China E-commerce Statistics – Biggest Market Players Today

<?xml encoding="UTF-8">

Do you remember Temu's 2023 Super Bowl ad? This brand's skyrocketing popularity is just one example of how Chinese e-commerce has grown in recent years. These China e-commerce statistics show the country now accounts for almost 50% of global online retail sales.

Platforms like Temu and Aliexpress are transforming consumers' shopping experiences-both locally and abroad. Many buyers worldwide already use these sites regularly, driving huge exports and market growth in China.

Needless to say, theChinese e-commerce market isa powerhouse to which every marketer should pay attention. Therefore, we compiled the most recent must-know statistics about this market, including its position, its biggest players, its users, and its key challenges.

Let's learn more about them.

In this article

• Key China E-Commerce Statistics in 2024
• China's E-Commerce Market Size & Position
• China E-Commerce Statistics by Segment
  • B2B
  • B2C and D2C
• Top China E-commerce Market Apps
  • Temu Revenue Statistics
  • Alibaba Revenue Statistics
  • JD Revenue Statistics
  • Shein Revenue Statistics
  • Pinduoduo Revenue Statistics
• China E-Commerce User Statistics
  • E-commerce Users in China
  • Chinese E-commerce Users Abroad
• China Social E-Commerce Statistics
• Key Challenges & Controversies in China E-Commerce Market
  • Intellectual Property Concerns
  • Consumer Trust
  • Sustainability & Workers' Rights
  • Export Tariffs
• Wrapping Up
• Sources

Key China E-Commerce Statistics in 2024

• China is the world's leader in ecommerce, with a $1.3 trillion revenue as of 2023.
• Chinese cross-border e-commerce made up over 40% of the country's total import-export transaction value in 2023.
• China's cross-border B2C e-comm market will reach $500 billion in gross merchandise value (GMV) by the end of 2025-up from $350 billion in 2023.
• Temu had a GMV of $12.26 billion in H2 2023 (+191% since 2022).
• JD.com is the most popular e-commerce store in China, chosen by 61% of consumers. Taobao.com is second, chosen by 54% of people.
• 915 million people in China were shopping online as of December 2023-more than in any other country.
• The Chinese social e-commerce market reached $394.3 billion in 2022 and is forecast to reach $745 billion by 2029.

China's E-Commerce Market Size & Position

China has a fast-growing digital economy, and e-commerce is a significant driver behind this trend. The digital economy already contributes 42.8% to the country's GDP as of 2023.

A striking 28% of all retail sales in China were made online in 2023, and this share has been growing slowly but consistently every year.

Additionally, over 60% of China's population shops online-that's over 847 million people. Based on these figures alone, China is undoubtedly a global e-commerce leader.

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

China isn't just a leader in terms of adoption, either. China already has the highest e-commerce revenue globally, having reached $1.3 trillion in 2023.

The US is a close competitor, with a revenue of $1.06 trillion. But most of the other top five countries pale in comparison. Japan's revenue, for example, is a mere $151 billion.

Based on recent trends, China's e-comm revenue isforecast to hit $1.47 trillionin 2024 and $2.361 trillion by 2029, following a compound annual growth rate (CAGR) of 9.9%.

China is also the global leader in import-export trade, and e-comm plays an important role here. In 2023, cross-border e-commerce made up over 40% of the total import-export transaction value in the country.

China E-Commerce Statistics by Segment

The e-commerce market has several segments, the most notable ones being Business-to-Business (B2B), Business-to-Consumer (B2C), and Direct-to-Consumer (D2C). Here's how big each segment is in China's e-commerce market.

B2B

Although regular consumers are the traditional target audience for e-commerce, China's B2B e-commerce market is thriving.

As of 2023, the country's B2B e-comm market was worth $2.37 billion, and it's expected to hit $2.9 billion by 2026.

Source: Statista

China's total B2B e-comm transaction value reached $4.74 billion in 2023-up from $4.46 billion in 2022. This indicates an 8% YoY growth across domestic and cross-border B2B commerce combined.

Export e-commerce, in particular, has been the most successful for China. According to a recent Statista forecast, in 2024, exports will make up 72.9% of China's cross-border B2B commerce.

This sub-sector will also see the largest growth in the future. The total revenue from cross-border B2B e-commerce in China is predicted to surpass $980 billion in 2025.

B2C and D2C

HSBC speculates that the value of the Chinese cross-border B2C e-commerce market will reach $500 billion in gross merchandise value (GMV) by the end of 2025-up roughly +43% from $350 billion in 2023.

Source: HSBC

The lion's share of China's B2C export e-comm market consists of clothes, shoes, and accessories (23%).

The second most popular category is 3C (Computer, Communication, and Consumer) electronics, which accounted for 21.6% of cross-border B2C exports in 2023.

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

Temu likely needs no introduction here, considering its prevalence as a Chinese e-commerce giant. Unsurprisingly, Temu is one of the biggest Chinese e-commerce players and exporters, particularly in the B2C sector.

Top China E-commerce Market Apps

From January to August 2023, over 8,600 new cross-border e-commerce companies were registered in China. The total number of e-commerce companies in the country now stands at over 61,000, a testament to the booming e-commerce market in the region.

Of these thousands of companies, five stand out as the biggest market players in China, though they also have an increasingly significant impact abroad.

Here are the biggest Chinese e-commerce retailers today, according to the most recent revenue statistics.

Temu Revenue Statistics

The e-commerce app Temu, known for its motto team up, price down," was the most downloaded mobile app in 2023, with almost 338 million new downloads worldwide. In September 2024, the app has been downloaded another 47.21 million times so far.

This growing user base generated significant profits for Temu over the past few years. The revenue of Temu's parent company, PDD Holdings, grew 51.9% in 2023-more than any other e-commerce company worldwide.

According to the company's annual report from April 2024, PDD Holdings' revenue reached $34.88 billion in FY 2023.

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

In terms of operating profit, Temu's managing company reached $8.27 billion in FY 2023.

It's not possible to determine the revenues stemming specifically from Temu, as the annual report bundles the revenue of all PDD subsidiaries together.

However, Statista tells us that Temu's GMV in H2 2023 amounted to $12.26 billion, 191% higher than the year before.

Alibaba Revenue Statistics

Alibaba Group owns the major e-commerce website and app AliExpress. With a market cap of $200.81 billion, the retailer ranks among the top 100 companies worldwide as of 2023.

The retail giant is also a global e-commerce leader in terms of GMV, with the largest market share (23%) as of 2022 (more than Amazon's 12%).

Alibaba is also the biggest e-comm retailer in China by GMV, making up 46% of the local market share in 2023.

Source: Statista

While AliExpress gets fewer US visitors than Amazon and Temu, it's a close competitor to Shein. As of March 2023, AliExpress had 17 million fewer unique visitors than Shein.

Recent figures show that the company is also growing. In FY 2024, Alibaba's annual revenue reached $133.85 billion-an almost $10 billion increase from 2023, when the revenue was approximately $123.5 billion.

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

In terms of revenue streams, domestic revenue peaked in 2022, when it reached $84.27 billion, and it still makes up the largest share of Alibaba's profits. On the other hand, export revenue peaked in 2023 after having reached $14.6 billion.

JD Revenue Statistics

Until Temu came onto the scene, JD.com was the Chinese market leader for e-commerce revenue, having made $151.6 billion in 2022.

Still, JD remains the world's second-largest online store by net e-commerce sales, very close behind Amazon. In 2023, the Chinese retailer made $115.8 billion worldwide in net sales, while Amazon raked in $138.94 billion.

Source: Statista

Moreover, JD's total net revenue exceeded $142.46 billion in 2023. The lion's share of that revenue (over 50%) was from sales of electronics and home appliances. The company also made money from its logistics service, which it launched a few years ago.

Source: Statista

Despite growing international competition, particularly from Temu, JD.com is still the most popular e-commerce store in China, as 61% of consumers in a recent survey voted. Taobao.com was second, voted by 54% of people.

Shein Revenue Statistics

Temu was the most downloaded e-commerce app in 2023, but the fashion e-commerce brand Shein was a close second, with 262 million downloads.

The retailer's website received over 218 million visitors in July 2024 alone. And as of October 2024, the app has been downloaded 199.37 million times this year.

Moreover, Shein has the highest valuation of all e-commerce D2C unicorn companies-$66 billion as of December 2023.

Source: Statista

The fashion retailer is still growing. The Financial Times reports that Shein's FY 2023 net profits exceeded $2 billion-more than double the $700 million generated in 2022.

In terms of pure revenue, Shein reportedly made $32.5 billion in 2023, $10 billion more than in 2022. And Shein is still making strides to expand its global reach, most recently by pursuing an IPO in London.

Pinduoduo Revenue Statistics

This Chinese social e-commerce app combines group buying and social shopping.

Pinduoduo (managing company Pinduoduo Inc.) is another e-commerce product owned by PDD Holdings. But unlike its competitors, Pinduoduo only operates domestically, with PDD Holdings' export revenue coming primarily from Temu.

Although not well-known internationally, it has built a solid consumer base in China, making its way to an IPO in less than three years since its launch.

As of 2023, Pinduoduo is the third-biggest e-commerce retailer in China after Alibaba and JD, boasting a 27% market share.

In Q4 of 2023, the app had around 637 million monthly active users. This number was up by 16 million compared to Q3 2023, signaling rapid growth over just a few months.

Source: Statista

As you can see from the chart above, Pinduoduo also had a great year in 2023 in terms of revenue. The retailer made $35.3 billion (RMB 247.64 billion), almost doubling its revenue from the previous year ($18.6 billion or RMB 130.56 billion).

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

Pinduoduo's gross profits have also been on an upward trajectory since 2017, and the trend is still going strong. In 2023, the company reached a record of $22.23 billion, or RMB 155.9 billion in profits.

China E-Commerce User Statistics

Now that we've explored the Chinese e-commerce market and its key players let's examine their key demographics and user statistics.

E-commerce Users in China

China has the most online shoppers in the world. As of December 2023, 915 million people in China were shopping online.

The number of online shoppers in the country has been growing every year. In 2023, China had 70 million more online shoppers than in 2022, for example.

Source: Statista

The number of Chinese people using e-commerce is forecast to reach 1.22 billion by 2025-over 85% of the country's population.

Both men and women in China are using e-commerce platforms in record numbers. In 2022, Tmall and Taobao's majority of users were women, making up 56% and 51.3% of the user bases, respectively. On the other hand, men made up the majority (65%) of JD's customers.

Source: Statista

As for the age differences, the largest age segment of leading Chinese retailers in 2022 was 36-40-year-olds.

Those under 24 favored Taobao, making up 18% of its audience. The 31-35-year-olds preferred Tmall and JD. The older generation (41+) also made up 21.5% of Taobao users.

Chinese E-commerce Users Abroad

Several Chinese e-commerce websites and apps are massively popular outside the PRC. Temu and Shein are the biggest ones, especially among younger audiences, although JD and Alibaba are also firmly established outside China.

Source: Statista

The international audience for Chinese e-comm apps skews young. Most Shein users (30.7%) are 25-34 years old, with 35-44-year-olds making up 21% of the consumer base.

Temu's age demographics are largely similar, with millennials and older Gen Z-ers making up almost 42% of the market.

When it comes to gender differences, most Shein users are women-they account for 64% of the platform's users. On the other hand, the majority of Temu's users (57.4%) are men.

China Social E-Commerce Statistics

The concept of social e-commerce combines online shopping and social media to facilitate transactions. With China's huge number of social media users, it's no surprise that social e-commerce has been massively successful in the country.

Like this infographic? Feel free to use it on your website or blog, but please remember to give us credit

China's social e-comm market reached $394.3 billion in 2022. Social e-comm also makes up 21% of the country's e-comm market as of 2022. By 2029, this segment is forecast to hit $745 billion.

A report by McKinsey tells us that in the spring of 2024, 45% of Chinese consumers used social media to make online purchases. Other markets, especially those in the West, have struggled to catch up.

Source: McKinsey

Pinduoduo is an important Chinese social e-commerce player. Its model blends online shopping with a social element, allowing groups of buyers to unlock discounts. However, other players are also increasingly tapping into this market.

For example, Taobao's live-streaming shopping generated $109.8 billion in 2022. And Douyin, the Chinese counterpart of TikTok, made $1.37 million from live streams during this year's 618 Good Things Shopping Festival.

Key Challenges & Controversies in China E-Commerce Market

Despite its rapid and fascinating developments, the Chinese e-commerce market has seen its fair share of challenges and controversies, both domestically and abroad.

Intellectual Property Concerns

The Chinese e-commerce market is massive, but the growing demand for Chinese e-commerce goods comes at a price. The vast amount of merchandise put out by these retailers is impossible to sustain without cutting corners, whether by copying designs to save on costs or otherwise.

This is what has made China a global leader in counterfeit goods. Several e-commerce marketplaces, such as Alibaba and Taobao, have been accused of such counterfeiting practices.

These reported intellectual property (IP) violations prove that many brands' IP assets remain unprotected from counterfeiting. Since fakes are often very similar to legitimate products, customers can't tell the difference until the product is in their hands, if even then.

Because of this, brands risk losing revenue and consumer trust, and their intellectual property value could also depreciate.

Export-oriented companies like Temu and Shein haven't been free of IP controversies either. Designers have repeatedly accused both retailers of copying their work, and Shein has faced over 90 copyright-related lawsuits as of summer 2024.

These IP controversies can seriously hinder the growth of the Chinese e-commerce market, especially as consumers around the world become more conscious and aware of these problems. This brings us to another important issue: consumer trust.

Consumer Trust

Although it's often hard to visually distinguish counterfeit Chinese goods from genuine articles, fakes are of inferior quality. These quality issues undermine the consumers' trust in the genuine product's manufacturers.

The large number of fakes on Chinese e-commerce platforms is something consumers are aware of and increasingly concerned about. This concern poses a significant challenge for such retailers, and it's a serious problem that needs fixing to attract more users.

Alibaba is one of the first companies to take on this issue. Known as the Good-faith Takedown Mechanism," the platform's program allows companies with IP registered in China to file takedown requests if they see an infringement.

Such programs are a start. However, they're not foolproof, and they're reactive rather than proactive.

To maintain consumer trust, Chinese e-commerce platforms ought to proactively introduce stricter policies and quality control to address concerns like counterfeiting and low quality.

Sustainability & Workers' Rights

Consumers are increasingly aware of sustainability and acute ethical issues with fast fashion, such as unsafe working conditions and the use of low quality materials. And these conscious consumers actively seek out brands aligned with their values.

Unfortunately, Chinese e-commerce giants like Shein leave a lot to be desired in this regard. Here's a video outlining some of the brand's biggest and most concerning controversies.

Shein and Temu consistently face accusations of forced labor and the use of toxic materials in their merchandise production. The fast fashion" label is not a positive one, not from an environmental, social, or logistical point of view.

The fast fashion business model requires fast turnarounds and thrives on excessive consumption at the expense of sustainability and ethics.

That means exploitative working conditions and a huge output of textile waste-both significant concerns that Chinese e-commerce players must address in the long term.

Export Tariffs

China has a huge export e-commerce market, with players like Shein and Temu exclusively targeting foreign audiences. These retailers' cheap products and large volume of orders give them a unique advantage in some jurisdictions.

For instance, Shein and Temu make the most of UK and EU tax loopholes, where imported parcels less than 135 or 150 aren't subject to customs duties and VAT.

Some argue that, given its record profits, Shein should be taxed. They owe about 150 million (over $195 million) to the HMRC in import duties.

In addition to this, there ispushback from the UK fashion industry, and it's reasonable to expectthe UK to reconsider its stance on such business practices soon.

The EU is already considering imposing duties on low-value goods to address this issue.

Similarly, the US law loophole excluding parcels under $800 from import taxes has been scrutinized in recent proposals by the US government. They recommend removing this exemption for Chinese goods coming into the US.

These new legislative challenges could seriously disrupt the business model of Chinese e-commerce giants and would likely result in the costs being passed to the consumer.

Opening production facilities in Europe or the US could help address this problem, albeit with significant costs attached.

Wrapping Up

The Chinese e-commerce market has been growing steadily in recent years. The engagement of both domestic and international audiences has made the country a global leader in e-commerce.

The domestic market is dominated by several giants like JD, Pinduoduo, and Alibaba. As for international audiences, Shein and Temu have broken records, creating a unique fast fashion market abroad.

However, these developments are subject to several concerns relating to IP, sustainability, and international trade compliance, to name a few.

Combined with ongoing legislative changes in the EU and the US, these trends threaten the long-term stability of Chinese e-commerce retailers abroad unless these brands have an actionable plan to amend these issues.

Sources

Click to expand and view sources

• Share of the Digital Economy in the GDP of China from 2015 to 2023 (Statista)
• E-Commerce Share of Total Retail Sales in Consumer Goods in China from 2014 to 2023 (Statista)
• China E-Commerce (HSBC)
• Revenue of E-Commerce Worldwide in 2023, by Country (Statista)
• E-Commerce - China (Statista)
• Cross-Border E-Commerce in China - Statistics & Facts (Statista)
• Share of China's Cross-Border E-Commerce Transaction Value Among Total Import-Export Transaction Value from 2014 to 2023 (Statista)
• Market Size of Domestic B2B (Business-to-Business) E-Commerce in China from 2018 to 2023, with Estimates Until 2026 (Statista)
• Transaction Value of B2B E-Commerce in China from 2013 to 2023 (Statista)
• Share of Cross-Border B2B E-Commerce in China's Cross-Border E-Commerce Market from 2016 to 2019, with Forecasts Until 2025 (Statista)
• Growth Rate of Cross-Border Export B2B E-Commerce in China from 2018 to 2019 with Forecasts Until 2025 (Statista)
• Distribution of B2C Cross-Border E-Commerce Exports from China in 2023, by Product Category (Statista)
• Number of Newly Registered Cross-Border E-Commerce Companies in China from 2016 to August 2023 (Statista)
• Leading Shopping Apps Worldwide in 2023, by Number of Downloads (Statista)
• Number of Global Downloads of Shopping App Temu from September 2022 to August 2024 (Statista)
• PDD Holdings Annual Report April 2024 (PDD Holdings Investor Relations)
• Gross Merchandise Volume (GMV) of Temu from 2022 to 2nd Half 2023 (Statista)
• The 100 Largest Companies in the World by Market Capitalization in 2023 (Statista)
• E-Commerce Market Share of Leading E-Retailers Worldwide in 2022, Based on GMV (Statista)
• Gross Merchandise Volume Share of Comprehensive E-Commerce Retailers in China in 2023 (Statista)
• Number of Unique Visitors to Amazon, Temu, Shein, and Aliexpress in the United States from September 2022 to March 2023 (Statista)
• Annual Revenue of Alibaba Group from Financial Year 2014 to 2024 (Statista)
• Annual E-Commerce Revenue of Alibaba from Financial Year 2014 to 2024, by Region (Statista)
• Shein Revenue and Usage Statistics (2024) (Business of Apps)
• Top Online Stores Worldwide in 2023, by E-Commerce Net Sales (Statista)
• Total Net Revenue of JD.Com, Inc. in 2023, by Category (Statista)
• Most Popular Online Shops in China as of June 2024 (Statista)
• Number of Visits to Shein.com from June 2024 to August 2024 (Statista)
• Number of App Downloads of Shein-Fashion Shopping Online Worldwide from 2015 to 2024 YTD (Statista)
• Highest-Valued E-Commerce and Direct-to-Consumer Unicorns Worldwide as of December 2023 (Statista)
• Shein Profits Double to over $2bn Ahead of Planned Listing (FT)
• Shein's Pursuit of London IPO Puts UK Regulator Under Spotlight (FT)
• Pinduoduo - Statistics & Facts (Statista)
• Monthly Active Users of Mobile Shopping App Pinduoduo in China from 4th Quarter 2021 to 4th Quarter 2023 (Statista)
• Annual Revenue of Pinduoduo Inc. from 2016 to 2023 (Statista)
• Annual Gross Profit of Pinduoduo Inc. from 2016 to 2023 (Statista)
• Number of E-Commerce Users in China from 2017 to 2025 (Statista)
• Distribution of Users of Leading E-Commerce Platforms in China as of August 2022, by Gender (Statista)
• Distribution of Users of Leading E-Commerce Platforms in China as of August 2022, by Age Group (Statista)
• Distribution of Global Visitors to Shein.com in December 2023, by Gender (Statista)
• Distribution of Visitors of Temu.com as of April 2024, by Gender (Statista)
• Number of Social Network Users in Selected Countries in 2023 and 2029 (Statista)
• Gross Merchandise Volume of Social Commerce Market in China from 2014 to 2023, with Forecast until 2025 (Statista)
• The Top Social Commerce Trends in China that Brands Can Learn From (Campaign Asia)
• Click and Collect: Social Commerce and Data (Exchange Wire)
• State of the Consumer 2024: What's Now and What's Next (McKinsey)
• Transaction Value of Livestream Commerce on Chinese Online Shopping Platform Taobao in China from 2017 to 2022 (Statista)
• The Ascent of Social Commerce this 618 (Jing Daily)
• China Leads the World in Counterfeit, Pirated Products - U.S. Report (Reuters)
• Designers are Accusing Temu of Selling Copies of Their Work (Time)
• Shein is Facing an EU Copyright Rule. What is at Stake? (Reuters)
• Introduction to Alibaba IP Protection Platform (Red Points)
• The True Cost of Shein is One We're Not Willing to Pay (ELLE)
• EU Plan to Impose Import Duty on Cheap Goods Could Dent Shein and Temu (The Guardian)
• Clothing Giant Shein Avoided an Estimated 150 Million of Import Tax on UK Sales Last Year (ITV)
• Shein is Allowed to Dodge Tax' on UK Imports, Says Superdry Chief (The Independent)
• EU to Consider Closing Off Duty Exemption that Aids Shein, Temu (Bloomberg)
• New US Shipping Rules Target China's Shein and Temu (BBC)

The post China E-commerce Statistics - Biggest Market Players Today appeared first on Techreport.