What's Behind the Rapid Growth of Tmall, AliExpress, and Other Chinese Shopping Apps?

The Chinese cross-border shopping app 'Tmall' has been installed on approximately 9 million mobile phones in the Korean market, demonstrating overwhelming price competitiveness. During this period, installation numbers, along with another prominent Chinese shopping app, AliExpress, have reached close to 13.33 million, confirming the growth trend of Chinese cross-border apps.

 

The user base of Chinese shopping apps, including Tmall and AliExpress, is also steadily increasing. In November last year, AliExpress ranked fifth in the shopping sector, but within just one month, it climbed to fourth place. Similarly, Tmall also showed an upward trend, rising from 14th to 6th place during the same period, and then to 7th place in December.

 

Considering this growth trajectory of Chinese shopping apps, there is a strong possibility that Chinese cross-border apps may soon enter the top three positions in the domestic shopping app market, currently held by Coupang, Daangn, and 11th Street.

 

The growth of Chinese shopping apps is bringing new changes to Korea's e-commerce market.

 

The popularity of Tmall and AliExpress lies in their provision of cheap prices and a wide range of products in a 'bang for the buck' manner. Especially, free shipping from China provides consumers with even greater appeal. However, there are concerns that these Chinese shopping apps may be selling products that distort Korean history and culture.

 

While there is a need to acknowledge the competitiveness of Chinese shopping apps, there is also a need to prepare countermeasures against cultural encroachment. It is necessary to analyze why consumers choose Chinese shopping apps in the Korean market and formulate strategies for domestic shopping malls to maintain and expand their competitiveness. Especially in terms of culture, it is important to reassert the value of domestic products to consumers and activate a consumption culture that respects Korean history and culture.

 

The growth of Chinese shopping apps is bringing new changes to Korea's e-commerce market. It is clear that proactive and strategic responses are necessary. Based on Korea's tradition and culture, domestic shopping malls can overcome the competition from Chinese shopping apps by providing new services and experiences.