How China Leapfrogged the World in Retail Innovation

“I have been studying China’s retail innovations for more than 15 yearsand have found it a fascinating space. In China, the development of retailbegan relatively late, compared to the US and Europe. However, this also meansthat China is leapfrogging with innovations and retail technology. Especiallysince the arrival of smartphones, retail innovations have really taken off,often driven by internet giants like Alibaba, Meituan and JD.com. In themid-2010s, China was leading in ‘new retail’ concept that linked the online andoffline world. Ten years later, the best concepts have survived, while otherexperiments ended while the rest of the world was still making its first stepsinto the same experiments. As such, I now often see Western retailers come tothe same conclusion as their Chinese counterparts already arrived at five ormore years ago.”

“Meanwhile, concepts like live commerce are making their way into globalmarkets, driven by Chinese apps like TikTok. China also has a booming instantretail (quick commerce) sector with many different business models that gobeyond what is being tried elsewhere. Internet companies are opening physicalsupermarkets and driving innovation in the grocery retail sector with brandslike Hema, 7Fresh, Happy Monkey and Little Elephant. Traditional retailers aretrying to keep up with this fast pace of change.”

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“I never have a lack of fascinating retail topics to write about forTech Buzz China or insights to share in our study tours. Many of these willcome together at the CHINASHOP event, organised by the CCFA. The CCFA has beenvery helpful in connecting me to relevant organisations in the Chinese marketand I frequently exchange ideas with its staff. Without a doubt their event inHangzhou will offer a wealth of insights, business connections and newopportunities.”

• Ed Sander,     research analyst for Tech Buzz China     and study tour leader for ChinaTechTrip

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