Instant Retail Ignites a New Fire in Consumer Electronics: Ordering Phones via Food Delivery, Young People Embrace "Everything Can Be Delivered"

Instant Retail Ignites a New Fire in Consumer Electronics: Ordering Phones via Food Delivery, Young People Embrace "Everything Can Be Delivered"The fire of instant retail is burning hotter than ever in the consumer electronics industry. On September 20th, Huawei and Apple, two top brands, chose the same day to launch their flagship products, making the debut of the MateXT foldable phone and the iPhone 16 series the best opportunity for major e-commerce platforms and brand retailers to flex their muscles

Instant Retail Ignites a New Fire in Consumer Electronics: Ordering Phones via Food Delivery, Young People Embrace "Everything Can Be Delivered"

The fire of instant retail is burning hotter than ever in the consumer electronics industry. On September 20th, Huawei and Apple, two top brands, chose the same day to launch their flagship products, making the debut of the MateXT foldable phone and the iPhone 16 series the best opportunity for major e-commerce platforms and brand retailers to flex their muscles. The question was, who could deliver to consumers' doorsteps first, meeting their need for "the first bite," and securing a seat at the table?

At 10 am that day in Ordos, Inner Mongolia, a consumer, after the iPhone 16 series became available, placed an order on a food delivery platform from a nearby store. They only had to wait 10 minutes before receiving their Desert Sand Titanium iPhone 16 Pro Max from a rider. At the same time, numerous Apple authorized stores saw riders congregating to collect orders. In fact, "ordering phones via food delivery" is becoming a new trend, especially apparent in scenarios like the launch of new flagship phones from Huawei and Apple.

Beyond phones and computers, everything from charging cables and power banks to air conditioners, refrigerators, and washing machines can now be purchased via delivery, with some deliveries arriving within a mere 30 minutes. Instant retail has become deeply integrated into all aspects of our daily lives, and consumers are increasingly choosing it when purchasing consumer electronics products.

The young generation behind "ordering phones via delivery" are using "ordering everything via delivery" to sell 3C digital products, no longer exclusive to traditional e-commerce platforms. Instant retail, with delivery riders bringing goods to your doorstep, has become the preferred choice for many young consumers. A "White Paper on Instant Retail in the Consumer Electronics Industry" released in March this year shows that, taking phone users as an example, instant retail platforms attract a younger demographic than offline channels, with instant phone consumption favored by Gen Zers, with a nearly 40% share. They have a lower price sensitivity, prioritizing brand, aesthetics, and delivery speed, exhibiting a significantly stronger willingness to consume. Data reveals that the annual phone replacement frequency via instant retail channels reaches 8%, significantly higher than the 4% seen in non-instant retail channels.

The trust accumulated from daily necessities combined with the surprise of the delivery experience has encouraged users to explore and try out more options, ultimately solidifying their purchasing habits. The aforementioned white paper shares a case study: a 28-year-old female consumer in Guangzhou first used food delivery in 2016. Due to an emergency need, she expanded her use to fast-moving consumer goods, making it a habit. In 2021, she tried purchasing phone accessories for the first time and became a repeat customer, eventually expanding her purchases to routers, iPads, and new phones. The "connectedness" is a prominent characteristic of consumer electronics buyers on instant retail platforms. The instant retail experience for accessories, phones, etc., tends to foster user trust in all product categories, leading them from low-frequency consumption to high-frequency consumption.

If speed is possible, nobody wants to wait. According to Accenture's previous report on the Chinese Gen Z consumer group, young people prioritize speed, with over 50% of Gen Zers hoping to receive their purchases on the same day and willing to pay extra for faster delivery.

The most notable change is the accelerating entry of various sub-sectors within the past two or three years. Instant retail has entered the "everything can be delivered" era. In fact, as the pre-warehouse system and delivery network coverage improve, consumer habits are shifting from shelf e-commerce and live stream e-commerce to faster instant delivery. Instant retail purchasing scenarios are transitioning from non-essential to essential, from emergency situations to normalization. Besides emergencies and business trips, scenarios like grabbing new products, hunting for deals during promotions, and social gifting have become high-frequency consumption scenarios.

For many ordinary consumers, the term "instant retail" might be unfamiliar. Simply put, it can be understood as "ordering via food delivery," where users place orders online and receive their goods within an hour or 30 minutes. Instant retail first appeared in 2015 as part of O2O (online to offline). Initially, it was merely a supplement to mainstream consumer practices, catering to "urgent" needs in specific scenarios. However, since 2020, instant retail has entered a fast lane of development, truly becoming a form of "retail" and gradually evolving into one of the mainstream retail models, completely surpassing its initial position as a market supplement.

As instant consumption becomes an efficient and highly reliable lifestyle, instant retail has transitioned from "emergency" to a daily way of life, becoming a source of incremental revenue for brick-and-mortar retailers. Consumer reliance on a fast, high-quality, and reliable lifestyle, coupled with manufacturers' desire for high-potential customer groups and assured growth, have jointly raised the ceiling and scale of the instant retail consumer electronics industry.

Data reveals that over the past three years, consumer electronics products have experienced rapid growth in the instant retail market. It is projected that from 2021 to 2026, the compound annual growth rate will reach 68.5%, and the instant retail consumer electronics industry will exceed 100 billion yuan in size by 2026. Clearly, instant retail is becoming a pivotal industry for consumer electronics product distribution. It's like an undiscovered continent, transitioning from a "choice" for merchants to a "must-have."

Thanks to the advantages of "youthfulness, digitalization, and promising prospects" offered by instant retail channels, consumer electronics brands and retailers, including Huawei and Apple, have gradually launched their instant retail operations.

Instant Retail Becomes an "Essential" for Consumer Electronics Retailers

Facing such a large and growing pie, platforms like Meituan, JD.com, Ele.me, Douyin, and Kuaishou have all jumped in to increase their presence. With traditional B2C e-commerce growth slowing down, instant retail has become the core battleground for vying for the "first entrance" for users.

Taking the debut of Apple's iPhone 16 series this year as an example, the aforementioned platforms all launched instant retail services, resulting in a frenzy of "ordering new iPhones via delivery." Among them, Meituan Flash Sale is one of the earliest instant retail platforms to partner with Apple authorized stores, dating back to the launch of the iPhone 12 in 2020. This year, nearly 7,000 Apple authorized stores nationwide are selling new phones through Meituan.

The expansion of instant retail platform coverage into lower-tier markets has enabled "town youths" to access new Apple products as quickly as those in first-tier cities, or even faster. Meituan Flash Sale data shows that on the day the iPhone 15 was released last year, the fastest delivery order took only 10.42 minutes, located in Shangqiu, Henan. By noon on the official launch day last year, sales in third-tier and lower-tier cities tripled year-on-year. This year, the fastest "phone delivery" order took place in Ordos, Inner Mongolia, which, like Shangqiu, is a relatively lower-tier market.

Ele.me also launched "delivery" sales of the iPhone 16 series this year. It is reported that Ele.me has partnered with nearly 4,000 Apple authorized stores this year, supporting pre-sale and simultaneous launch of the iPhone 16 new products. On the day of the first launch of new products in stock, Ele.me consumers could receive their new phones in as little as half an hour.

Furthermore, JD.com also offers iPhone 16 "instant delivery" services. JD.com Instant Delivery is a brand launched by JD.com after integrating its original instant retail brands, JD.com Hour Delivery and JD.com To Home. It is reported that JD.com Instant Delivery sources goods from official brand authorized stores near the delivery address, and the entire process, from user order placement to merchant packaging, rider pickup, and delivery to consumers, can be tracked online, allowing real-time monitoring of delivery details.

The "local store delivery, fastest 30-minute delivery" instant retail service allows platforms, brand retailers, and consumers to achieve a win-win-win situation. For platforms, it significantly expands their share of the instant retail market. For brands and retailers, it provides access to a high-potential customer base and assured growth. For consumers, it allows them to get their hands on new phones in the shortest time possible, meeting their need for speed and trying out new products.

Phone Manufacturers Expand into Lower-tier Markets through Instant Retail

Compared to the traditional shelf e-commerce model, the core advantage of instant retail lies in eliminating the feeling of waiting. In the past, first-tier cities had abundant channels, but in second- and third-tier cities and even towns, stores were lacking, making it difficult to get your hands on the latest Huawei or Apple phones at the first opportunity. This situation is now changing subtly.

In 2020, an Apple authorized store in Jinghong, Xishuangbanna, Yunnan, first tried out instant retail through Apple's WeChat mini program, gradually expanding its presence on Meituan Flash Sale and JD.com. "Years have passed, whether it's