After investing in many Indian start-up companies, the Chinese ecommerce giant, Alibaba is now planning to capture the $38 billion Indian ecommerce market and for this, the first step has already been taken.
Alibaba considers that the Indian market is most important after China and hence, venturing into the Indian ecommerce scenario has been on their agenda since a long time. Apart from launching an incubator for mobile startups and strategic partnerships in order to expand their user base, they also launched the ‘SMILE’ program last year to entice more than 1 crore Indian SMEs with their world-class fulfillments and delivery services.
According to reports, it is known that Alibaba is aiming to launch their own online marketplace in India by the end of this year and with a view to fulfilling this, they have also started holding meetings with Government officials. Alibaba’s management is holding some high-profile meetings with Indian Government officials and in near future, they are going to announce a major takeover.
Last week, a meeting was held between Alibaba Group President, Mr. Michael Evans, and the Telecom and IT Minister, Hon. Shri Ravi Shankar Prasad. The Minister sounded positive when he said, “Ecommerce is a rising phenomenon in India, growing at 50% plus with a huge catchment area, which shows the potential of a big aspirational market. We will give Alibaba full cooperation.”
As per the news, Alibaba is going to launch a model which combines both, online as well as offline retail. And later on, they would come up with a comprehensive ‘retail solution’ which would be targeted to small businesses.
This Chinese ecommerce giant is also trying to invest in Flipkart and acquire some stake in it so that when they launch their own ecommerce store, they have enough engagement and reach to make a dent!
Alibaba is an intelligent player and is going to make a strong foothold in the Indian market. Now this news can surely give some sleepless nights to other ecommerce companies in India!