Retail industry in ChinaDigitalization and localization were integral to China’s most recent retail industry development. In 2021, China’s online retail of physical goods grew significantly. FMCG retailers have gained more online penetration as fresh food commerce and q-commerce have emerged. Besides, an increasing number of offline retailers started to develop an omnichannel retail strategy. A survey in June 2022 revealed that nearly 50 percent of Chinese consumers increased their online shopping usage in the last year.
In 2021, China remained the most attractive retail market in the world. For that reason, it is only natural that foreign and domestic vie fiercely for the attention of Chinese consumers. Once successful in China, international retailers today must face the fact that many Chinese shoppers have shifted their brand preferences. Half of the respondents in a post-COVID-19 survey said that they increased the purchase of Chinese products after the pandemic. In another survey, two-thirds of consumers confirmed that they prefer Chinese brands over foreign ones. The decision was not only caused by patriotism but also because domestic brands offered greater value for the money.