In the past decade, China has emerged as a leader in consuming goods, with consumption increasing by about 10% annually and projected consumer economy reaching 6.1 trillion in 2021. To put it into perspective, spending on China’s Singles’ Day (Nov. 11) registered at about $25 billion, which is double U.S.’s Black Friday sales which rang in at $14 billion. Much of this can be attributed to the exponential growth of e-commerce, especially as it’s in its early days of a middle class boom. E-retail rises especially as mobile payment options become more widespread and accessible, shown through the extensive use of phone applications like WeChat Pay and Alipay. Alibaba, the owner and launcher of Alipay, is committed to investing in delivery infrastructure all around China, making it possible to not only purchase products easily, but also receive online products in as quick as 12 hours.

According to a recent Insight Focus market study about e-commerce in China, social commerce has become a favorited way for Chinese companies to advertise products and publicize their products’ quality. Store pages on WeChat are easily accessible, and are easy ways for consumers to learn about upcoming promotions, brands, and new products. WeChat allows companies to display promotional messages, and acquire new followers on their company page, driving potential customer traffic to the page and eventually, their store’s website or app. Having the role of the most used social networking site in China has allowed WeChat to generate more usage through people looking to connect with friends and family, but also through companies hoping to reach out to a targeted audience. When advertising is incorporated in consumers’ daily lives, it becomes easier to have promotions and products surrounding them, contributing to a consumer’s knowledge and eventual purchasing of a product.

Multinational tech conglomerate Alibaba has been dedicated to improving logistics efficiency, which in turn will give consumers their products at a much faster rate. According to the South China Morning Post, Alibaba is so committed to fast delivery, that they plan to deploy 1 million smart delivery vehicles to improve logistics efficiency. This will be done through the use of AI technology, artificial intelligence, which will boost the amount of deliveries and allow customers to receive their packages at a much faster rate. Alibaba already covers more than 1,000 districts in China, increasing fast deliver options for Chinese consumers that don’t reside in major cities. On top of that, their desire to strengthen their efficiency to be able to deliver to Chinese consumers in less than 12 hours could be an attractive feature for future consumers, and further expand the sphere of Chinese ecommerce.

Chinese consumers are feeling more and more confident about the state of their economy, especially with the common yearly trends of China’s long term growth. According to Trading Economics, China’s economy, which emerged as a growth model concerned with high volume manufacturing, has now shifted its focus to higher quality and efficiency—the same efficiency that companies like Alibaba are determined to improve. High consumer confidence also attributes to the increasing consumption of goods, and according to data from the State Council for the People’s Republic of China—the China Consumer Confidence Index has been rising for three consecutive quarters, currently reaching an all-time high at 125 points. Consumer confidence has been at a steep increase since 2016.

Consumers like quick delivery and easy access, as shown through the ecommerce wave that has hit China’s market in the past few years. WeChat only expands advertising opportunities for companies, which increases accessibility for consumers, and Alibaba tends to consumer wants, which is quick and fast deliver. Social ecommerce and efficient logistics has emerged as one of the best ways to expand China’s market, and at this rate, China is looking at an exponential rise in consumer consumption.