Selling online in Taiwan is increasingly enhance its presence in the retailing industry and becoming more and more important as a way for enterprises to conduct business. Yahoo Taiwan projected that Taiwan’s online retail space will eventually outperform traditional retail stores, accounting for more than 50 percent of the estimated $126 billion retail sector. According to Taipei’s American Chamber of Commerce, Taiwan’s e-commerce sector enjoys an estimated annual growth rate of 10 percent to 20 percent. Over the 2011 to 2013 period, the e-commerce sector has grown an amazing 69 percent.
What’s more, unlike other Asian countries such as the South Korea, whose market of selling online is greatly dominated by international firms, domestic enterprises in Taiwan hold a greater stake. Taiwan-based online retailers, such as PChome Online, reached $16.3 billion TWD revenue in 2013, and Momoshop ranked as the third largest site online shopping site in 2014.
Market share of selling online in Taiwan by sectors
According to market report in 2014, Taiwanese shoppers favor a wide variety of product categories when shopping online. Clothes and accessories are the most popular product category, accounting for 45 percent of market share. The next popular categories were tours and hotel reservation (42%), airline reservation (38%), events tickets such as movies and show (36%), fast-moving consumer goods such as foods and drinks (32%).
Government’s commitment in aiding selling online in Taiwan
The importance of selling online in Taiwan on the economy has been recognized by the government. As outlined by President Ma Ying-jeou, the Cabinet has been making strides in breaking down barriers in the e-commerce market, such as the third-party payment, by pushing ahead as quickly as possible with strategic opening and regulatory easing related to e-commerce, as well as establishing oversight mechanism for cash transfers, consumer protection, customs clearance, logistics and taxation. Thus, areas accompanying the online retailing are being taken great care by government.
The robust online infrastructures for selling online in Taiwan
The market of selling online in Taiwan is greatly facilitated by the robust online infrastructures. In 2014, Internet World Stats reported that Taiwan’s internet penetration rate reached 80 percent, while market intelligence agency HKTDC Research revealed that its smartphone adoption rate reached 50 percent in the same year. Smartphone is the most popular method for online purchase, accounting for 49.5 percent of Taiwanese online shoppers. This figure surpassed desktop users (42.7%) and tablet users (32.1%).