Alibaba, Chinese e-commerce giant is planning to make investment in a fleet of car carriers. This planning is to support the company’s car business division, which was established in April 2015.
New York-listed Chinese e-commerce giant Alibaba is preparing to invest in a fleet of car carriers to support its nascent car business division started in April 2015. This car business will go for forward integration for the overall motor-related businesses to its customers. It would provide car owners with various services like online-to-offline (O2O) motor services, localized services and motor financing. This car service is also available for both new car and second-hand car transactions.
Wang Licheng, the general manager of car business division of Alibaba, shared that the company is having a sales target of 300,000 cars per year. They are keeping an ambitious target for them as they expect the half of the volumes is coming from Shanghai. He further added that on meeting the sales volume meet expectations; Alibaba is planning to invest in one or two 5,000 ceu car carriers to resolve the logistics bottleneck. In line with this, Alibaba is having the negotiations with domestic car logistics specialist like Anji Logistics, China Shipping Group and MOL. But the prices offered by the companies failed to meet the expectations of the group.