Hanvord’s blog

April 21, 2008

C2C usher in a new upsurge in the development of e-commerce into the main force

Filed under: China, Daily, blog — Tags: , — Mozila @ 2:48 am

C2C is expected to surpass as e-commerce market “leader.” According to Analysys International recently issued a research report that in 2011, B2C market scale will reach 13.6 billion yuan, and C2C trading in the market will reach 201.3 billion yuan, nearly 15 times more than the former. C2C will usher in a new round of rapid development upsurge.

C2C rise of capital “-a large sum of a large sum”

Current, more and more companies began to pay attention C2C and the capital market. In November last year, Alibaba listed first day sought after by investors, the stock immediately doubled up, which led China’s e-commerce concept of extreme warming.

TOM Online contraction channel specializing in C2C website. TOM Online announced a few days ago, the portal framework adjustment, the gateway service will be the main content of the forms of media, gradually shift from product-oriented functions of the application of transition services. Industry analysts believe that it demonstrates TOM Online will focus its resources fully into the field to C2C.

Baidu trying to take advantage of search C2C market access advantages. Baidu announced that it will take full advantage of its Internet search market in China occupy the monopoly advantages, similar to the one introduced C2C auction platform. Most agree that the industry and good Baidu C2C intervention areas.

Tencent for a very long time been the only patted network as a pawn of the future strategy, and did not put too much energy and resources to operate, and the most recent Tencent by playing the “user experience” card, the huge QQ users Group cleverly imported into patted network, the combination of mature virtual currency system, Tencent occupation e-commerce market seems to be just around the corner.

Why the sudden emergence of C2C

In recent years, Taobao, patted, eBay representative of the operator of China’s C2C business grew rapidly. And C2C market growth rate far higher than the B2C market.

C2C development of a robust important reason is that China’s e-commerce gradually improving macroeconomic environment, and e-commerce market gradually mature industry chain, the size of the market steadily improve, a national e-commerce development, “11th Five-Year Plan” planning an important component of these factors China’s online C2C stimulating rapid growth of e-commerce market.

C2C robust development Another important reason is that the vast majority of C2C website to “free mode” to attract buyers and sellers to participate in, and this had a tremendous SMEs attractive. Therefore network. And the number of network users and purchase quantities in a short time can be both rapid growth.

C2C development of robust third reason is that the latest release “21 China Internet Network development of the statistical report” shows that as at December 31, 2007, the total number of Internet users in China has reached 210 million, slightly lower than the United States 215 million in second in the world. Online shopping and the number of Internet users in China reached 46.4 million scale, which is the driving force behind the development of C2C.

In addition, a credit system will also C2C platform and related payment systems under common gradually improve and reduce the risk of users online shopping.

C2C gold to be dug

China’s C2C market is still in its developmental stages, first of all, this is still the leader in the field of operating losses. C2C platform at this stage of the free strategy requires a large amount of capital input to maintain market access, in addition to a large amount of money is needed, the super popular and technical strength. Therefore, C2C platform very high barriers to entry, Taobao, eBay and patted ongoing between the oligarchs Game between games. Secondly, C2C retail business accounted for less than 1 per cent, while the United States is 4%, South Korea 12%. Again, C2C shopping experience less than 30% of Internet users, and concentrated in the big cities, relatively low penetration rate, the application of the minority. But in this hidden behind the increment is an enormous market with great room for growth.

What is worth mentioning is how to find the C2C platform for the domestic market profit model is still troubled operator C2C a problem. C2C platform fees is inevitable, but how to launch the seller and the buyer can accept service for users to provide more complete solutions to maximize reduce transaction costs, profit model is built on the premise and key.

Perhaps the beginning of the current C2C market and the best time, on the one hand, after years of nurturing, C2C market is working to extricate itself from its “dollar era” and gradually entered the receipts period; On the other hand, online payment credit system are gradually being set up, Internet users Online payments recognition has been gradually strengthened.

Baidu CEO Robin Li said, “Taobao has proved, but in the short term can beat industry pioneer.” What is his ambition or his self-confidence, the answer will soon be known.

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