Evan E. Lambert is a journalist, travel writer, essayist, and short fiction writer with bylines at Thought Catalog, Business Insider, Mic, 

, Queerty, BuzzFeed, Going, The Discoverer, and many more. You can check out his other work at 

The need-it-now mentality has become the norm

Compulsive Convenience

People are plugging into an outsourced lifestyle

Life on Autopilot

People expect products and services that feel made for them

Personal Worlds

Artificial intelligence is making inroads in industries all around the world – in social media, in advertising, in fashion, and even in online dating. And while AI has its detractors, it still offers a way to amplify one’s creativity and deliver products more rapidly than ever before. So, with that in mind, what’s preventing it from optimising people’s online shopping experiences, too? Well, in China, the answer is – very little. In the past year, virtual influencers and AI chatbots have made appearances on Baidu and Taobao, respectively, and are streamlining shopping experiences for many grateful netizens. 

AI Business

 However, it’s less of a singular phenomenon in the country and more of a symptom of widespread acceptance. Alongside India, China is more accepting of AI technology than any other country. For example, 70% of the country’s population knowingly uses AI-led applications, while 95% of Chinese people of all ages feel ‘optimism’ regarding AI. 

KPMG International

On the one hand, this acceptance of new technology is a trait that China shares with many emerging economies around the world. “Over the past two decades, technology has significantly improved the quality of life in many emerging economies,” says Pascal Coppens, a tech and innovation lecturer who has lived in China for twenty years. “In China, digital transformation has greatly benefited consumers through super apps and practical mobile solutions, fostering a high level of trust in new technologies.” 

Interview with Pascal Coppens conducted by the author

 On the other hand, the quick adoption of new government-backed technology, such as AI, is a trait that feels uniquely Chinese – a byproduct of the country’s strong, centralised government and overall lack of critical press. In the 2024 Edelman Trust Barometer report, 85% of China’s population expressed trust in their government. 

Statista

 Chinese citizens are also now accustomed to living in a surveillance state of sorts, where the government regularly uses tech to find abducted children, streamline traffic control, and manage waste disposal in large cities. In return for services like these, Chinese citizens only need to tacitly share their data with the government – a trustful arrangement, if you will. 

MIT Technology Review

 Now, this trust extends to new technology as well.

As of 2024, the total value of China’s AI industry has topped CNY 500 billion (about $68.85 billion), and the amount of businesses working in the industry has surpassed 4,400. 

China Daily

 China’s homegrown large language models (LLMs), like 

, are leaders in carrying out Chinese text-language tasks, increasing overall productivity despite the country’s ageing workforce. AI is even present in the agriculture sector. 

Global Times

 However, one of the most obvious applications of AI outside of specialised professional settings is in 

 Lifelike influencers with friendly, relatable screen personas successfully sold products to Chinese shoppers on the last 

 That said, what else can we learn about the successful application of AI in Chinese commerce?

Considering the many instances of AI being used for disreputable purposes – scamming people, 

 and plagiarism, for starters – it’s not exactly the belle of the ball in most countries. In China, however, it’s an indispensable tool for productivity. According to Coppens, “(The) Chinese government and companies quickly recognised that AI enhances industrial productivity, a crucial factor in addressing the country's societal and economic challenges.” 

 For example, AI has provided more business opportunities for entrepreneurs working in the information and communications technology (ICT) sector. 

And thanks to the AI research field being open-source, AI technology in China is improving at a breakneck pace. In order for companies to be competitive on an e-commerce platform like Tmall, they have to embrace newer tools such as Tmall’s avatar feature. As of early 2024, retailers on Tmall can generate humanoid avatar versions of the platform’s AI chatbot and give them unique styles and personality traits. 

Alizila

 With all this in mind, it’s rather logical that China boasts one of the largest acceptance rates of AI of any country – 95%. Additionally, 81% of Chinese say that the benefits of AI outweigh the risks, and 67% even go so far as to say they would ‘trust’ AI. As for the matter of regulating it, that’s a problem for another day. Currently, 74% of Chinese believe that ‘current regulations, laws and safeguards are sufficient to make AI use safe’ – the second-highest number of any country surveyed. 

Of course, there are concerns related to any country’s unequivocal embrace of AI technology – especially considering that young people may be exposed to it. “There’s…a concern that young people may not know that they’re talking with AI, which may affect how they talk to women later,” says Dr. Sarah Harris, an instructional designer at Break into Tech. “How does a 4-year-old know the difference between Alexa and their aunt who is on speakerphone?” 

Interview with Dr. Sarah Harris conducted by the author

 But that also, is a problem for another day, especially as China reckons with another more pressing existential crisis.

Shifting Chinese demographics and priorities

In 2020, around 17.8% of China’s population was aged 60 years or older. However, that percentage is expected to grow rapidly to nearly 40% by 2050, promising a vacuum in the country’s workforce. 

 Thus, for the Chinese government, AI development comes at a perfect time. If newer generations embrace it, they can boost their collective productivity as the workforce around them shrinks. Another factor that works in the country’s favour is that its population of over 1.41 billion is already tech-savvy and accustomed to using varied online products – both being prerequisites for assembling the massive databases that support AI.

Consequently, the Chinese government has made AI development a national priority, investing numerous resources in expanding its AI engineering forces. 

 This has led to a series of AI-powered features in the e-commerce sector that increase companies’ productivity. For instance, Taobao and Tmall’s new AI tools can create SEO product descriptions for companies based on keywords, maximising efficiency and reducing the need to hire specialists. 

 Still, as of 2023, only 11% of the country believed that AI would eliminate more jobs than it creates – a lower number than almost all other countries surveyed. 

All of this is to say that AI products in China are quickly adapting to the needs of its workforce. Ernie Bot, the ChatGPT-like product of China’s tech giant Baidu, counted 200 million people in its user base as of April 2024. It can now help Chinese workers draft speeches and business plans, draw flowcharts and mind maps, and even foster work-life balance by suggesting productivity hacks. 

 Incidentally, it also provided the basis for Wenwen, a popular chatbot on the Taobao app that helps shoppers compare products, sift through offers, and analyse prices. 

Yicai Global

 Meanwhile, generative AI tools have appeared in the home goods and furniture markets, allowing retailers to conjure domestic images of people enjoying their products. Advancements such as these have cut costs by reducing the need for pricey photoshoots while still illustrating offerings for shoppers. 

In China, the list of industries that use AI can read like a list of all human achievements. Agriculture, manufacturing, financial services, transportation, and even the media use AI. In the ‘smart agriculture’ industry, for example, the drone manufacturer 

 has introduced AI-powered unmanned aerial vehicles (UAVs) for monitoring crop development. Meanwhile, in insurance technology (InsurTech), AI technology is used to speed up underwriting, damage assessment, claim settlement, and customer service. 

South China Morning Post

 Additionally, in the media world, the Chinese government had already unveiled an AI-generated news anchor back in 2018 – one that still delivers state-sponsored news to the people without taking pesky breaks to eat lunch or sleep. 

The Guardian

 And, as has been seen in other countries, self-driving Chinese cars are increasingly using AI technology to select optimal routes and make complex manoeuvres in complex traffic situations. 

The New York Times

 That’s not to mention the robots that now use AI to increase their precision while performing surgeries. 

Ultimately, the list of Chinese industries that have embraced AI is expected to grow. For example, Tong Tong – a virtual AI avatar designed by the Beijing Institute for General Artificial Intelligence – will be implemented in multiple fields, including emergency response, education, and healthcare. 

Moreover, the market size of generative AI in China may reach a compound annual growth rate (CAGR) of 46.48%, rendering a market volume of $31 billion by 2030. 

All of this can feel to regular citizens as if it’s taking place quietly in the background, but AI creations such as virtual influencers and chatbots have brought the new tech to average internet users in big ways. This can be beneficial to brands and the people engaging with them. Alexis Ohanian, the co-founder of Reddit and the ‘grandfather’ of the virtual influencer Qai Qai has stated in the past that virtual influencers save brands money when they’re trying to sell products to new customers. 

 That is, non-sentient virtual influencers don’t need to engage in multiple takes to get their cutest angles. On top of that, AI influencers with comforting voices can win over customers just as well as Kylie Jenner. Behold the perfect storm of factors that make China a haven for AI-fueled shopping.

Embrace virtual personalities in social shopping

AI influencers can save brands money, but what do they provide for customers? They can’t, after all, provide funny, off-the-cuff comments about the very real goof they made in the McDonald’s line that day – or, at least, not yet. Nevertheless, virtual human influencers are doing something right. For instance, in 2023, Chinese retailer Suning witnessed virtual livestreamers rake in more than CNY 3 million (about $413,000) in gross merchandise value (GMV) for the company in a single day. 

CNBC

 Digging deeper, this may have something to do with the language models that power the virtual influencers. According to Harris, people have been “really interested in how influencers could appear more authentic by speaking their language – whether that meant literally (Vietnamese) or just speak in a voice that appealed to them generationally.” 

 According to Coppens, AI influencers are also “highly interactive, offering novel and engaging content while seamlessly connecting to e-commerce platforms.” 

 Additionally, Chinese customers have arguably embraced virtual humans since 2022. In one study, 79.5% of Chinese internet users were satisfied with their interactions with virtual influencers and employees. 

Treat chatbots like friendly shopping companions

Alibaba’s e-commerce platforms Taobao and Tmall unveiled AI-powered features for merchants, including a chatbot named Wenwen, who cheerfully answers customers’ otherwise tiring questions. In its first four months, over 10 million people had used it. 

 And while chatbots are nothing new, they tend to provide companionship and reassurance to customers looking for a good sale. “The main value of AI chatbots lies in their ability to personalise interactions. For customers, it feels akin to having a personal butler service available at all times,” says Coppens. “Now, this service can be provided online, available 24/7, and integrated with any preferred social media platform.” He adds that companies like 

 are now using generative AI for “increasing efficiency, reducing costs, and speeding up the buying journey from discovery to purchase.” 

 Notably, many companies, such as Holland & Barrett, have also unveiled avatar versions of their chatbots using Tmall’s latest AI technology. In Holland & Barrett’s case, its stylish avatar sports a sensible long-sleeved shirt with overalls.

A major reason that AI has become so normalised is that it’s sometimes, quite plainly, a lot of fun. “Many apps in China enhance customer experiences through fun AI-led products,” says Coppens. “These range from virtual try-ons for clothes, augmented reality content, (to) gamification models like those on Pinduoduo.” 

 Accordingly, the AI-powered Miaoya app allows users to assemble stylised, AI-curated outfits for themselves, to be used for office, school, or just for fun. 

Rest of World

 The final photos of users in the AI outfits are high-quality enough to be worth the hour-long wait and CNY 9.9 (about $1.36) downloading fee, which is notably still significantly cheaper than a real studio session. 

Fidelity International

 And since 75% of Chinese people use AI-powered apps in their daily lives, there’s even more potential for brands looking to introduce AI software in the region. 

 Even if the rest of the world isn’t embracing AI as readily, there’s still a lot to be learned from how the very real humans using it in China will react to future AI developments.

 of Chinese people use AI-powered apps in their daily lives

The total value of China’s AI industry has topped 

, while the amount of related businesses in the industry has surpassed 

 of Chinese people accept AI as part of their lives, tying with India for the highest percentage of any country

Virtual influencers are saving Chinese brands money while engaging with customers in relatable ways

AI chatbots on platforms like Taobao are providing companionship and reassurance to customers looking for a good sale

AI-powered Chinese apps are allowing users to virtually try on clothes and, in the case of, Pinduoduo, turn shopping into a game

Dr. Sarah Harris is an instructional designer and accessibility specialist at Break Into Tech with Charlotte Chaze. She specialises in projects that teach essential tech skills, giving students the opportunity to apply them in real-world scenarios. She has degrees from Dartmouth College and New York University and a PhD from U.C. Berkeley, where she taught courses focused on science fiction and modern technology.

Pascal Coppens is a leading China expert, rooted in his deep understanding of the culture and country as a sinologist and tech entrepreneur in China since 1999. He is a thought-provoking speaker and author on innovation, leadership, and trends – with a unique China lens – as well as the impact of China on business, technology and world affairs. In addition to being the author of 

, Coppens engages with a community of over 80,000 subscribers through his YouTube channel and monthly newsletter on Chinese innovation.

China

Apps and software

Technology

Resale and online marketplaces

Shopping

China has enthusiastically embraced AI, leading to an explosion of new tech. Specifically, it has strengthened the Chinese economy and enhanced e-commerce platforms. AI-generated personal shoppers regularly engage with customers, showing how the latest tech can boost communication and trust.