Expert Interpretation: Three Fundamental Reasons For Overseas Shopping And Consumption

How do we view the Chinese tourists who are strongly consuming all over the world? Many people blame the tourists for being unpatriotic by "worshipping the foreigners" and blaming them for their consumption in China.

People should really understand the fundamental reason for shopping abroad, rather than simply blame tourists.

Price directly affects the market.

The price of imported goods generally consists of 4 parts, namely, production cost, taxes and fees, circulation expenses and profits.

According to the survey, the price difference of Omega men's watches in China and abroad is 37%.

The price difference of accessories is 48%.

The price difference of women's bags is 56%, and the price difference of infant formula is 44%. The eye cream of a famous brand in the United States sells at 560 yuan for the official website of China, and the US official website sells for 58 dollars (about 368 yuan).

Visible, foreign price advantage is obvious.

Huge price differentials are closely related to higher import taxes and fees in China.

China's taxes on imported commodities mainly include value-added tax, consumption tax and customs duties.

Generally speaking, the import duty is between 6.5%~18%, the value-added tax is 17%, and the consumption tax determines the tax rate according to different commodity attributes. Among them, cosmetics are 30%, high-grade watches are 20%, and some commodities are 56%.

Take a set of 3000 yuan skin care products as an example, if the tax rate is only 5%, the customs duty is 150 yuan, the value added tax is 765 yuan, and the consumption tax is 1350 yuan, the price of this set of cosmetics is 5265 yuan, and the tax fee is 2265 yuan.

On the surface, excessive taxes and levies on imported goods have a certain income. In essence, the consumption spillover caused by our tax revenue losses is more.

Since June 1st this year, the import tariff rate of 14 categories of consumer goods such as clothing, footwear and skin care products has been reduced.

However, the value added tax and consumption tax that account for "big head" have not yet been loosened, and the price difference between domestic and international commodities is still obvious.

Two, the excessive circulation of domestic commodities leads to price increases.

People who have gone abroad will feel that the source price of imported goods is not so expensive. Why do they often have several times higher prices after importing? In addition to the excessive taxes and fees previously analyzed, import commodities in domestic circulation links are too much, circulation efficiency is too low, and the cost of circulation is too high, which also causes high prices of imported goods sold in China.

According to statistics, in China, the total logistics cost of the whole society accounts for about 21.3% of GDP, while that of developed countries is about 10%.

Taking imported milk powder as an example, there are generally five to seven layers of milk powder dealers in each layer. The profit margins of each layer are between 10% and 15%, plus high freight charges, entrance fees, booth fees, marketing expenses and personnel wages and benefits.

An ordinary canned brand of foreign milk powder with a capacity of 400 grams is priced at only 50 yuan overseas, and it may cost 250 yuan to 300 yuan in domestic supermarkets.

Three, the lack of confidence in the quality of domestic products promotes overseas shopping.

Last but not least, one of the most surprising reasons is that the quality of our products makes people lack the confidence to buy.

People often say that China is a big manufacturing country but a small brand country.

According to the 2013 report, none of the top 100 brands in the world was selected in China.

The media also broke the quality of products from time to time. The Consumer Association reported that in 2014, the failure rate of children's products in China was 10.9%, household appliances were 12.2%, and clothing products were 12.1%.

In particular, the names of Sudan, copper sulphate, sodium pyrophosphate, melamine and so on are very interesting.

In addition, the criteria we have grasped are also suspected.

Many people think that the same is made in China, and the standard of foreign auditing is high.

This virtually drives the purchasing power of tourists to overseas, and even purchases large quantities of Made in China products sold abroad.

It can be seen that behind the appearance of mass consumption and consumption of Chinese tourists abroad, the underlying causes are import taxes, circulation and quality of Chinese products.

Without outbound tourism shopping, people will choose to implement consumer demand through cross-border e-commerce, purchasing and other forms.

Data show that in the first half of 2015, the scale of cross-border e-commerce pactions in China was 2 trillion, an increase of 42.8% over the same period last year, accounting for 17.3% of China's total import and export value.

At the same time, the purchasing mode has grown rapidly.

In 2014, the scale of luxury overseas purchasing market was 55 billion yuan to 75 billion yuan, mainly concentrated in cosmetics, followed by leather luggage, watches and jewelry. The total market accounted for 50% of China's store sales.

Therefore, we should not criticize tourists' consumption abroad. We should see that they are forced to stimulate the demand. We must effectively reduce import taxes and fees, orderly regulate and reduce circulation links, constantly promote the upgrading of domestic consumer goods, guarantee quality and enhance market trust, so as to truly promote the Chinese people to spend their money in China.