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Online sales of industrial goods to rise 5%
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Online sales of industrial goods is expected to touch 5 percent of the overall sales by 2025 from the current about 2 percent, with the total online transaction volume likely to be around 2.3 trillion yuan (US$333 billion), according to a joint report by Bain & Co and Alibaba鈥檚 business-to-business trading platform 1688.com.
The transaction size of industrial products, including machinery, manufacturing facilities, maintenance tools and repair parts, has enjoyed 30 percent annual compound growth on 1688.com since 2015.
The total value was estimated at 700 billion yuan last year.
鈥淚ndustrial goods will see new online growth opportunities in the next few years, although the focus has been digital retailing in the past two decades, and digital platforms will play a more important role for industrial companies in terms of boosting performance for procurement as well as sales departments,鈥 said Raymond Tsang, global partner and Asia head of performance improvement practice at Bain & Co.
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