Rumor: Baidu to Launch B2B Platform

An industry source recently revealed that Baidu (Nasdaq: BIDU) has secretly kicked off a B2B project and is currently in talks with several third-party certification companies regarding the development of a unified B2B trust certification system.

Alibaba.com Launches New China TrustPass Product for China

Alibaba.com Limited (HKSE:1688), the world's leading B2B e-commerce company, today announced the launch of a new product called "China TrustPass for Individuals" on its Chinese-language online marketplace, which connects suppliers and buyers trading domestically in China. Until now, Alibaba.com's China TrustPass membership had only been available to corporate users.

Similar to the corporate version, entrepreneurs need to pass a third-party authentication and verification process before they become a China TrustPass member. As part of this process applicants need to provide their identity card and bank information. Once they become an authorized China TrustPass member, Alibaba.com will maintain an online trust rating for individuals to build confidence and credibility with potential buyers.

Alibaba.com launched its original China TrustPass membership in 2002 and as of March 31, 2008 had more than 280,000 paying members. Alibaba.com's China marketplace has close to 25 million registered users and is growing at over 36% year-on-year. The price of the new product will be RMB2,300 per year, slightly lower than the corporate version which currently sells at RMB2,800.

"Starting up a new business and trading over the Internet has never been easier and more affordable for entrepreneurs," said David Wei, CEO of Alibaba.com. "Alibaba.com has always been a pioneer of trust and safety on the Internet and we believe that a reliable trust system for individuals as well as corporate e-commerce users is essential. China TrustPass for Individuals will help entrepreneurs build credibility and open up new business opportunities."

He continued, "The launch of this new product is in line with our strategy to further expand and monetize our fast growing China marketplace. We believe there is strong demand for this product in China as seen by the positive reception it has received during the pre-launch sales period." China TrustPass for Individuals was pre-launched on May 10, 2008 and has already signed up thousands of members.

China TrustPass for Individuals will help more entrepreneurs in China launch and develop their business by significantly lowering the start-up costs and entry barriers to running an online storefront and finding potential buyers. With more than 42 million small and medium-size enterprises, China already has one of the world's biggest communities of entrepreneurs.

Alibaba to Promote PCs with B2B Inside

Alibaba (1688.HK) announced today that it would partner with Intel to introduce a line of computers designed specifically for SME e-commerce, to use Alibaba's embedded SME B2B platform and Intel's platform technology to meet the data security and service needs of SMEs. The computers will be made and sold by selected PC manufacturers, and are planned to be introduced within the year.

China's B2B transaction volume up 25.5% in 2007, survey finds

Business-to-business (B2B) transactions hit 1,250 billion yuan (168.9 billion U.S. dollars) in China last year, up 25.5 percent from 2006, according to a survey released on Tuesday.

The "Netguide 2008" survey, which provides a wrap-up of 2007, polled more than 300 web sites and about 200 enterprises, with 50,786 interviewees around the country.

The survey, conducted by the Data Center of the China Internet (DCCI), reported that the newly-listed Alibaba.com was first in the e-commerce marketplace and accounted for about 70 percent of market share.

Alibaba.com is one of China's fastest-growing Internet companies. Its registered members soared to 24.6 million in 2007 from 6 million in 2004.Paying members increased to 255,000 by June 2007 from 77,000 in 2004.

Alibaba.com, which reportedly has the world's biggest base of online suppliers, raised 1.5 billion U.S dollars in its initial public offering (IPO) last November -- the second-largest Internet offering in history after Google's IPO in 2004.

Other e-biz dotcoms on the top list are netsun.com, globalsources.com, cn.made-in-china.com and hc360.com, according to the survey.
The Netguide 2008 also forecasts that China's B2B trade volume will exceed 1,620 billion yuan (218.9 billion U.S. dollars) in 2008 and 2,130 billion yuan (287.8 billion U.S. dollars) in 2009.

Lenovo Online: Dipping a Toe in the Water

Beginning January 9, Lenovo (0992.HK) has begun making a group-purchase model available to small- and mid-range enterprise Alibaba members. The program is available in 14 cities including Beijing, Shanghai, and Guangdong.

The move has once again aroused speculation as to Lenovo’s strategy for B2B and B2C online sales, but a source at the company says that the group-purchase program is a limited-time offer that will end January 31. “Lenovo is not currently seeking online distributors,” the source said.

Lenovo, the top brand in China’s PC market, doesn’t really need an online distributor. Theirs is a strong brand name and is known to just about everyone in China that has considered, looked at, or even used a computer in China. Alibaba has a much-coveted list of small and medium (SMB or SME) companies in China, but that’s not what interests Lenovo. Alibaba has built an online sales infrastructure that Lenovo lacks. With a limited sales program via Alibaba Lenovo can assess the utlity of online sales without building an online store.

Whenever Lenovo is ready to sell online, they can just do it themselves.

Alibaba (1688.HK) December Update

Hangzhou-based Alibaba Group's business-to-business (B2B) e-commerce subsidiary Alibaba.com Ltd. (1688.HK) began trading on the Hong Kong Stock Exchange's main board on November 6. The shares debuted at HK$30 and ended the day at HK$39.50, up substantially from its initial public offering price. JLM Pacific Epoch surveyed 1,000 Gold Suppliers in the first two weeks of December to get a better understanding of customer satisfaction, spending, discounts, and other trends in China's rapidly growing B2B marketplace.

Alibaba.com Eyes India…But No Plans Yet For Acquisitions Or Even An Office Here

Alibaba.com, the Hong Kong Stock Exchange listed B2B arm of the Alibaba group of companies is eying India as a priority market. The company claims to have a customer base of 340,000 from India, and is targeting around 600,000 by the end of next year. However, there are no immediate plans for acquisitions or even setting up an office in India, Brian A Wong, Sr. Director (International Business Development & Marketing) told PTI, though the story does mention “the roll-out of its aggressive expansion programme in India”. Alibaba.in appears to be taken...Nevertheless, this should be good competition for eBay India, which has recently launched an advertising campaign on TV.

Yahoo (NSDQ: YHOO) owns 39 percent of the Alibaba Group, and had purchased a direct 1 percent stake in Alibaba.com, spending $100 million for 57.5 million shares, at $1.74 per share.