The "renewal" of a small Chinese town by e-commerce and live streaming

The 7th Humen International E-commerce Festival

PR87223

 

DONGGUAN, China, Dec. 14, 2020 /Xinhua=KYODO JBN/--

 

Recently, the opening ceremony of the 7th Humen International E-commerce

Festival was held at the Humen Convention and Exhibition Center in Dongguan

city of Guangdong province. It is an industrial exchange and display platform

for Humen, a Chinese town specialized in women clothing industry, to accelerate

the digitalization of traditional industries, improve the efficiency of the

supply chain and to optimize the image of the local brands and products.

 

E-commerce development and live streaming help break through the bottleneck of

traditional industrial, which has happened in Dongguan Humen town in China.

 

"This year's epidemic only has little impact on the industry. As early as 2017,

some clothing shops in Humen have started selling products through

livestreaming platforms, a great way to tap the consuming potential of China's

third- and fourth-tier cities. That's why the local industry can resist the

risks brought by the epidemic and witness a growth in sales volume," said Wang

Wei, chairman of Humen E-commerce Industrial Park. While China fosters a new

development paradigm with domestic circulation as the mainstay and domestic and

international circulations reinforcing each other, Humen of Dongguan is once

again at the forefront of reform.

 

Yang Tao, executive director of the Shanghai United E-commerce Research

Institute, believes that the epidemic has changed consumers' shopping habits

and the demand for online shopping has been increasing significantly. The data

and technology of e-commerce platforms play a key role in ensuring the

unimpeded flow between supply and demand sides, production and consumption,

which helps China's domestic circulation.

 

"In the past, manufacturers relied on business experience to judge the styles

and production quantities of clothing products. Now, they can test and pre-sell

on e-commerce platforms, and based on pre-sale data, analyze whether the styles

are easy to sell and determine the quantity of production, reducing the

stocking risks," said Li Dingru, president of the Humen E-commerce Association.

 

With this change, the supply-side structure of Humen's apparel industry has

been improving to meet the consumer demands of higher quality. Take Humen

E-commerce Industrial Park as an example,it provides many producer services,

including training for livestreaming hosts, e-commerce marketing, online shops

operation and art design to suit for the demand of transformation and upgrading

of companies.

 

Wang Yaoming, mayor of Humen town, said that the scale and quality of Humen's

e-commerce industry have continued to improve, with optimized structure

benefits and accelerated innovative development. This year, the industry has

been further developing, helping stimulate consumption, attract investment, and

promote employment.

 

In 2019, Humen, with a permanent population of about 600,000, has more than

10,000 enterprises and self-employed individual businesses engaged in

e-commerce and over 150,000 relevant employees, of which 90% are engaged in the

apparel industry.The online sales reached to nearly 47.8 billion yuan through

third-party platforms, and about 380 million parcels were delivered through

express delivery, the amounts of which have been seeing an annual growth rate

of 10%.

 

The rapid development of the new business model fosters new growth areas.

However, it also brings new problems such as low access threshold and uneven

quality of employees. The local industrial parks have also faced problems like

buyer complaints, non standard product tags, and livestreaming in disorder.

 

In order to regulate deviant behavior and prevent follow-up problems, the

Technical Committee for Standardization of Guangdong E-commerce Industrial

Parks has been officially established in Humen in 2019. Since then, it has

successively participated in the formulation of four national standards and two

industrial standards, to promote the healthy and sustainable development of the

industry.

 

According to Li Dingru, the key in standardization also lies in the close

integration of employees and the industry. The local shops in Humen cultivate

their own livestreaming hosts who understand the products and the brands better

and are able to truly impress consumers with their products, increasing the

credibility of shops while avoiding the negative effects of false publicity

brought by KOL hosts or celebrity hosts.

 

Source: The 7th Humen International E-commerce Festival

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