dimanche 6 octobre 2013

Distribution in China: the dreamt land




A turnover(sales) increasing by 6 % planned in 2013 and a market estimated(esteemed) at 11,8 billion dollars by 2016. Close by, 3,1 billions in the Western Europe and 4,4 billions in America of the North waited for the same year make weak face(figure). For the consulting firm PricewaterhouseCoopers ( PwC ), the locomotive of the consumption and the distribution(casting) whistles in Asia-Pacific.

According to a study ( PDF) realized in partnership with Economist Intelligence Unit and published on Wednesday, April 3rd, it is China which, unsurprisingly, pulls(fires) the train of the growth of the sector, and by far. In spite of a growth at the lowest for thirteen years, its sales in the distribution(casting) are called to progress of 10,5 % this year, far in front of India (6 %), Malaysia (5,7 %) and Indonesia (5,5 %).

RISE OF THE MIDDLE CLASS

The exponential growth of the Asian giant should allow him to take the first place in 2016 the world market for distribution, thanks to the rise of the middle class. At the 18th National Congress of the Chinese Communist Party in November , the country's leaders said they wanted to double the gross domestic product ( GDP) and per capita income of urban and rural households by 2020 . According to PwC , Chinese households middle and upper classes, whose annual income is more than 15,000 dollars a year, should represent , by 2016 , 41% of the national population , against 11% in 2011.

" Based on this fact , distributors present in China only concentrate on the cities of the first and second rows , but also want to accelerate their development in the cities of the third and fourth in terms of the potential of these markets are undeveloped "explains Thierry Charpentier , Director PwC China specialist .

The Boston Consulting Group (BCG) made ​​the same observation in a November report estimated that by 2020, the wealthy Chinese class would more than double ( 280 million people ) and ensure 75% of the growth in purchases of products luxury in China. According to the firm , the affluent Chinese , under strong social pressure to " assert their status," are willing to be " on top of trends " and develop expensive tastes increasingly sophisticated in order to differentiate . Product categories that should especially benefit from this boom are the luxury apparel , automotive and cosmetics.

In this last segment , France is particularly active . From 2010 , L'Oréal took second place in the market, behind American Procter & Gamble. Building on this success , the brand does not stop there way : to meet the demand , it is opening a new factory on the continent " every two or three years," stated in November ( link subscribers) Jochen Zaumseil , general manager for the Asia- Pacific region. Meanwhile, the group opened in January its first research center in India in order to " accelerate innovation " for local consumers and adapt the offer to the market.

USH OF THE CHINESE CONSUMERS ON THE INTERNET

It is however the Asian market of the fashion and the clothing that will pull(fire) most the growth of the distribution(casting) (+ 5,1 % waited in 2016). The group Inditex, the owner of eight signs(brands) of clothing (of whom(which) Zara and Bershka), takes advantage of it widely: on his(her,its) 482 openings of shops Zara in 2012, 121 were made in China. The mark(brand) also dashed on the Clear(Net) Chinese in September, decided well to take advantage of the gigantic development of the e-commerce.

Read the note(mark) of blog: " Cha*el, Chanle, Chanele, Ch@nel... Made Chanel in Mocked "


In 2016, Asia should indeed represent 41,4 % of the world sales of the e-commerce " business to to consume " (B to C). China will monopolize it more than half: 23,4 % in 2016 against 9,9 % today. 

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