Imagine this. You are sitting on the sofa at home in the US, and you place an order via your phone. A few days later, you receive a parcel and get some fancy decorations you ordered from China or Vietnam, thousands of miles away. This is the magic of cross-border e-commerce.
It has brought new impetus to the economic development of China and Guangdong. Guangdong's cross-border e-commerce import and export volume reached 427.34 billion yuan in the first half of 2024.
The sector marked a significant growth from 11.3 billion yuan in 2015 to 843.3 billion yuan in 2023, with an average annual growth rate of 71.4%. Cross-border e-commerce now accounts for over 10% of Guangdong's total foreign trade, while Guangdong contributes to more than one-third of the national cross-border e-commerce import and export volume.
AI, big data, and IoT technologies upgrade product selection
In July 2023, Sailvan Times officially became the first cross-border e-commerce enterprise based in Guangdong to be listed on China's A-share market.
As one of the leading companies in the sector, Sailvan Times primarily sells fashion and lifestyle products, including apparel, accessories, home goods, and sports and entertainment items, to global consumers. The company has developed four brands, each with cumulative sales exceeding 1 billion yuan.
What are the factors driving this impressive growth? Amy Zhang, Vice President of Sailvan Times, told GDToday that sellers in the sector are using AI, big data, and IoT technologies to enhance product selection capabilities and increase consumer loyalty.
"In the past, for product selection, we relied on past sales data and had to manually analyze the preferences of overseas consumers. Now with big data analysis, we can more accurately understand consumers' needs for different product categories," said Zhang. The company has developed a trend analysis system to more precisely identify global consumers' demand for fashion trends. The system can better support decision-making in product selection and in turn, optimize their overseas inventory.
Dense international shipping network boosts rapid logistics
Cross-border e-commerce enterprises upgrade themselves through digital technology to gain a more precise understanding of overseas consumer needs and provide them with the products they desire. These products are then swiftly delivered to overseas consumers through a well-developed international logistics network.
Lindy Lin, senior manager of Hutchison Ports YANTIAN Commercial Department, told GDToday that the ocean shipping market in the first half of this year was often in a state of overcapacity or full loads.
Hutchison Ports YANTIAN boasts a dense network of shipping routes, most of which are towards European and American markets. On average, there are 6 vessels departing daily to the United States, and 4 vessels heading to Europe. As the last port-of-call of most services in China, Hutchison Ports YANTIAN is able to ensure the fastest delivery of goods to their destination ports. "For example, we can reach Europe in just 22 days, and the United States in 12.5 days," said Lin.
Based on these shipping routes to Europe and the U.S., Hutchison Ports YANTIAN has launched over 10 cross-border e-commerce express services.
In the first half of this year, a new express service to the West Coast of the U.S has been introduced, while the first Cross-border E-commerce Port Alliance Express Service has been established in the GBA, facilitating e-commerce exports from industrial and supply bases.
Reporter丨Nina, Nan
Video丨Guo Hongda
Poster丨He Zhifen (intern)
Editor丨Abby, James
