Nielsen used credit cards for their online purchase. Credit cards are the favored form of payment in America. The number one reason given for not purchasing items on line is concern about the security of the transaction information. These concerns explain why the favored payment plan in China today is COD (cash on delivery).
© 2007 Florence News reprint permission to Billy Florence Team Dream Chasers site.
China online purchasing is taking baby steps. Like any market in its infancy, they are experiencing growing pains. Twenty million Chinese Internet users made at least one online purchase last year, spending an equivalent of $20 USD (RMB157). Researchers report this is approximately 15 percent of their online population. The number of people shopping online and the amount they spend annually will follow an upward trajectory, forecasting to increase five times by 2010. How does this compare to US online shopping? In comparison, 66 percent of US online shoppers age 14 and older made a purchase last year.
Three of the speed bumps impacting the pace of market growth, according to CNNIC (China Internet Network Information Center), are low credit card use, lack of reliable infrastructure for settling transactions, and delivery challenges. Only a quarter of the buyers in China surveyed by AC Nielsen used credit cards for their online purchase. Credit cards are the favored form of payment in America. The number one reason given for not purchasing items on line is concern about the security of the transaction information. These concerns explain why the favored payment plan in China today is COD (cash on delivery).
© 2007 Florence News reprint permission to Billy Florence Team Dream Chasers site.
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posted by Billy Florence at
9:32 AM
