How Does China’s E-Commerce Landscape Work for European Brands?

China boasts the world's largest and most dynamic e-commerce market, with online retail sales reaching approximately $3 trillion in 2024, accounting for over 60% of total retail sales in the country.

This rapid growth has led to a diverse array of e-commerce platforms catering to various consumer needs and preferences. In this blog, we will explore the different types of e-commerce platforms in China, highlighting their unique features and roles in the digital shopping ecosystem.

Chinese E-Commerce Platforms

China's e-commerce landscape is characterized by a mix of traditional marketplaces, social commerce platforms, and cross-border e-commerce sites.

These platforms can be broadly categorized into several types：

🛒 Traditional Shelf E-commerce: Rich Products, Clear Structure

Traditional shelf e-commerce platforms, such as Tmall and JD.com, adopt a standardized e-commerce model that offers a wide range of products and a clear category structure.

Consumers can filter products based on categories, brands, or prices to quickly find what they need. This model emphasizes product variety and platform credibility, making it suitable for consumers seeking an efficient shopping experience.

🎯 Interest-based E-commerce: Content-driven, Precise Recommendations

Interest-based e-commerce platforms, like Douyin and REDnote/Xiaohongshu, attract users to discover and purchase products through personalized content recommendations and social interactions.

These platforms use algorithms to analyze users’ interests and behaviors, pushing relevant product information to enhance the shopping experience. For example, Douyin combines short videos and live streaming with entertainment and shopping, attracting a large number of young users.

🔑 Private Domain E-commerce: Loyal Customer Retention and Recall

Private Domain E-commerce is a user-centric model that leverages owned platforms (such as WeChat Mini Programs and apps) for precise marketing and customer relationship management.

Unlike traditional e-commerce platforms (e.g., Tmall, JD.com) which rely on public traffic, private domain e-commerce focuses on achieving long-term user retention and repeat purchases within a private traffic pool.

China’s e-commerce platforms are diverse and each has its own unique characteristics. Understanding the features and market positioning of different platforms helps consumers choose the shopping channels that best suit their needs and assists brands in developing more effective marketing strategies.

With the advancement of technology and changing consumer demands, e-commerce platforms of the future will become even more diverse and personalized.