China's FMCG B2B Market Has Great Room For Further Development

Source:iResearch January 29,20198:14 AM

China's FMCG B2B industry has transferred from high-speed development period to rational development period. More top brands accepted and actively established cooperation with B2B platforms, and FMCG B2B companies attached more importance to the improvement of services in the outlets while expanding outlets offline. In the future, integration of industrial Internet and consumption Internet will accelerate and deepen the development of FMCG B2B industry chain. and China’s FMCG B2B market is expected to have a bright future with great room for further development. In 2017, the GMV of China’s FMCG B2B businesses attained 150.7 billion Yuan, and iResearch estimates that the GMV will reach 391.6 billion Yuan in 2020. 

FMCG B2B refers to the business mode that participants in FMCG supply chain exchange information, pass on information and make deals based on special networks or Internet. China’s FMCG B2B aims at integrating the various suppliers in traditional supply channels and provides services for retail outlets without their own supply chain. Retail stores like department stores, supermarkets, general stores, shopping malls and convenience stores have their own supply system, and thus don’t need the online supply services offered by FMCG B2B e-commerce platforms. 
FMCG B2B upgraded the traditional supply chain based on big data analysis technology and solved several problems in traditional supply chain. Firstly, FMCG B2B shortened the supply chain and decreased the number of links on the chain, which lowered the costs related to intermediary businesses. Also, FMCG B2B improved the warehouse using efficiency, which reduced resource waste and operational cost. What’s more, FMCG B2B realized visualization of the overall information and data on the supply chain, which facilitates product analysis, product development and product marketing of upstream brands and companies in the supply chain. 

More details can be seen in 2019 China's FMCG B2B Sector Report

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