China grocery e-commerce was one of the business segments that saw strong demand during the Covid-19 outbreak.
Many major online retailers are accelerating steps to expand their presence in the fresh food sector. This also includes grocery new retail concepts like Alibaba’s Hema. New Retail are offline supermarkets with mobile-app driven experiences and home delivery capabilities.
I will be exploring why grocery e-commerce is so exceedingly popular in China, how the landscape has evolved and what are the challenges in this industry.
What is So Attractive about China Grocery E-Commerce?
For those familiar with the blue ocean strategy, blue ocean refers to the uncontested market space, unexplored and untainted by competition.
China grocery e-commerce is just Like the ‘blue’ ocean’, vast, unexplored and has lots of opportunity and profitable growth. Its total grocery market is worth over US$1.3trillion. The gross merchandise value (GMV) of fresh good e-commerce is forecast to hit over US$75 billion by the end of 2021....