With names such as AliExpress and Alipay flying around the e-commerce sphere, it can sometimes get confusing what Alibaba.com is and how this digital wholesale marketplace differs from these other websites. To address this matter, we are here to clear things up once and for all. Here’s our complete guide to what Alibaba.com really is.
What is Alibaba?
Founded in 1999 by Jack Ma, Alibaba Group refers to the parent company of Alibaba.com. Headquartered in Hangzhou, Zhejiang province, China, it comprises many well-known companies, such as AliExpress, Alipay, Alibaba Cloud, Taobao, Tmall, and of course, Alibaba.com. With these businesses and more under the Alibaba Group umbrella, the company is among the world’s largest e-commerce giants.
What’s interesting about the Alibaba Group websites is that they cover nearly every step of online trading. Because of this, the company is at the forefront of not only e-commerce, but also financial services, logistics services, cloud computing services, artificial intelligence, and machine learning. Now, let’s see where Alibaba.com fits into all this regarding online business on Alibaba’s ecosystem. The main difference between Alibaba.com and other websites under the Alibaba Group umbrella is its focus on connecting businesses with manufacturers, wholesalers, and retailers for bulk purchases.
What is Alibaba.com?
Alibaba.com is one of the world’s leading wholesale online marketplaces. As Alibaba Group’s first website, Alibaba.com was created to connect suppliers to serious B2B buyers to make it easy to do business anywhere. When perusing the website, you’ll find manufacturers, wholesalers, and retailers from all over the world that sell a wide range of products in over 5,900 categories. The website boasts over 500,000 daily inquiries, which means myriad business transactions are being made every day.
Alibaba.com Tip: Ready to capitalize on those over 500,000 daily inquiries? Check out our seller membership plans — now with flexible payment plans that make starting to sell on Alibaba.com easier than ever.
Since Alibaba.com is made for wholesale trade, many virtual and brick-and-mortar stores in the United States source their inventory from Alibaba.com suppliers, often putting in orders with high order quantities. More than 40 million active buyers on Alibaba.com source from suppliers worldwide to take advantage of low prices and high product quality, which reflect the lower manufacturing costs abroad. This benefits U.S. businesses by offering a wide range of products at competitive prices, helping to streamline their supply chains and inventory management processes. Alibaba.com also offers a user-friendly Alibaba Supplier (AliSuppliers) app for easy access to the platform, catering to the needs of small and medium-sized enterprises (SMEs) looking to expand their reach in the global market.
What is the Alibaba.com website?
Alibaba.com’s website can be used in different ways, depending on whether you’re looking to sell or source. Regardless of which role you take, Alibaba.com can become an integral part of your enterprise. Here’s how to use Alibaba.com to expand your business and increase your sales.
Alibaba.com Tip: Have you heard of the Request for Quotation (RFQ) market? The RFQ market is an exclusive feature, where buyers post sourcing requests on Alibaba.com. Sellers can respond to these requests and find their next long-term business partner.
Alibaba.com for sellers
Alibaba.com is built for sellers to expand their reach and start selling their products to a global audience. With millions of active users and a strong presence in international markets, Alibaba.com offers unlimited product listing, 0% sales commission, 24/7 online customer support, and more features for USA sellers to sell domestically and globally. By creating a seller account on Alibaba.com, U.S. business can showcase their products, reach new customers, and increase their sales potential. Find out how to become a USA seller on Alibaba.com.
1. Alibaba.com Manufacturers
If you have manufacturing capability, you have options in how to diversify your business by selling on Alibaba.com. Many of Alibaba.com’s suppliers are manufacturers and not third-party distributors. Beyond only selling your unique products on the marketplace, manufacturers can also offer white-label services.
White labeling refers to manufacturing products for a buyer, who may not have their manufacturing ability. Suppliers who provide this service add the buyer’s branding and logo to the products, allowing the buyer to sell a product afterward. A common example of white labeling in everyday life is when grocery stores offer “generic” products that are the same as brand-name items.
Alibaba.com Tip: Still not sure whether white labeling is right for you? Check out Totally Products LLC’s seller success story to find out more about how Daniel Rosenfield was able to earn an additional revenue stream through white labeling.
2. Alibaba.com Wholesalers
If you’re a wholesale distributor, it means that you have access to and sell a variety of brand-name products that you don’t necessarily make yourself. Post your vast inventory on your online storefront, and attract eager B2B buyers who are on the hunt for particular products. By selling through Alibaba.com, you can specify a higher minimum order quantity (MOQ), which ensures that the orders you fulfill are wholesale. With optimized product listings on Alibaba.com, your inventory will appear in search results, increasing your online visibility to more potential buyers.
Alibaba.com Tip: Need a concrete example of a wholesale distributor? Check out Concession King’s seller success story to see how Adam Greenberg revitalized his grandfather’s candy-selling business using Alibaba.com.
3. Alibaba.com Retailers
If you are a small business owner and you’d like to get into B2B trade, you can generate B2B sales by listing on Alibaba.com. As opposed to B2C, where transactions are often singular, B2B typically requires building a relationship between seller and buyer, so the seller can become a long-term supplier with recurring transactions that keep the B2B buyer’s business thriving. Many B2C businesses decide to turn to B2B because the business model provides much more stability. Offering excellent customer service and support can also help in establishing and maintaining strong relationships with B2B buyers.
Alibaba.com Tip: Are you a self-made business owner who wants to transition to selling B2B? Check out Strategic Visionary Solutions’ seller success story and discover how Denny Haag pulled off this feat by selling on Alibaba.com.
Alibaba.com for Buyers
If you’re sourcing wholesale products, Alibaba.com is the place to go. With tabs that allow buyers to search by product or manufacturer and filters that help narrow down their search by factors like price, country of origin, and certifications, buyers can decisively find what they’re looking for and the suppliers who have the capabilities to fulfill those orders. All buyers have to do is reach out to sellers with an inquiry through instant messaging. With AI-powered translation available in 17 languages, you can speak to suppliers around the world without issue. Plus, with Trade Assurance in place, you can have peace of mind when making transactions. Additionally, Alibaba.com offers Logistics Services such as dropshipping and fulfillment, providing B2B buyers with more options for shipping and order fulfillment.
Alibaba.com Tip: If you’re still having trouble locating the product you’re looking for, you can submit a request at the RFQ market.
Conclusion
Alibaba.com has been a long-time player in online B2B trade that connects suppliers and buyers around the world. Now that you know what Alibaba.com’s wholesale marketplace is, unleash infinite business opportunities, expand your business, and diversify your revenue by becoming Alibaba.com seller. Check out Alibaba.com’s membership plans, and choose a plan that suits you and your business. Sign up now!
