Home / Knowledge / News / Apparel/Garments / Alibaba revenues slip; battle looms with JD.com
Alibaba revenues slip; battle looms with JD.com
27
Jan '16
Chinese e-commerce giant Alibaba Group Holding Ltd is expected to post its weakest quarterly revenue growth on record, according to Thomson Reuters data. Analysts say the slowdown will heat up the battle with smaller rival JD.com Inc in a tougher economy.

Alibaba's revenue for the quarter ending December is projected to grow at 26.6 per cent, according to a Thomson Reuters SmartEstimate survey of 28 analysts, which would be the slowest rate since the company started publishing such data three and a half years ago.

The pace also lags the 47-51 per cent revenue growth JD.com projected for the same period, which is also the slowest expansion since the company started releasing records.

Alibaba and JD.com declined to comment, citing the pre-earnings quiet period.

JD.com has focused on more affluent shoppers in China's biggest cities, a strategy that may be paying off in an economy that last year grew at its slowest pace in 25 years, the Reuters report said.

While the two companies calculate the total value of goods sold - known as gross merchandise volume (GMV) - differently, JD.com's GMV grew 82 per cent in the nine-months to September while Alibaba's rose 34 per cent, suggesting China's biggest e-tailer was losing market share.

Earlier this month, Alibaba Chief Executive Daniel Zhang said the company will pivot towards these "first-tier" cities like Beijing, Shanghai, Shenzhen and Guangzhou, after having trumpeted a push into China's countryside, as well as abroad.

This may be a tough ask, as quality concerns still dog Alibaba and as JD.com has already carved out its own space in these cities by offering speedy delivery and quality assurances, the report said. (SH)

Fibre2Fashion News Desk - India

Must ReadView All

Textiles | On 21st Feb 2017

Net profit at Indorama Ventures zooms 145% in 2016

Net profit at Thailand headquartered and Aloke Lohia led Indorama...

Information Technology | On 21st Feb 2017

ThreadSol launches IntelloBuy & IntelloCut in Vietnam

ThreadSol, the pioneer of enterprise material management for sewn...

Textiles | On 21st Feb 2017

GST to reduce documentation for logistics firms: CBRE

The Goods and Services Tax (GST) is likely to result in a reduction...

Interviews View All

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
February 2017

February 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search