FedEx Express, a subsidiary of FedEx Corp. has released a white paper, “E-commerce Megatrends to Watch,” that highlights the seven most significant digitally relevant megatrends occurring in China, the world’s biggest e-commerce market, and how these are set to have a profound impact on e-commerce trend development across the Asia Pacific region and beyond.
The trends in the white paper have emerged from a FedEx Express commissioned research findings conducted through desk research, scorecard assessment, and in-depth interviews.
Covid-19 has been a catalyst for e-commerce growth worldwide. While businesses of all sizes want to capitalize on it, leaders in this space are reimagining new frontiers for e-commerce.
This white paper examines the drivers behind the current shift in consumer behaviors and attitudes and reveals the trends that businesses should consider while mapping out their long-term e-commerce strategies.
Kawal Preet, president of the Asia Pacific, Middle East and Africa (AMEA) region at FedEx Express said their research showed that the Asia Pacific, Middle East and Africa (AMEA) region will be at the forefront of e-commerce growth for many years to come.
“With rising disposable incomes, growing internet penetration, and emerging cross-border e-commerce markets, there is a huge amount of growth yet to be realized here,” she said.
Preet said logistics being the backbone of the e-commerce ecosystem, the simplicity of click to buy must be matched by the speed and convenience of delivery.
“We continue to build robust networks that offer smart supply chain solutions as well as highly personalized delivery services to help businesses unlock new opportunities as the frontiers of e-commerce advance.
“Just like consumers aspire to live their best lives through connected, immersive, sharable and engaging digital services, businesses are seeking to stay at least a step ahead of meeting those expectations.
“Logistics now sits at the intersection of this physical and digital world. This means we have a vital role to play in shaping the future of e-commerce, creating more cross-border options for consumers and SME businesses alike,” Preet added.
E-commerce is expected to grow at an average of 47% in the next five years globally. The Asian market leads the field at 51%, followed by Europe (42%) and North America (35%).
In the Middle East and Africa, the combined e-commerce market value is expected to reach to $73 billion by 2025.
However, growth in China, in particular, has eclipsed the rest of Asia, with e-commerce sales in 2020 that reached $1.3 trillion with a projected increase to nearly $2 trillion by 2025.
The promising outlook also creates vast opportunities for logistics companies to grow. The global E-Commerce Logistics market is projected to register the highest gains of approximately 6.6% year-on-year during 2021-2028, reaching $118,847 million by 2028.
Salil Chari, senior vice president of marketing and customer experience, Asia Pacific, Middle East & Africa (AMEA) at FedEx Express said, “We’re living in exciting times where the latest technologies are shaping human behavior, ushering in the next wave of the e-commerce revolution.
“Through enhanced connectivity, on-demand services and shared economy, a new era of e-commerce is here and opening up new possibilities for even the smallest businesses to compete on the global stage.”
Chari added, “However, in order to win, businesses must continue to rethink and reinvent how and where they are engaging with consumers. This white paper is important as it signals where these opportunities lie.”
