Alibaba Ventures in the 3 hours Delivery Service for Healthcare
Published By : 12 May 2015 | Published By : QYRESEARCH
The biggest name in online shopping in China Alibaba Group Holding Ltd, is gearing up to roll out its highly ambitious three house delivery service of healthcare products. This step was taken to counter the marketing strategies adopted by the rival JD.com Inc.
At the initial phase, the three hours delivery service will be launched in five Chinese cities, including Shanghai and Beijing. The services will be gradually expanded to 19 cities before 2015 ends, as reported by Alibaba on Tuesday.
In near future, the company also has plans to add products beyond the ambit of healthcare.
The company will conduct its service through a network of five pharmacies with which it has entered into a partnership to sell good via stores registered in Alibaba’s website Tmall.com.
The service offered by the site will be called ‘Ji Su Sa’ or ‘fast delivery’. It will link the shoppers to a network of more than 1,500 drugstore located in close proximity.
Cainiao, an affiliate of Alibaba will operate in collaboration with the different logistics firms to deliver and collect the order.
However, Alibaba will have to face biggest challenge from JD.com, which also has a devoted network of strong logistics and an efficient delivery system very similar to that offered by Amazon.com Inc.
With an aim of ensuring an efficient network of distribution, Alibaba along with its partners have worked on years for building Cainiao in an effort to enjoy competitiveness in the online market.
Ji Su Da is just a part of a more universal target of encompassing the numerous offline services under the ambit of online network. This can include services such as flagging a restaurant deal to taxis.