How a giant e-commerce sensitive Chinese Rural consumers?
Yes! Even if there are Chinese people in rural areas, they are potential consumers.
Chinese rural population is counted for about 600 million citizens and the number of Internet rural users is accounted for about 250 million in 2015.
But how can a big company sensitive Chinese rural people to e-commerce?
A profitable market to explore
Chinese rural people have a consequent purchasing power in China. For example, the Singles Day journey has succeeded to generate about 45 million dollars, there is an interesting market to explore here.
The number of rural online shoppers tends to grow year after year by about 41% and it is just the beginning of a profitable market.
How has Alibaba succeeded to sensitize rural population?
Alibaba decided to invest needed services and infrastructures in order to sensitize rural Chinese consumers to buy. How?
About 100 000 services centers were settled in more than 10 000 rural villages. These services centers get equipped with free Internet services with computers, a place to pick up their goods after their purchases on Alibaba. Besides this, some villagers find the idea to start their own business online through Alibaba.
The smart idea of Alibaba was not only to impose himself on a commercial speech but also giving the feeling to help villagers. Centers were also used as the place to pay bills or to book some travels…etc.
Local villagers can sell their products online but also enjoy luxury goods, take the example of the chef coming right directly from New Zealand and who has prepared fresh seafood meal for a Chinese villager family during the Chinese New Year.
What is the future in rural Chinese areas?
Alibaba wanted to move in a further step by educating customers how to shop online. The main challenge for a lot of brands in China is to educate people, and Alibaba did it in rural areas in China. Alibaba has mainly targeting young people in the village to learn how to browse on The Internet and how to make good use of it. In order to achieve this, the big company has developed a program with these “rural partners” to learn from young rural generation how to buy and also sell online.