The Chinese e-commerce giant is looking far beyond its borders, with three companies all ready to conquer the rest of Asia tomorrow. And why not, people, after tomorrow.
AliExpress, the gateway to China for customers around the world
AliExpress is a platform for consumers around the world to buy directly from Chinese manufacturers and distributors. In addition to the English site, AliExpress has sixteen pages in local languages, including Russian, Spanish and French. Consumers can also shop through the AliExpress app. The countries where AliExpress is most popular so far are Russia, the United States, Brazil, Spain, France and the United Kingdom. In 2017, AliExpress had approximately sixty million annual active customers and generated $ 10.1 billion.
ButExpress merchants pay a commission, usually 5-8% of the transaction value. AliExpress’s revenue also comes from the participation of retailers in affiliate marketing programs and from the sale of marketing services, mostly based on performance.
Tmall Global, the gateway to China for brands around the world
In February 2014, Tmall launched an international expansion of its platform. Named Tmall Global, the platform responds to the growing demand of Chinese consumers for foreign products and brands. It is the first platform for non-Chinese brands and distributors to reach Chinese consumers, increase brand awareness and collect data, without the need for manual labor in the country. Victoria’s Secret, Costco, Macy’s, Chemist Warehouse, LG Household & Health Care and Matsumoto Kiyoshi, for example, have storefronts at Tmall Global.
Lazada, the gateway to Chinese brands in the rest of Asia
In April 2016, Alibaba Group acquired a majority stake in Lazada, one of the major operators of e-commerce platforms in Southeast Asia. Lazada operates e-commerce platforms in Indonesia, Malaysia, the Philippines, Singapore, Thailand and Vietnam, with local language websites and mobile apps in each of the six markets. The company offers third-party brands and retailers an e-commerce solution that provides access to consumers in these six countries, with fast and reliable delivery. In 2017, Lazada had approximately twenty-three million active customers a year.
Three doors ajar from Alibaba. Three sesame seeds also, enabling China to consider itself, not only as a huge e-commerce infrastructure, but also as a hub of world trade. In the first place the development of the domestic market. Then the expansion in the rest of Asia. The first steps in the West to continue. Where will Chinese e-commerce stop?