Market Trends of China Retail Sector Industry
E-commerce is Driving the Market
Internet retailing is the modern way of shopping. With the growing penetration of smartphones, mobile devices, and internet services, e-commerce emerged as a major shopping platform worldwide. The retail e-commerce market is driven by an increasing set of suppliers selling online and a change in consumers' buying behavior, among others. The rise of online fresh groceries sales and growing numbers of prepared food delivery companies entering this space could propel category growth several-fold in the next five years. Mobile-first sites, dedicated apps, emerging payment methods, and other tools are making shopping on smartphones much easier. Many retailers operate an omnichannel model, which aims to integrate offline and online channels.
Increased Disposable Income of People is Driving the Market
Disposable income is left over after taxes and is what households consume for their needs and wants. Things like rent, bills, food shopping, gasoline, and so on come from disposable income. If disposable income increases, households include more money to save or spend, which naturally leads to a growth in consumption. Consumer spending is one of the most important determinants of demand. Consumer spending creates the demand that keeps companies profitable and hiring new workers. The increased disposable income will help people to purchase more goods and things. It will indirectly fuel the growth of the retail industry.
