Ecommerce war in China: JD.com will stop the corperation with Sina Weibo
Domestic jd.com online shopping platform will end cooperation with popular social network Sina Weibo services in the country by the end of September, and consumers will not be able to connect to the market through their Weibo accounts , e -commerce retailer said Sunday .
"Since our partnership with Sina Weibo will soon expire , we expect users to request Weibo accounts jd.com to continue their online shopping. Their previous purchase data will be stored in new accounts, " a PR representative JD who asked not to be named told the Global Times Sunday.
Analysts attributed the decision to JD recent agreements between Chinese e -commerce leader Alibaba Group and Sina Weibo . After the acquisition of a 18 per cent in the social networking service for $ 586 million on April 29 , Alibaba announced to link users Weibo accounts with both platforms for online sales - taobao.com and tmall.com of August 5
Because of its competitive relationship with Alibaba, JD is unlikely to continue its cooperation with Sina Weibo , Wang Tingting , an industry analyst with the consulting firm iResearch , told the Global Times Sunday. The move marks the intensification of the rivalry between the two platforms, e -commerce . Earlier in 2011 , JD stopped using Alipay, a third party payment service developed by Alibaba. Wang also gave another reason behind the movement of JD to cut its link with Weibo .
" Weibo is still working on a way for experienced business growth customer base or increase transactions operators e -commerce platform significantly . Consequently , JD could choose to terminate this cooperation low profit ", he noted , adding that JD still need about three years to make a profit.
The PR manager JD agreed that the number of consumers Sina Weibo gained is very low, suggesting that this transaction will have no impact on the future work of JD .
The company relies mainly on its own services and prices to attract consumers , rather than cooperation with social networking sites , the official said . JD currently has over 100 million users, he revealed.
But Wang said that the era of attracting consumers with low prices is over, and social networking sites are likely to become another important means of channeling potential consumer platforms e -commerce , if the effect is difficult to predict.
Rude competitionFor the sake of data security against fierce competition, JD also severed its ties with third tenpay.com payment platform Tencent recently Shousong Chen , an analyst with independent e -commerce based in Beijing , told the global Times Sunday.
Shenzhen-based Tencent provides e-commerce services via buy.qq.com and yixun.com .
The data showed that iReseach Tmall led the field of e -commerce with a share of 50.8 percent of the domestic online purchase transactions in the second quarter , followed by JD with 17.1 percent and 5 6 percent with Tencent .
JD said in a statement e-mailed to the Global Times Sunday that the decision to end cooperation with tenpay.com not affect the payments that buyers could end processes through other channels , such as online banking .