Chinese E-commerce giant Alibaba has undercut Amazon’s selling fees in a bid to attract new vendors as it finally makes its move into Europe. Alibaba has successfully wooed a flood of small businesses to join its European platform. Still, they are struggling to capture larger brands including Mango, Benetton, Spanish fashion group Tendam and more. Some fashion brands didn’t feel that the site was appropriate to showcase their products on since their prices are relatively dearer than their existing products. Furthermore, another brand described the Aliexpress program as ‘working progress’.
J&P comments
Alibaba’s attempt to attract new vendors on its European platform has proven to be successful amongst small businesses. But, despite large brands declining Alibaba’s offer due to uncertainty of its platform, they may very well choose to reconsider this proposal in the future if the e-commerce platform performs well in Europe.
