BEIJING, June 8 (Xinhua) -- The integration of online and offline services in the retail sector is conducive to boost China's consumption, according to experts, reported Securities Daily last Sunday.
Some opportunities are emerging in the retail sector as there are still deficiencies in internet services, said Pan Xiangdong, chief economist with New Times Securities, a Beijing-based securities company.
New technologies and retail models should be adopted to strengthen online and offline integration, so as to enhance customer experience and expand consumption, highlighted Pan, citing that online services cannot fully replace offline consumption in sectors like clothing, catering and entertainment.
Offline consumption needs the support of online consumption, which means efforts should be made to promote the deep integration of internet, big data, cloud computing and other technologies with traditional consumption through online and offline interaction as well as cooperation between governments and enterprises, said Xu Yang, chairman of an information consulting company based in Shanghai.
For instance, the government should introduce preferential policies to open online and offline discount zones, and this will be helpful to shore up consumer confidence, unleash consumption potential, and boost online retail of physical goods, self-service retail as well as grain, oil and food retail, Xu added.
Based on the combination of online and physical stores, new retail boasts innovations in payment, data, logistics, marketing among others.
According to Pan Xiangdong, as an upgrade from traditional retail and online retail, new retail can help get access to more comprehensive retail data, and the application of such data is conducive to improve the turnover efficiency of the logistics supply chain, and lift the service efficiency and quality of the retail industry by linking payment and financial support.
Pan is optimistic about the expansion of online consumption in the rural areas.
Data show that the total retail sales of consumer goods in China's rural areas in 2019 grew by nine percent year on year, higher than the 7.9-percent growth rate of that in the urban areas.
Besides, affected by the COVID-19 outbreak, the total retail sales of consumer goods in China's rural areas in the first four months of 2020 dropped by 15.4 percent, while that in the urban areas dropped by 16.3 percent.
This indicates the huge potential of rural consumption.
"Constrained by supply, the potential of rural consumption hasn't been fully released, and efforts can be made to speed up the construction of telecommunications infrastructure, so as to promote the introduction of express delivery services into the rural areas, and foster online consumption habits and expand consumption in these areas," said Pan. (Edited by Gu Shanshan with Xinhua Silk Road, gushanshan.1987@163.com)
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