1. Alibaba.com @ CeBIT Australia
Keys to Successful Sourcing
Daphne Lee
International Business Development & Marketing
Alibaba.com June 1, 2011

2. Alibaba Group Overview
• Founded in 1999 by Jack Ma, CEO of Alibaba Group
• Alibaba group now has 20,000+ employees and 60 offices in China,
Hong Kong, Taiwan, Korea, USA, UK and India.
1999 2011
Jack’s apartment View from the sky bridge at Alibaba.com corporate
Hangzhou, China campus in Hangzhou, China

3. Alibaba Group Overview
A decade later, Alibaba Group has become the largest e-commerce
company in China and a family of Internet-based businesses
(HK
Alibaba.com Limited
stock code: 1688)
One of China's
China's largest China's leading leading
C2C and B2C third-party Internet portals
retail website. online payment
In year 2010, platform, 550
Taobao has 370 million users.
million users, 4.7 Up to 5.5 M
million sellers. transactions
2010 GMV near amounting to
400 billion over RMB 1.4
World Largest B2B marketplaces RMB. (app. 60 billion daily.
billion USD)
3

4. Where are we now?
558,000 registered members in Australia
4

5. Alibaba.com Vision for next 10 years
Our Mission
“To make it easy to do business anywhere.” 2019
 Challenges of SMEs 2009 Our Vision
• Order New Business Paradigm
Survival
• Management
Growth • Talents CBS –
Consumer driven model
Expansi • Financing
on
1999
5

6. SMEs: Engine of Growth of Any Economy
 Big SME market :
~42 million SMEs in China
~22 million SMEs in US
~13 million SMEs in India
~ 4 million in Japan
 Critical to global economy and trade
China US Japan India
~ 55% of industrial
~ 60% of GDP ~ 50% of GDP ~ 17% of GDP
production
~ 70% of ~ 40% of
~ 70% of Export ~25% of Export
Import/Export manufacturing
Volume volume
Volume output
~ 80% of ~ 65% of Import
~ 70% of employment N/A
employment volume

7. Market Overview – Small Businesses
There are 1,646,344 small business owners in Australia
• Small businesses defined as having “less than twenty employees”
female
32%
Of the females, only Of the males, 80%
39% work full-time work full-time
male
68%
Source: Australian Bureau of Statistics
2005 and 2006 Characteristics of Small Business Surveys (cat. no. 8127.0), 08/06/2008

8. How SMEs Benefit from eCommerce
The advent of online marketplaces has helped address
many of these SME barriers to international trade
Challenges Solutions
Limited capital and • 24 x 7 product showcase and global
resources reach
• Highly efficient online marketing tools
• Low-cost communication tools
Lack of foreign market • Active trading community
knowledge / connections • Online market research
• User forums / knowledge sharing
• Robust global online company
database
Lack of confidence in doing • On- and offline partnerships (with
international trade trade show organizers, big buyers,
etc.)
• Public-private partnerships (with trade
associations, government bodies)
8

9. Sourcing Process
Product Supplier Sampling Meet in Trial Reorder
Search Qualification •Buy samples Person •Start with •Once satisfied
•Identify products •Identify from the •Meet suppliers orders with with the
close to the capability and suppliers. In face to face small amount to products, come
needs experience some cases, free manage the risk back and
•Either in trade
•Specify form of samples of large reorder as
•Screen shows, or visit
customization •In some cases, inventory needed
companies the supplier in
based on item request China •Judge suppliers
and company customization based on the
description •Judge the post-sales
supplier based service received
•Judge based on
responses on sample
received, such received:
as speed of the quality, price,
email, domain materials etc.
knowledge, •Try the supplier
flexibility, based on
services, and communication,
support received shipment
etc. packaging etc.

10. Why Alibaba?
Key pain area for trading companies
Fact:
Average sourcing cycle is 3 to 4 months.
More than half this time on search.
Search & Discovery Evaluate Negotiate Transact
48% on remainder
52%
Source: Aberdeen Group study

11. Alibaba.com B2B eCommerce |
International Marketplace
Key features on product listing page:
1. Search Engine
• Keyword Search
• Product Category
2. Supplier/Product Information
• Company Products
• Company Profile
• Company Video
3. Value-Added Services (VAS)
• Keyword Search
• Premium Placement
• Virtual Showroom
4. Real-time Communication &
Inquiry
• Trade Manager
• Email

12. Alibaba Buying Tools
(1) Submit a RFQ form to
enjoy a customized
matching service from
Alibaba.com
(2) Post a Buying Leads to
let the right suppliers find
you
(3) Subscribe Trade Alert to
get updates on the latest
products
12

13. AliExpress.com & Escrow Service
Purchase your orders online now, including payment and shipping.
- Suitable for small-medium order quantity
ESCROW buyer protection ensures you never release your money to the
supplier until you receive the shipment on your doorstep.
Buyer may select
delivery from
UPS, FedEx, or
DHL at prescribed
rates.
VISA, MasterCard
T/T and PayPal
accepted.
13

14. AU Big Buyers on Alibaba.com
Australia
14

15. Australia Buyers on Alibaba.com
Founded in 2004 Dealsdirect.com.au makes shopping
easy for the millions of people living in Australia
Dedicated team of buyers, majority of sourcing done
on Alibaba.com
Roughly 30-80% less than recommended retail prices
on all of our products
Wide range of product choices
Guaranteed low prices
15

16. Buyer Testimonial: Andrew Morello
“The major benefit of Alibaba.com is
its simplicity. There are a lot of
supplier websites out there now, but
none as detailed or as simple to use
as Alibaba.com.”
Andrew Morello, Winner of The
Apprentice 2009 (Australia)
“If there’s something you
need, go to Alibaba.com
and source the best
possible products at the
best possible price.”
16
16

17. Welcome to visit Au.alibaba.com
17
17

18. Alibaba.com Australia Fans Page
18

19. Open Sesame in Sydney

20. Global Footprints

21. Thank You &
Join us free today !
www.alibaba.com
www.aliexpress.com
daphnelee@hk.alibaba-inc.com