Alibaba pushing Amazon for global e-commerce dominance

Reigning supreme against the current industry leader must have felt sweet. Alibaba’s market value has officially outpaced Amazon, Yicai Global reports. Earlier this year, CNN reported that Alibaba could surpass Amazon. It now has.

The record was set when Alibaba’s share price rose to $184.32 on Oct. 10 at 11:21 EST. This boosted Alibaba’s market value at $472.1billion. Around the same time, while Amazon’s shares were reported at $982.35 per share, its market value came up a bit short at $471.9 billion. Amazon only managed to get back on track upon closing with a rise opposite Alibaba’s stock price fall once markets closed.

The last time Alibaba’s stocks rose rapidly was back in August when it recorded its all-time high single-day rise of 5%. It was not enough to break the Amazon glass ceiling at that time. But it was enough to get observers watching Alibaba closely.

The inevitable finally happened albeit for a few moments on that October day. With the stock shares going neck and neck in competition, pundits that have seen Alibaba’s market share double as of the third quarter of 2017 have been predicting it for quite some time.

According to Business Insider, this rise can be traced to AliExpress, Alibaba’s mobile shopping app geared towards the western market. But download data collected by market data research company AppAnnnie encompassed on a global level, thanks to the worldwide reach of Google Play and iOS metrics, showed AliExpress has been downloaded 50 million times this year compared to 28 million times in 2016.

Bulk buyers also got an opportunity to buy goods from reputable suppliers from China affiliated with Alibaba through Alibaba Logistics. Western buyers who already found their previous suppliers in the Alibaba database found more convenient ways to receive their shipment through this subsidiary.

AliExpress has set its sights on Black Friday, AppAnnie also reported. The only problem left for online shoppers then is beating everyone else for the lowest deals posted online.

Stay up-to-date with the latest commentary and insights on FreightTech and the impact to the markets by subscribing.

Categories: News