Last month, Alibaba announced its new Trade Assurance Program, which offers a free payment protection service, as well as financial lending, to buyers who work with Trade Assurance suppliers. The company’s goal is to foster a relationship between buyers and manufacturers by insuring that merchandise meets product quality standards and arrives on time.
Michael Lee, head of international marketing and business development at Alibaba, explained: The market has long needed a trusted destination to connect serious buyers and suppliers. In business to business (B2B), however, there was nothing. Alibaba exists to provide a safe B2B trading platform, and the Trade Assurance is just another step in the right direction.
Alibaba has struck a partnership with Australian software company Bigcommerce to deliver an app that makes it easier to buy and sell items online.
According to industry research, 84 per cent of online sellers find establishing a drop ship supplier or wholesaler relationship is the biggest roadblock to starting an online business.
Alibaba will integrate its buyer and supplier network with Bigcommerce’s users, enabling merchants to source products directly through Alibaba’s network of Chinese suppliers.
Read more about Alibaba:
- Chinese retail giant Alibaba signs deal with UK e-lenders to provide trade finance
- Alibaba spin-off to put pressure on Yahoo’s Marissa Mayer
- Jack Ma’s vision: Helping small businesses sell things overseas
Expanding on this, Lee said: Alibaba and Bigcommerce together are building an integrated ecommerce ecosystem and helping to introduce more small and medium-sized merchants and online stores to the global market. Small businesses are the backbone of the global economy and it’s important that we help them to grow and stay competitive. This new application provides Bigcommerce merchants with direct access to Alibaba wholesale suppliers, offering competitive prices to realise better profit margins.”
Available immediately to Bigcommerces 70,000 stores and online merchants, this “wholesale solution” gives Bigcommerces thousands of users access for purchase to more than 30,000 products from 300 of Alibabas Gold Suppliers in China.
“With this Alibaba partnership, we are helping our merchants grow their online businesses every step of the way,” said Eddie Machaalani, co-founder and CEO of Bigcommerce. It’s a cross-promo deal. We’re going to help our people within the Bigcommerce platform source products globally through Alibaba’s platform, and they’ll be promoting Bigcommerce to their merchants.”
“This deal is designed to democratise components of ecommerce,” he added. “What companies like Amazon do really well is source products based on its buying power at an incredibly low cost and that pushes small businesses out of the market. We want all our businesses across the world to be able to leverage off Alibaba’s platform to source products at a low cost as well.”