Click on the image for details Jack Ma, Chairman of Alibaba Group Various signs indicate that after years on the back burner, Alibaba's B2B business is rapidly moving to the forefront and ushering in a new spring. Following Alibaba Group CEO Daniel Zhang's endorsement of Alibaba B2B's Retail Link (Ling Shou Tong) business on August 28, on September 9, Ma and Zhang appeared together at the Alibaba B2B business group's annual meeting and delivered lengthy speeches. This is also a rare occasion in recent years for Ma to speak specifically about the B2B business, carrying significant implications as a bellwether. Ma: Must Make B2B the Top Priority for Alibaba's Future Development In his speech, Ma stated, "B2B carries Alibaba's most precious blood, not only the strength of the Alibaba Iron Army and its powerful execution, but most importantly, Alibaba's value system and sense of mission." Ma emphasized, "Eighteen years later, we must once again strengthen the service capabilities of the entire B2B team. We must treat B-class customers as strategic partners and make B2B the hope and top priority for our future development, because by serving B-class customers well, our B-class customers will serve various C-end consumers well." Ma said, "One important indicator of the fifth largest economy is 10 million profitable small and medium-sized enterprises. I hope everyone here will continue to persist and serve SMEs well." Alibaba Group CEO Daniel Zhang Zhang put forward more specific requirements for Alibaba's B2B business: "Under the grand goal of the 'Five New,' the direction for the B2B business is nothing more than two things: first, upgrade the foreign trade and domestic trade businesses into new trade businesses; second, whether it's AliExpress, Rural Taobao, or Retail Link, setting aside the business scenarios, we are all doing one thing: creating new channels that can reach markets and consumers." Zhang emphasized, "The digital economy has made the world more transparent, flatter, and more efficient in information transmission. How to serve the trade needs of 40 million SMEs and provide the services they need is a common problem and opportunity for China Suppliers, 1688, Credit Pass (Cheng Xin Tong), and the SME International Trade Division." Dai Shan, President of Alibaba B2B Business Group, said that the B2B industry is ushering in a new spring and rapidly entering a period of value return. She said that with changes in the domestic and foreign trade environments, more and more SMEs have increasing demand for finance, credit, logistics, and comprehensive services. In the domestic trade sector, the rise of consumption upgrading and new retail has made the trends of consumer internet and industrial internet increasingly evident, and the spring for SMEs is coming. In the foreign trade sector, bulk transactions are decreasing, and small and medium-sized trade is becoming a new trend. "The changes in the domestic and foreign trade market environments present a huge opportunity for Alibaba B2B," Dai said. Under the "New Manufacturing" umbrella, Alibaba's B2B business may usher in explosive growth. Since Ma proposed the "Five New" strategy last year, New Retail has caused a huge response and quickly become a hot spot in the investment and entrepreneurship circle. Alibaba has also successively launched dazzling New Retail projects such as Hema Fresh and Taocafe unmanned convenience stores. In the entrepreneurial market, a large number of New Retail projects have received financing one after another, making New Retail one of the most important entrepreneurial trends in 2017. After the success of the New Retail experiment, Alibaba is now setting its sights on "New Manufacturing" and the other "Four News." If New Retail is a feast for Alibaba's 2C business, there is no doubt that promoting the "New Manufacturing" business must rely on the B2B team. Alibaba Group CEO Daniel Zhang also confirmed this point. In his speech, he said, "The huge opportunities of the industrial internet drive comprehensive changes and opportunities in manufacturing, production, circulation, trade, and channel management. Such historical opportunities within Alibaba Group are undertaken by the B2B business." Under this line of thinking, Alibaba's B2B business has made a series of arrangements. First, it joined forces with Minmetals to establish the steel e-commerce platform Wuage. Then it carried out bold departmental integration, officially merging the original 1688 Business Unit with the 1688 Sales Service Business Unit and renaming it Alibaba China Domestic Trade Business Unit (CBU). After completing internal adjustments, it high-profile launched the Retail Link Tmall Store business, which has had a significant impact on the industry. After this series of dazzling moves, Alibaba B2B has completed a new round of layout, and its business may usher in larger-scale expansion. According to data obtained by B2B Internal Reference from the Alibaba B2B business group, Alibaba B2B's main business has maintained a growth rate of about 20% for the past three consecutive years, and the GMV (Gross Merchandise Volume) of the B2B main business has doubled in the past three years. Although the growth rate of Alibaba's B2B business cannot be compared with the 50% growth of Tmall and Taobao, under the background of Alibaba Group's push for "New Manufacturing," the prospects of Alibaba's B2B business are still worth looking forward to. Under the protection of the "New Manufacturing" group strategy, Alibaba's B2B business will also receive more support from the Alibaba Group level. Dai Shan stated that Alibaba B2B will horizontally integrate all resources within the group, linking Tmall, Taobao, Ant Financial, Cainiao Logistics, and Alibaba Cloud, continuously improving service capabilities for SMEs and serving customers faster and better. The B2B business is difficult; it needs to be simmered slowly and withstand loneliness. In the speeches of Zhang Yong and Dai Shan, they both mentioned that the B2B business is difficult. Zhang said, "Many times we say the B2B business is difficult because it is hard to become an overnight sensation," but as long as we grasp customer value and continuously meet customer needs, businesses oriented towards SME customers can be more evergreen and enduring. Dai Shan said, "Compared to the 'overnight wealth' of the gaming business and the 'overnight sensation' of the C-end consumer business, the B2B industry is one that requires time accumulation. But as long as we grasp customer value and continuously meet customer needs following changes in customer value, the B2B industry is actually more likely to be evergreen and enduring." "The B-class business is like an old duck stew; it needs to be simmered slowly and withstand loneliness," Dai Shan said. Attached are three articles: The full texts of speeches by Ma, Zhang, and Dai. Ma: Helping SMEs grow is the greatest public welfare, the greatest charity, and the greatest blessing. At the venue, Ma sat calmly. He looked at everything in front of him with a smile on his lips. He said that even with his eyes closed, he could distinguish B2B employees by their footsteps. On September 9, at the Alibaba Group B2B business group annual meeting, Ma announced that Alibaba would continue to increase service efforts for B-class customers. "We must treat B-class customers as important strategic partners. Without B-class customers, it is impossible to have satisfaction from C-end consumers." This is Ma's second time in two days to emphasize the importance of SMEs. At the previous Alibaba Group all-staff meeting, Ma expressed his hope to build Alibaba into a network-based economy and, in the future, become the world's fifth largest economy. He said he hopes Alibaba can solve 100 million employment opportunities for the world, serve 2 billion consumers, and create a profitable platform for 10 million SMEs. At today's B2B annual meeting, Ma once again emphasized this point. He said that one important indicator of the fifth largest economy is 10 million profitable SMEs. "I hope everyone here will continue to persist and serve SMEs well." Ma said that B2B carries Alibaba's most precious blood, not only the strength of the Alibaba Iron Army and its powerful execution, but most importantly, Alibaba's value system and sense of mission. "Eighteen years later, we must once again strengthen the service capabilities of the entire B2B team. We must treat B-class customers as strategic partners and make B2B the hope and top priority for our future development, because by serving B-class customers well, our B-class customers will serve various C-end consumers well." At the annual meeting, Ma was very familiar with the various businesses and products under B2B. Ma emphasized that in Alibaba's rural strategy and globalization strategy, Rural Taobao should not only help China's rural development but also help rural development worldwide. AliExpress should not only help Chinese companies sell products to the world but also help companies worldwide sell products to the world. And OneTouch (Yi Da Tong) should create a successful template by building the eWTP infrastructure and export it to customs and inspection departments around the world, making the world better in terms of eWTP. Ma made demands on the employees of Alibaba's B2B business group at the meeting, hoping that employees would sincerely help customers. "Because not only will these companies bring us the income we need, but more importantly, helping SMEs is the greatest act of kindness. Helping SMEs grow is the greatest public welfare, the greatest charity, and the greatest blessing." Alibaba CEO Zhang Yong on B2B: Leading the upgrade of new trade and creating more opportunities. "Under the grand goal of the 'Five New,' the direction for the B2B business is nothing more than two things: first, upgrade the foreign trade and domestic trade businesses into new trade businesses; second, whether it's AliExpress, Rural Taobao, or Retail Link, setting aside the business scenarios, we are all doing one thing: creating new channels that can reach markets and consumers." On September 9, at the Alibaba Group B2B business group annual meeting, Alibaba CEO Zhang Yong said that in the era of the rapidly changing digital economy, as Alibaba's earliest business, B2B must adapt to changes and even lead changes. Zhang said that this era is changing, customers have changed, and demands have changed. "So we must change. Embracing change is the soul of Alibaba's culture. The B2B business group is undergoing many changes, and I hope such changes can be a bit more." In different historical stages, the way of doing business may change. Zhang said that in the era of the rapidly changing digital economy, adapting to changes and even leading changes is more important. Under the background of the "Five New" strategy, the B2B business has nothing more than two things to do. The first is to upgrade the foreign trade and domestic trade businesses into new trade. "The digital economy has made the world more transparent, flatter, and more efficient in information transmission. How to serve the trade needs of 40 million SMEs and provide the services they need is a common problem and opportunity for China Suppliers, 1688, Credit Pass, and the SME International Trade Division." Zhang said that many customer values need to be redefined. Only by redefining the way to serve customers according to changing customer needs and changing markets can we find new opportunities. Zhang said that in addition to new trade, the businesses within B2B, including AliExpress, Rural Taobao, and Retail Link, are all doing one thing regardless of specific scenarios: creating new channels that can reach markets and consumers. "Whether it's the rural market, urban market, or overseas market, we hope to meet market changes through effective supply efficiency improvement." Zhang said that whether it is new trade or new channels, it will ultimately be driven by digitalization, big data, intelligence, and technology. The combination of business and internet technology has made everyone feel the changes in the consumer internet as users. "This also presents us with huge opportunities, namely the changes in the industrial internet, driving comprehensive changes and opportunities in manufacturing, production, circulation, trade, and channel management. Such historical opportunities within Alibaba Group are undertaken by the B2B business." In the final stage of his speech, Zhang said, "Many times we say the B2B business is difficult because it is hard to become an overnight sensation," but as long as we grasp customer value and continuously meet customer needs, businesses oriented towards SME customers can be more evergreen and enduring. Alibaba's Dai Shan: My eyes are only on customers; the B2B business group will integrate Alibaba's ecosystem strength to increase empowerment for SMEs. On September 9, 2017, the B2B business group, Alibaba's founding business, held its all-staff annual meeting after an eight-year hiatus. At the meeting, B2B business group president Dai Shan said that the B2B industry is ushering in a new spring and rapidly entering a period of value return. Dai Shan is a partner of Alibaba Group and one of the 18 founders. At this annual meeting that lasted an afternoon, Dai repeatedly emphasized the value of customers to the enterprise. She said, "I know very clearly that only the voice of customers makes me anxious and move forward; only the voice of customers can influence me." In addition to her dedication to customers, Dai Shan also talked about the B-series plans regarding SME development and how the B2B business group can help SMEs. She said that with changes in the domestic and foreign trade environments, more and more SMEs have increasing demand for finance, credit, logistics, and comprehensive services. In the domestic trade sector, the rise of consumption upgrading and new retail has made the trends of consumer internet and industrial internet increasingly evident, and the spring for SMEs is coming. In the foreign trade sector, bulk transactions are decreasing, and small and medium-sized trade is becoming a new trend. To this end, Alibaba B2B will adhere to technology and data-driven approaches, horizontally integrate all resources within the group, link Tmall, Taobao, Ant Financial, Cainiao Logistics, and Alibaba Cloud, continuously improve service capabilities for SMEs, and serve customers faster and better. "The changes in the domestic and foreign trade market environments present a huge opportunity for Alibaba B2B. In the next three to five years, we will go all out to help SMEs embrace new retail and new trade," Dai said. The B2B business group is Alibaba Group's founding business. Over the past 18 years, it has been rooted in serving SMEs, focusing on SME services. Its main businesses include the cross-border B2C platform AliExpress, the domestic trade B2B platform 1688, the overseas B2B platform International Station, and Rural Taobao. Data provided by Alibaba B2B business group shows that Alibaba B2B's main business has maintained a growth rate of about 20% for the past three consecutive years, and the GMV of the B2B main business has doubled in the past three years. Compared to the "overnight wealth" of the gaming business and the "overnight sensation" of the C-end consumer business, the B2B industry is one that requires time accumulation. But as long as we grasp customer value and continuously meet customer needs following changes in customer value, the B2B industry is actually more likely to be evergreen and enduring. "The B-class business is like an old duck stew; it needs to be simmered slowly and withstand loneliness," Dai said. Source: B2B Internal Reference (b2bnc1) Click on the image for details The 3rd (CFIC) China FMCG + Internet Conference will be held in Chongqing in October 2017. The conference will closely revolve around the theme "New Forces, New Ecology," inviting 1000+ distributors, 500+ brand owners, 200+ B2B platform founders, and 100+ investment and financing institutions to jointly explore a new chapter of cross-border integration! Core topics of this conference:
How the FMCG industry can achieve new growth opportunities through B2B
How to build the new supply chain behind new retail
How same-city logistics can help B2B achieve leapfrog development
Highlights of this conference:
The industry's first "2017 China FMCG B2B Industry Competitiveness White Paper"
Case sharing of excellent transformation and upgrading distributors
Exhibition upgraded again, Hall 6 Internet Technology Exhibition strengthens docking
Alibaba Retail Link, Global Logistics Properties Finance, Eternal Asia Supply Chain, Best Store Plus, Yijiupi, Unilever, Hdtech, Yunmei Co., Ltd. - leaders from the most well-known enterprises in various fields will give speeches on-site and present pioneering views.
October 17-18, 2017 Chongqing International Expo Center Registration is now open. Long press the QR code below or click "Read Original" to register. Early bird tickets before September 15 enjoy a 30% discount! Add friend and note "Conference Registration" Click the links below to review the highlights of the first and second FMCG + Internet conferences: 2016 "FMCG + Internet" Summit Forum 2017 (2nd) China FMCG + Internet Conference Click the links below to review the highlights of the first and second FMCG + Internet conferences: 2016 "FMCG + Internet" Summit Forum -END-