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Retailing in Hangzhou

August 2018

As the hometown of a number of internet companies such as Alibaba Group and NetEase.com, Hangzhou is experiencing the emergence of modern retailing, including the wide application of data, unmanned supermarkets and convenience stores, as well as digital payments. Local traditional department stores are also upgrading their technology and brand position to keep up with the new retailing trend by working with online companies.

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Key Findings

Hometown of leading internet companies fosters new retailing concepts

New retail models offering seamless shopping experiences through online-to-offline or vice versa with the incubation of disruptive technologies. With the support of big data and artificial intelligence (AI), consumers can experience creative retailing models in Hangzhou, which optimise their personal in-store experience.

Hangzhou is a shopping paradise for locals and visitors

A bustling shopping district with upscale designer outlets and luxury boutiques is centred around visiting spots such as West Lake. Smart virtual reality trials have been launched, with a combination of innovative technology and mobile platforms attracting indecisive shoppers.

Local mid-to-small size community supermarkets bring convenience to locals

Local branded supermarkets penetrate through competitiveness, and provide premium goods to customers in the neighbourhood. Large hypermarkets face fierce competition from local mid-to-small size supermarkets as well as offline cross-border e-commerce stores.

Internet booms and accelerates apparel wholesale markets

Hangzhou has been producing silk for centuries, and there are silk markets selling different forms of silk products in Hangzhou attracting both domestic and foreign tourists. The wholesale apparel markets are clustering in Hangzhou, with sales booming due to the emergence of Taobao.com, speedy delivery and support from business incubators.

I ntroduction
Hangzhou: an important tourist attraction in China
Consumer profile: trendy, intelligent and internet-driven
A typical outlet
Key findings
Big data widely used to offer suitable products for locals
Unmanned retailing concept emerging in Hangzhou
Shopping areas located in popular tourist spots to attract visitors
Local department stores upgrading to high-end and young position
Local supermarkets prevail in Hangzhou offering convenient service
Cross-border e-commerce explores offline market
Silk wholesale market in Hangzhou well known for its long history
Booming online apparel sales accelerate wholesale clustering
A libaba Group Holding Ltd
Intime Retail Group Co Ltd
Hangzhou Lianhua Huashang Group Co Ltd
Key takeaways


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