12,352.35-3.15
Stock Analysis, IPO, Mutual Funds, Bonds & More

Alibaba plans tie-ups to get more Indian SMEs on board

The company has 4.5 million users from India, with the country accounting for the second-highest paid users on the platform after China.

, ET Bureau|
Updated: Jul 11, 2015, 10.51 AM IST
0Comments
The company has 4.5 million users from India, with the country accounting for the second-highest paid users on the platform after China.
The company has 4.5 million users from India, with the country accounting for the second-highest paid users on the platform after China.
MUMBAI: Alibaba.com, the business-to-business arm of the world’s largest e-retailer Alibaba Group, is looking aggressively to onboard more small and medium enterprises (SMEs) from India on its platform through partnerships.

The wholesale unit, which connects buyers and suppliers across the world, sees India as its largest market in terms of sellers after its home market China.

“India is our key market and only when we have the local channels will we be successful here,” said Timothy Leung, head of global business development at Alibaba.com.

The company has 4.5 million registered users from India, with the country accounting for the second-highest paid users on the platform after China.

Alibaba.com has launched a reseller programme in India, under which it will tie up with companies that work with SMEs to encourage their clients to join Alibaba as sellers. The partners under this tie-up will get a commission for sales done by the SMEs they introduce.

Alibaba’s reseller programme is already active in China and other Asian markets including Malaysia, Vietnam and Turkey. “India is higher potential but also more complex, so we have to get our model right,” said Leung.

Alibaba has already tied up with two companies or partners - Sokrati, a digital media startup focused on SMEs, and transit-focused advertising company TDI. It will also hold an event next week where it will brief 40-50 potential resellers.

“Getting SMEs listed on Alibaba with a single click is the kind of integration that we are trying to do,” said Sokrati cofounder and CEO Ashish Mehta, adding that five-six SMEs have already expressed interest in onboarding Alibaba.com as sellers.

In June, Alibaba.com launched a trade facilitation center in India offering SMEs services such as logistics, financing and credit support. It tied up with ICICI Bank for this. “We want to help ‘Make in India’ with a digital approach and take products of local SMEs to rest of the world,” said Leung, who has been with Alibaba since 2008.

According to the company, Indian products in segments like apparel, household items, food and beverages, and jewellery are popular with global buyers.

The move comes even as the company’s parent, Alibaba Holdings, is actively eyeing investments in India. Alibaba Holdings is reported to be in talks to invest in smartphone maker Micromax and online marketplace Snapdeal. Its affiliate Ants Financial picked up stake in mobile commerce firm Paytm earlier this year.

Also Read

SMEs move HC against cess on exempted exporters

Banks’ economic apartheid towards SMEs must end

Facebook to partner with more VC funds for mentoring SMEs

VMware targets SMEs for further growth in India

Open partners with Visa to launch credit card for startups, SMEs

Comments
Add Your Comments
Commenting feature is disabled in your country/region.

Other useful Links


Copyright © 2020 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights: Times Syndication Service