With the Chinese cross-border ecommerce entering a golden period of development, more and more foreign brands regard the Chinese market as the next growth point, and they start exploring the market by setting up flagship stores on cross-border ecommerce platforms.
Following Aldi’s entry into the China market last year, another German supermarket chain brand Lidl announced its entry into the Chinese market on September 28. With a new Chinese name “Lide”, it has set up flagship store sales on two cross-border ecommerce platforms: JingDong Worldwide and Tmall.HK to sell its self-brand products.
It is reported that currently there are nearly 200 kinds of commodities in the Lidl stores, featuring cost-effective products and covering categories such as health care products, snacks, and mother and baby products. Lidl and Aldi are the top two chain supermarket brands in Germany. Established in 1930, Lidl was originated from a small food wholesale shop. After years of development, now Lidl has become a well-known retail brand in Europe and the United States which are highly welcomed because of its high-quality and fair-priced products.
For one thing, depending on its powerful global supply chain network, Lidl selects best suppliers with strict safety and quality standards. It only purchases one product for each category and each order is no less than 50,000 pieces, which greatly reduces product and transportation costs; for another thing, Lidl reduces operating costs by optimizing product display and controlling number of employees. The series of measures make high cost-effective goods possible.
In recent years, favorable governmental policies have brought along rapid development of the entire ecommerce industry. With increasing usage of mobile payment technology and logistics transportation system, ecommerce platforms have become the first choice for consumers.
It is expected that more overseas retail brands would enter the Chinese market through cross-border ecommerce platforms, which is undoubtedly great news to Chinese consumers who aims to pursue a higher quality life.
