China’s voracious consumers have helped to create a new buzzword in Japan in 2015 with the term “bakugai” – which translates as “explosive buying.” During China’s Golden Week holidays in early October 2015, around 400,000 tourists from mainland China descended on Japanese destinations, spending an estimated ¥100 billion (HK$6.3 billion) in the space of seven days.
63 per cent of Chinese visitors purchased cosmetics and perfume, 55 per cent snapped up food, spirits and cigarettes and 52 per cent bought over-the-counter medicines and toiletries according to the Japan’s National Tourist Agency’s report.
However, people in China who want high-quality, foreign products don’t have to bring out their passports any more.
They’re buying directly from sellers all over the world with just a tap of their smartphones. The government is helping it happen, with some favorable tax rates.
As incomes have risen in China, its consumers have stepped up their purchases of imported goods. Cross-border e-commerce is a booming sector in China. People place their orders on local site. The products are shipped to them directly from overseas or from warehouses in special bonded districts. The items incur far less tax than regular imports.
They no longer travel to Japan several times a year to make bulk purchases for a range of household items. They can get the same items at reasonable prices without even leaving their homes. Shoppers can see the items’ price-tags in Japan, and compare them with online offers.
If the items are new to Chinese consumers, staff members demonstrate the merchandise live via video streaming.
Viewers can type in questions and get answer right away. Some cross-border e-commerce retailers have set up showrooms to let people see the products up close. If a customer is interested, they scan the code and place an order online. (Floro Mercene)