Chinese e-commerce giant teams up with carmakers on big data, financing and sales
Another bold move Image: Alibaba Group |
Alibaba Group has launched an automotive division with a view to capitalising on the nation’s love of online shopping and cars.
Since its formation in early May 2105, Alibaba’s automotive unit has already formed a series of high profile partnerships with leading carmakers like Shanghai General Motors, BMW Mini and Jaguar Land Rover.
Shanghai GM and Alibaba will collaborate on car financing credit products to allow the purchase of vehicles without commission. The partnership also names Alibaba as the formal e-commerce platform for Shanghai GM, allowing users to book service appointments and order replacement parts with online dealers.
SAIC, joint venture partner of GM in China, has also inked a deal to invest $160m with the e-commerce giant to develop a concept car that could be rolled out as early as 2016.
The Chinese tech giant has secured a similar arrangement with BMW Mini and Jaguar Land Rover that will also look into big data analysis and research the efficacy of e-commerce channels and optimising customer experience.
Alibaba’s car division, Alibaba Automotive, already has partnerships with nearly 50 vehicle brands and over 10,000 dealers in mainland China. Last year, 120,000 cars were sold through Tmall.com – the B2C platform owned by Alibaba Group.