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2024年5月29日

The 9 ranking of cross-border EC by country! Also explains EC in Southeast Asia, which is in the spotlight!

The good thing about modern business is that with globalization, all types of businesses can aim to expand their business opportunities.


One of the most notable is the global-wide business using "cross-border e-commerce.


It is no wonder that this type of business is attracting attention, as it has the potential to generate enormous profits that could not be obtained through conventional "business by Japanese to Japanese.


  • Ranking of Countries to Target

  • Ranking of Countries to Use

  • Latest Trends in Southeast Asia that Requires Attention


Let's input the above points in the goods sales business using cross-border EC through the article.




Global Trends in Cross-border EC and 3 Target Countries from Japan's Perspective

The selection of "target countries" is an essential part of doing business using cross-border EC.


And in order to properly select target countries, it is necessary to understand the global trends of cross-border EC business as seen from Japan.


In conclusion, the following three countries and regions should be targeted.


  • China

  • U.S.A.

  • Southeast Asia


This section explains why you should target the above.


The current cross-border EC-based goods sales business is as follows on a global scale.


China (50.4%) dominates the EC market size. Next are the United States (18.4%), the United Kingdom (4.5%), and Japan (3.1%)

Chinese consumers' purchases from Japanese businesses totaled 2,256.9 billion yen

U.S. consumers' purchases from Japanese businesses totaled 1,305.6 billion yen


Source: FY2022 e-commerce market survey


What is clear from these figures is that "China is overwhelming.


Approximately twice as much is purchased from Japan via cross-border e-commerce as from the U.S., so it is no wonder that this market has attracted so much attention.


And although the U.S. market is only half the size of China's, it is a target country that should not be ignored.


This is because the U.S. is an "English-speaking country," and if the U.S. can be set as a target country, it is relatively easy to set other English-speaking countries as targets as well.


Potential English-speaking countries are the United Kingdom, which ranks fourth in terms of EC market size, and Canada, which ranks ninth.


Therefore, it is an extremely rational choice to set "China" and "the U.S." as targets, even though they are standard.



Southeast Asia" is a key area of focus.

The aforementioned targeting of "China" and "the U.S." has become so common knowledge in global business that it has penetrated the market as a kind of theory.


Although a business strategy that follows the theory can reduce risk, it also means that there is competition, and therefore, returns are limited.


What we want to be aware of is to focus on "countries and regions that are likely to grow in the future.


The fewer the competitors, the easier it is to get around, and above all, if you can establish yourself as a pioneer, you have a better chance of earning medium- to long-term returns.


The target countries for cross-border EC that we would like you to focus on in the future are "Southeast Asian countries.


The reasons for this are summarized below.


  • Population rising trend will continue in the future

  • EC market size tends to expand as population rises

  • A pro-Japanese culture has already permeated the region

  • Diffusion of Internet environment due to infrastructure development

  • High SNS usage rate even by global standards


It is a well-known fact that Southeast Asian countries are experiencing ongoing economic development, so forward-thinking companies and businesspeople are already planning to expand their operations.


Southeast Asian countries, where Japan has already penetrated in terms of culture, such as anime and manga, have a high affinity with Japanese companies, making them a target in addition to the U.S. and China.


China】Top 3 Recommended Cross-border EC Rankings

From here, we will introduce recommended cross-border EC by country and region.


  1. Tmall Global

  2. Jingdong International (JD Worldwide)

  3. Pinduoduo


First, let's check out the above three as China's cross-border e-commerce sites.


1: Tmall Global

Source: Tmall Global


Tmall Global is an e-commerce platform operated by the Alibaba Group, one of China's largest and most respected companies.


Companies and brands from China and other countries can open stores on Tmall Global and use its high credibility and name recognition to develop their business of selling goods in China.


Like Japan's Amazon, the distribution network and marketing network are already in place in China, making it possible for companies with no prior business experience in China to develop their business efficiently.


2: JD Worldwide


Source: JD Worldwide


JD Worldwide is an e-commerce site that has gained tremendous support in China since its establishment in 2015.


Its greatest feature is that it has its own logistics network.


In Japan, Amazon and Rakuten have been discussing their logistics problems, but by owning their own logistics network, they are able to smoothly develop their business in China, which has a huge population and vast land area.


Logistics can be a bottleneck for some products sold, so if you are concerned about logistics, we recommend that you consider using JDINET.



Pinduoduo


出典:拼多多(Pinduoduo)


Source: Pinduoduo


Pinduoduo is a cross-border e-commerce site with strengths that set it apart from its competitors.


Its greatest feature is that it makes full use of the "social commerce model" utilizing SNS.


By using WeChat, the "Chinese version of LINE," for marketing, Pinduoduo is able to appeal directly to customers.


Also of note is the "group purchase" discount service.


By shopping as a group with family and friends on WeChat, you can get a discount on purchases.


In addition, the site incorporates a variety of other social elements unique to the modern era, so it should be easier to achieve better results than other EC sites by adopting an EC strategy that effectively utilizes these elements.


America] Top 3 Recommended Cross-border EC Rankings

Next, we will introduce recommended cross-border EC sites in the U.S.


  1. Amazon

  2. eBay

  3. Walmart


The following is a brief summary of the above three sites, which are also familiar in Japan.


Amazon


出典:Amazon


Source: Amazon


Amazon is an e-commerce site that no longer needs explanation.


While it enjoys a huge following in Japan, it also reigns supreme in its home country of the United States.


Logistics, marketing support, and ease of use are all top-notch, and it is no exaggeration to say that just by opening a store on Amazon, you can reach the entire world.


If you are already using Amazon to sell goods to the Japanese market, you will appreciate the significant reduction in the cost of opening a store.


eBay


Source: eBay


Originally started as an auction site, eBay is another major e-commerce site in the United States.


Its greatest feature is that it offers two pricing methods: auction format and fixed price,


  • Rare and valuable items

  • Vintage items

  • Collectors' items



If you are selling such items, you have the potential to make higher profits than other e-commerce sites.


Since the scale of cross-border e-commerce in the form of auctions is so large and rare, it is well worth considering using this method.


Walmart


出典:Walmart


Source: Walmart


Walmart was originally founded by


Walmart originally grew through its brick-and-mortar business and is now one of the largest retailers in the United States.



Recently, the company has also been growing its online store business, and its store network and local supply chain developed through its physical store business are its most distinctive features.



The e-commerce service called "Walmart Marketplace" enables e-commerce businesses to take advantage of Walmart's high name recognition from all over the world.



Since the service is pervasive in people's lives, goods such as daily necessities and consumables are considered to be a good match.



Southeast Asia】Top 3 Recommended Cross-border EC Ranking

Finally, we will introduce the Southeast Asian cross-border EC sites that will be the focus of attention in the future.



  1. Shopee

  2. Lazada

  3. Tokopedia


Let's check out these three cross-border e-commerce sites.


Shopee


Source: Shopee


Shopee is the leading cross-border e-commerce site in all of Southeast Asia and enjoys overwhelming support.


Based in Singapore, its greatest feature is the wide range of genres it handles, from fashion to food.


It has also built a strong logistics network in Southeast Asia, which has a complex topography, and offers Amazon-like same-day and next-day delivery services.


By opening a store on Shopee, you can target almost all ASEAN countries, so if you are considering cross-border EC business to Southeast Asia, there is much room for consideration.


Lazada

Source: Lazada


Lazada is a popular cross-border e-commerce site operated by China's Alibaba Group and headquartered in Singapore in Southeast Asia.


As mentioned earlier, the Alibaba Group operates a cross-border e-commerce site called "Tmall Global" and is leveraging this expertise.


The company's logistics, product lineup, and even marketing support are extremely well-developed, and the attraction is that opening and operating a store can be significantly reduced.


Tokopedia

Source:Tokopedia


Tokopedia is extremely popular in Indonesia, which is experiencing remarkable economic development among ASEAN countries.


It is especially popular among young people, and the biggest reason is its partnership with TikTok.


TikTok owns a stake in Tokopedia, and has stepped in to manage the company and promote it to dominate the e-commerce market.


Also not to be overlooked is the fact that the company is offering services to cater to the Muslim market in Indonesia in order to adapt to the local market.


If you want to target Indonesia, which is showing remarkable growth among ASEAN countries, this is a cross-border e-commerce site that you cannot afford to miss.


Conclusion

The use of cross-border EC sites is essential for business from Japan to the rest of the world.


It goes without saying that China and the U.S. are effective, but it is also effective to look at Southeast Asia, which has been growing remarkably in recent years.


Let's consider developing your worldwide business with reference to the EC sites introduced in the article.

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