Views: 0 Author: Site Editor Publish Time: 2022-01-09 Origin: Site
Times change, like waves washing away the sand, some industries will gradually withdraw from the stage of history, while some emerging industries are mushrooming and developing rapidly.Internet + epidemic, such a complex and changeable market environment has brought China's cross-border e-commerce industry to a new stage of development, and has also brought many opportunities and challenges to many merchants. For Chinese merchants who have been engaged in the apparel industry for a long time, everyone knows that the United States is the preferred market. However, as the level of competition continues to increase sharply and the U.S. market becomes saturated, more and more merchants are beginning to consider moving to the European market. So which market would be better to choose?The editor highly recommends Germany today. Why?Because among European and American markets, the German retail e-commerce market is large in scale and has a stable and healthy growth rate. Especially due to the epidemic last year and this year, the German retail e-commerce market has been growing rapidly. The most important thing is that this growth trend will continue in the future. Time will continue. Next, I will give you an in-depth explanation of the current situation of the German retail e-commerce market, the category opportunities of online fashion clothing, and what Chinese merchants can do to achieve business growth in the German market. 1. Current status of the German retail e-commerce market and opportunities in the online fashion apparel category Why does the German market among European countries have greater opportunities for Chinese merchants? First of all, the size of the German retail e-commerce market reached US$82 billion in 2020, an increase of 13% compared with 2019. It currently ranks second in Europe and has significant room for cross-border e-commerce growth. Secondly, through relevant surveys, 35% of consumers in Germany have purchased products and services provided by cross-border e-commerce, and among these 35% of German consumers, 43% have chosen Chinese service providers, which shows that Germany People have a certain degree of awareness and recognition of Chinese products or Chinese services. Furthermore, after the epidemic in the past two years, the focus of German consumers’ consumption has changed. They spend more on daily necessities, and pay more attention to product quality and cost-effectiveness in the consumption process. This is for Chinese merchants with strong supply chains. Easier to meet the needs of German buyers. Finally, according to the survey, 55% of German consumers expressed their willingness to try new sellers and brands, which provides great opportunities for Chinese merchants who have never entered the German market. The latest data shows that the revenue of the apparel industry in 2019 was as high as US$1.91 billion, second only to the electronics industry, which ranked first, and it is expected that the apparel industry will grow again in the next five years.Therefore, for Chinese cross-border e-commerce merchants engaged in the clothing industry, the German market is undoubtedly a good choice. There are many types of clothing product segmentation. If you can segment the product types and select the right products before entering the German market, it will be relatively easier to succeed in the entire German marketing process.In the clothing industry, which product should we choose better for Germany? Fashion clothing is a very large category. Which subcategories are more popular among consumers in Germany?It is recommended that Chinese merchants think or choose from the following three dimensions. 1) Star category Such products include women's shirts, women's pants, women's sweaters, etc. The price of such products in Germany is higher than the average US dollar price of all e-commerce products overall, and there is a huge market demand in Germany, which can satisfy Chinese merchants' pursuit of quality products. quantity demand, and at the same time, it can also meet the profit-seeking needs of Chinese businesses. Therefore, for Chinese merchants who have just entered the German market, this type of product is a category that must be paid attention to. 2) Clothing categories that are easy to purchase This type of products includes women's underwear, men's underwear, women's tops, men's tops, men's short-sleeves, etc. The volume of these products is very fast in Germany and it is easy to achieve large-scale production in a short period of time. However, the price of the products is relatively low, which is not easy. Increase the amount of consumers' single consumption, so this type of product is more suitable for Chinese merchants who want to quickly start selling in Germany. 3) High consumption unit price product types Such products include men's jackets, women's jackets, women's dresses, etc. Due to their relatively high unit price, it is easier for Chinese merchants to meet profit needs.If you want to increase consumers' single spending amount in the German market, these product types are the best choice. Finally, from the search data for the German market, women's clothing, jackets, men's clothing, and children's clothing are the most searched categories in the German market, while men's clothing, pants, and children's clothing are the categories with the most obvious growth year-on-year in 2019. Therefore, for the clothing industry For merchants, choosing which categories to use to enter the German market requires careful consideration based on their own product supply chain. 2. Google Ads account: Choose the right advertising format and target your audience! The second factor that affects whether Chinese merchants can successfully enter the German market is Google's advertising strategy.According to the purchasing characteristics of Germans and the characteristics of online shopping groups, the following two aspects are what Chinese merchants should pay most attention to when placing Google Ads. 1) Mainly search-type ads During the epidemic, the purchasing intention and purchasing behavior of German offline to online consumers increased by 20% from 2019 to 2020, and Germans paid more attention to online searches when purchasing clothing. Therefore, for Chinese e-commerce, If you want to enter the German market through Google Ads, it is recommended to focus on search network advertising in the early stage of advertising. The types of ads that can be selected by Google Ads are:Search ads, shopping ads, and TrueView video discovery ads。 ①Shopping ads Shopping advertising is a form of advertising that Chinese merchants must do to enter the German market. When buyers see the advertisement, they can see product pictures, product prices, product introductions, etc., and use this important information to determine whether they like the product. products, this form of advertising can greatly meet the needs of consumers. What's more important is that this form of advertising is strictly censored. All merchants that place this type of advertising must be merchants with relevant qualifications and regular sources of goods. Therefore, buyers do not have to worry about receiving the goods and finding that they are inconsistent with the product pictures on the website. For Chinese merchants, when placing shopping ads, they must pay attention to the title description of the product, and the content focuses more on the description and introduction of product quality, because survey data during the epidemic shows that German buyers pay more attention to product quality and cost-effectiveness. The product is definitely their first choice. ②Search advertising Search advertising is the most intuitive way to display online search results and can help consumers quickly find the information they want. However, German buyers are relatively price-sensitive when shopping online. Therefore, when placing search ads, it is recommended to include slogans or additional text in the advertisement. Add the product price to the information so that consumers can clearly know whether the product price is acceptable before clicking on the ad. This can greatly improve the quality of traffic brought by Google Ads. ③TrueView video discovery ads TrueView video discovery ads will appear next to organic search results on YouTube search results pages. The ads include thumbnails, titles, channel names, and video views. Top-ranked ads may also appear on organic search results pages. In addition to category, TrueView's advertising effect also depends on the quality of the material, so it is crucial to create efficient video materials.(For the convenience of material creation, you can refer to the article:Have you learned YouTube advertising and marketing in the audio and video era?Click three easy steps to get guaranteed membership!） 2) Accurately locate consumers Germany has the highest proportion of consumers aged 45-54!Compared with other markets, the main online shopping consumers are concentrated in young groups, such as those aged 18-44. But for the German market, Chinese merchants may want to pay attention. Among the overall online shopping population, women aged 45-54 are the main consumer group, followed by women aged 25-34. As for the male consumer group in Germany, the consumer group is mainly those aged 45-54, followed by those aged 25-34.Therefore, when using Google Ads to launch in the German market, we must be precise in the positioning of the crowd, and the age and gender must conform to the consumer characteristics of the German market. 3. Website side: Focusing on localized operations not only greatly increases the order rate, but also reduces the return rate Different from other common markets such as the United States and the United Kingdom, the German market also has its own symptoms, which are mainly reflected in the focus of consumers on the content of the page after entering the website.So what should Chinese merchants pay attention to when operating their websites? 1) Highlighted content on the homepage Promotional information, quality promotion, delivery (free delivery with minimum purchase amount and time) and return policy.German buyers pay attention to product quality and product delivery services, so this type of content must be highlighted on the homepage of the website, so as to guide consumers to learn more about the product and generate an order intention. 2) Product page Highlight product information, payment methods, estimated delivery date, return and exchange time and fees, and reviews on the product page.According to experience, the conversion increase can reach 10%-15% after adding good reviews to the product page. 3) FAQ page 38% of customers believe that localized FAQs are essential content. If buyers cannot view these contents, one-third of customers will abandon their shopping carts. Therefore, Chinese merchants must pay attention to the FAQs page and include it on the page. clearly explain the relevant content. 4) Logistics service providers and distribution information Well-received logistics service providers in Germany include DHL, Hermes, dpd and UPS. The main delivery method is that 79% of users choose delivery, and 28% of online shopping users are willing to pay for expedited delivery.Therefore, two delivery methods are recommended:Standard shipping, as well as expedited shipping. In addition, 40% of German buyers also expressed the desire to provide the option to change the delivery address or time after the goods are shipped.This is also something that Chinese businesses need to pay attention to when entering the German market. 5) Payment method Unlike American buyers (60% of American buyers will choose to use credit cards to pay), most German buyers prefer to use bank transfers, and Sofort is relatively more popular during the bank transfer process. In addition, it is recommended to add safety signs, safety text descriptions, and progress bars on the checkout page. These will greatly improve users' sense of security and ensure that users can successfully place orders as they wish. Finally, the German market has great potential, but the return rate in Germany is also higher than in other common regions such as the United States and the United Kingdom. Therefore, Chinese merchants must pay attention to product quality when selling products, and highlight product cost-effectiveness and product quality on the website. The convenience of logistics can gain the trust of more consumers and guide consumers to place orders as soon as possible. 3. Google Ads effect display: sales increased 4 times in just 2 months! Customer background - Shanghai CompanyGoogle Ads smart advertising + popular categories + precise positioning + localized language operation = sales volume increased by 4 times. 1. Website effective traffic:Within just 2 months of advertising,The average daily traffic of the website achieved a positive growth of 2.35 times。 2. Order growth:In just two months, the traffic volume increased.Average daily order volume increased by 4 times。 3. Turnover: Average daily sales increase with orders,increased by 4 times。 For this company, the entire early stage of Google Ads placement focuses on search and shopping ads, while using Google smart products and smart bidding. Throughout the launch process, with the increase in website traffic, orders and sales have also increased simultaneously, indicating that the overall operation is at a healthy level. It also shows that the selection of products and website optimization are more in line with the tastes of local Germans, so in Rapid and steady growth can only be achieved through advertising. 4. What is the future trend of the German market?As the times evolve, what preparations should Chinese businesses make in advance? Currently, for the German market, web traffic is still the main source of traffic for a large number of Chinese retailers. Therefore, in order to better win the German market, Chinese merchants should pay more attention to the user experience on the website. However, with the development of the Internet, the rapid growth of mobile traffic must be a trend in Germany, and recent data shows that the importance of App traffic is becoming increasingly prominent. Judging from the data of the past three years, the growth rate of monthly active users on the APP side is significantly higher than that on the web side. Therefore, in the long run, in addition to the current web side, Chinese merchants can build their own APPs in advance and continuously optimize the user experience on the APP side in order to do things in advance. Be prepared for the next changing trends in German traffic. Finally, for e-commerce customers in the clothing industry, the German market is a great opportunity. However, before entering the German market, you still need to do market analysis in advance and understand the needs and habits of local buyers. As long as you do a good job With sufficient preparation, it is not difficult to quickly build your own traffic pool in Germany. Well, that’s it for today’s sharing. If you still have questions about the German market or want to know more about the German market, you can contact us at any time. We hope that with our joint efforts, more Chinese businesses can successfully enter the German market!
