According to Beijing-based think tank AnalysysInternational’s newly released report, the total transaction value of China’s B2C market in Q1 reached RMB 81.87 million, up 7.6% from last quarter or up 73% from a year earlier.
Tmall.com still leads the team (37.38%), and 360buy is catching up with a share of 17.23%. Analyst Chen Shousong from the market researcher believed in the future the competition between these two would be more serious.
On the hand, some minor names were more eye-catching when coming to competition. Suning’s great efforts on B2C market this year brought itself to the top three (last year, its share is only 1.00%). Tencent’s ecommerce arm (consisting of shop.qq.com and buy.qq.com ranks right after Suning, the first time that Tencent has showed its potential in the sector, showing a sign of imminent landscape shifting.
The report also pointed out that with the increasing cost of marketing, it is even harder for the e-commerce companies to gain profits thus they all choose to reduce the advertising investment in the coming quarters. It also ascribed the relatively weak market in Q1 to a flurry of big sales in last Q4.
Top 10 Players in China B2C Sector in Q1 2012
Service Market Share