The Australian food and beverage boom in China
Asia’s demand for quality Australian food and beverages is at an all-time high and will continue to boom for decades to come.
By 2050, 60 per cent of the world’s demand for agrifood will come from Asia, with China responsible for 43 per cent of the global growth in food consumption.
China is the world’s largest food importer, with 300 million middle-class citizens and a larger urban than rural population. China’s urban population is not only getting larger; its income levels are also rising – making imported products more affordable for more consumers.
Australia’s reputation for clean, green produce is our greatest advantage
The ‘new’ Chinese consumer has lost confidence in local food and is now seeking high quality clean, green, healthy and safe food and beverage products, and they are willing to pay a premium for these quality goods.
Australia’s food and beverage industries are already highly regarded by Chinese consumers. As the ‘food bowl’ of Australia, Victoria is perfectly placed to take advantage of this booming market.
Why are so few businesses capitalising on this huge opportunity?
Despite promising business prospects, a number of challenges have restricted Australian businesses from capitalising on the opportunities in China.
So with all these challenges to overcome, how can you begin on the journey to business success in China?
China’s ecommerce market – the world’s largest online marketplace
China's ecommerce market is growing at a rapid annual rate of 25%. Based on Bain & Company analysis, business-to-consumer (B2C) online retail in China will grow three times faster than overall retail. In fact, by 2018 half of total online sales will come from Tier-3 cities and below. Online grocery sales in China rose nearly 50 percent in 2014, while hypermarket and supermarket sales rose only 6.7 percent.
There has never been a better time for your business to tap into the Chinese online market.
The explosive ecommerce market growth and increased reliance on imported goods to China affords food and beverage manufacturers and exporters an opportunity to reach a lucrative market and increase competitiveness on a global scale.
Overcoming challenges via an innovative export initiative
A new export initiative, the VECCI Export Services China eCommerce Platform, can help you overcome the hurdles of doing business in China.
Delivered by VECCI Export Services Pty Ltd in conjunction with Shanghai-based ecommerce company, Yiguo E-commerce Co. Ltd (Yiguo), the eCommerce Platform will market Australian food and beverage products directly to mid to high-income Chinese consumers.
Our alliance partner, Yiguo www.yiguo.com is a B2C food products-only website established in 2005 that has a reputation as one of China’s leading online fresh food retailers. Alibaba Group invested in Yiguo in 2014 and Yiguo now exclusively manage the fresh food section of Alibaba’s online grocery store – Tmall Supermarket (http://chaoshi.tmall.com/).
VECCI China eCommerce Program will provide a direct access of Australian food and beverage products to the Tmall Supermarket and then distribute nationally in China based on consumers’ orders. Tmall.com is the 18th most visited website globally and 7th most visited site in China (Alexa, July 2014).
This online platform enables you to eliminate a number of ‘middlemen’ in the import and distribution process and sell products directly to Chinese customers. The website’s reputation for high-quality, trustworthy products makes it an effective platform for you to build and promote your brands to the world largest consumer base.
Importation, warehousing, sales and marketing and local logistics are all taken care of by VECCI Export Services and its alliance partners in China, so you have on-the-ground expertise on your side without having to leave your workplace.
You will also receive first-hand consumer feedback on a regular basis, enabling you to customise products to suit Chinese consumer appetites.
As well as access to Yiguo’s extensive database of online shoppers, and the opportunity promote your brands to an already captive Chinese audience, companies participating in the VECCI Export Services China e-Commerce Platform will also receive VECCI Export Services’ support on:
compliance with Chinese import regulations and obligations
China Inspection and Quarantine (CIQ) clearance
warehousing, logistics and delivery
products and company profile promotion on Tmall Supermarket website
online sales and marketing strategies
customer surveying and feedback.
300 million Chinese consumers are waiting for your products.
What are you waiting for?
To join the VECCI Export Services China eCommerce Platform, or to find out more, please complete the form or contact: