Swiss e-commerce companies face competition from Asia

Post on: 26.09.2024

Swiss e-commerce is facing significant challenges due to increasing competition from Chinese platforms such as Temu, Shein, and AliExpress, in a context where the Artificial intelligence (AI) is profoundly transforming the industry.

This is what emerges from a study conducted by the ZHAW, the Zurich University of Applied Sciences, which shows that the spread of these Asian platforms is exerting increasing pressure on Swiss operators.

Survey of the Universities   Zurich ZHAW

According to the survey, four out of ten Swiss providers say they are directly affected by competition from Chinese platforms. Of these, 26% complain of price pressure, 22% report increased competition, 14% report a reduction in margins, while 12% see oversupply and another 12% report a contraction in turnover.

However, 61% of respondents have not yet experienced direct consequences. but experts warn that the situation could change if platforms like Temu were to further expand their product range and consolidate their presence in the European market.

Differentiation and quality strategies

To counter Asian competition, Swiss retailers aim to differentiate themselves through quality; of products and superior customer service.

This approach proves crucial in a market where competitiveness is è and local operators need to find the right balance between price and quality. to remain relevant in the eyes of consumers.

The growing role of artificial intelligence

The ZHAW study also highlights the Increasing impact of the Artificial intelligence in online commerce. Over half of retailers surveyed (53%) already use The AI for content creation and 54% use it for text translation.

In addition, 42% rely on AI AI for product descriptions, pointing out how these technologies play a key role in improving product quality. of information, in the search engine optimization and ultimately in the increase in sales.

Darius Zumstein, head of the study, pointed out that the AI saves time and costs while increasing the quality of your of data. This impact is often reflected in increased visibility. on search engines, a decisive factor for online sales.

In addition to the search engine optimization, the AI is increasingly being also used for the creation of images and videos, thus expanding the The possibilities marketing for retailers.

Challenges and potential futures of the IA

Despite the many benefits, 44% of retailers consider the AI a challenge. The difficulties concern the lack of specific skills and the complexity. to integrate these technologies into existing business processes.

In addition, some operators complain about the quality of the still imperfect of some solutions based on the IA.

As Fabian Oehninger of the ZHAW notes, another problem lies in the fact that almost a third of companies do not invest in the training of their employees, an aspect that could undermine competitiveness. long-term.

L' AI still remains underutilized when it comes to personalization and customer service, with only 9% of companies adopting solutions such as chatbots or digital sales consultants. However, an increasing number of operators are testing new applications in this area, signaling a growing trend for the future.

Dynamism and complexity. Online marketing

At the same time, Swiss online retail is also continuing to evolve from a marketing perspective. More and more; products are marketed through search engines and social platforms such as TikTok, Instagram and YouTube.

However, this high level of dynamism brings new challenges for retailers: price and cost pressure è increasing, while the available resources are often insufficient to manage the increasing complexity. and market requirements.