Alibaba is China’s biggest eCommerce company. TaoBao is the auction like site where billions of chinese customers are using every day. Taobao.com is currently ranked no.11 globally on Alexa surpassing Amazon and eBay. You can probably imagine how much sales they are making with this huge traffic. Taobao reported making sales volume around 100 million US dollar in 40 minutes on one of their special sale day in 2013.
Alibaba also has its own online payment platform, business-to-business platform, and even an online savings account service. Basically literally every chinese customer would be using one of the service provided by Alibaba. In the past decade, the growth of chinese economy and increase in internet coverage in China lead to the exponential rise of growth in the revenue of Alibaba, making it named the world’s greatest bazaar by The Economist.
As I have used Taobao for some of my shopping, I am very amazed by the great variety of stuff you can buy on the internet. The price is unbeatable, but you may need to expect the quality to meet the price you are paying. All in all I am satisfied with the online shopping experience on Taobao.
I started to worry about the individual sellers on eBay and Amazon. It may be difficult to compete with the cheap products from china, as I heard most of the sellers on these two platforms rely on wholesale supplier directory to buy their products at a cheap price and resell it on eBay and Amazon. Let’s wait and see how Alibaba’s forthcoming IPO would change the industry of eCommerce!
You can learn more about how individual sellers on eBay and Amazon find trustworthy wholesalers and dropshippers here.