Tak­ing 11/11 global

Alibaba wants to carry Sin­gles Day shop­ping over­seas

China Daily (USA) - - FRONT PAGE - By MENGJING in Hong Kong mengjing@chi­nadaily.com.cn

China’s Alibaba Group Hold­ing Ltd is tak­ing a step for­ward to­ward its goal of “buy global and sell global” by help­ing over­seas mer­chants to sell to con­sumers out­side the Chi­nese main­land dur­ing its up­com­ing Nov 11 shop­ping fes­ti­val.

For the first time in history, hun­dreds of over­seas brands on Alibaba’s Tmall plat­form will be able to sell di­rectly to on­line shop­pers in Hong Kong and Tai­wan, a move that is seen by Alibaba as test­ing the waters as it strives to achieve its am­bi­tious goal of serv­ing 2 bil­lion con­sumers in 20 years.

Daniel Zhang, chief ex­ec­u­tive of­fi­cer of Alibaba Group, said at an event in­Hong Kong on Thurs­day, that glob­al­iza­tion is one of the top pri­or­i­ties of the com­pany.

“Dur­ing the Nov 11 shop- ping fes­ti­val last year, we brought over­seas brands to on­line shop­pers in the main­land. This year, we hope to help more brands en­ter new mar­kets and ac­cess con­sumers beyond the main­land,” he said, adding that the com­pany’s next step would be to help over­seas brands ac­cess shop­pers in South­east Asia.

Cre­ated on Nov 11, 2009, by Alibaba, 11.11, or “Sin­gles’ Day”, has be­come China’s largest on­line shop­ping event. Dur­ing the 24-hour sales event in 2015, Alibaba re­ported trans­ac­tions of goods sold on­line of 91.2 bil­lion yuan ($ 13.55 bil­lion).

By ex­pand­ing glob­ally, Lu Zhen­wang, chief ex­ec­u­tive of­fi­cer of Shang­hai-based Wan­qing Con­sul­tancy, said Alibaba is ex­pected to set a record in the sales due to a larger shop­per base.

“Alibaba’s Nov 11 sales are on track to ex­ceed 100 bil­lion yuan. But the con­tin­u­ous sales growth for such an event is not sus­tain­able as the on­line shop­ping pop­u­la­tion in China will peak, and the ma­jor­ity of Alibaba’s busi­ness still comes from China,” Lu said.

His view was echoed by Adam Xu, a part­ner at multi­na­tional con­sul­tancy Strat­egy&. Xu said that there is still a promis­ing fu­ture for e-com­merce in China, but mar­ket growth would be in­creas­ingly spurred by ex­pand­ing prod­uct of­fer­ings and shop­pers’ will­ing­ness to spend more on­line.

JD.com Inc, Alibaba’s big­gest ri­val in e-com­merce in China, adopts a sim­i­lar strat­egy. The com­pany, which has formed a strate­gic al­liance with Wal-Mart, plans to spur sales by help­ing Chi­nese con­sumers ac­cess to a wide va­ri­ety of high-qual­i­typrod­uct­sim­port­ed­byWal-Mart­fro­maroundthe world.

But the con­tin­u­ous sales growth for such an event is not sus­tain­able as the on­line shop­ping pop­u­la­tion in China will peak.” Lu Zhen­wang, CEO ofWan­qing Con­sul­tancy

PRO­VIDED TO CHINA DAILY

The launch cer­e­mony of Alibaba’s Nov 11 shop­ping fes­ti­val in Hong Kong on Thurs­day.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.