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Jack Ma heads to Africa

More and more e-commerce experts are heading to Africa. This trend shows the potential of e-commerce companies in Africa and the potential ahead. Internet penetration and smart phone use is on the rise, and this can only lead to huge profits ahead for e-commerce companies in Africa.

Jack Ma from Alibaba has recently made the rounds in Africa.

 

 

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What Strategies Can You Use To Counter Amazon’s Dominance?

david-goliath

Amazon’s dominance continues into 2017. Can anyone survive or compete? Here are some useful strategies to survive the Amazon giant and other low cost players:

  1. Maintain a low cost distribution and fulfillment strategy: Avoid high shipping costs by using flat rate shipping – here your store will pays a set price to ship a specific box irrespective of what the shipment weighs or how far away its destination is in the domestic destinations for USA and Canada. Amazon succeeds primarily due to its fulfilment capabilities.
  2. Use the correct packaging – bigger boxes mean higher shipping costs.
  3. Develop a concrete online brand strategy to pull product searches away from Amazon and move them towards Google so that your products have visibility and your pure play ecommerce site has visibility and traffic.
  4. Forget the Price War: It is always challenging to compete on price, you can’t win a price war with low-cost players like Amazon.
  5. Differentiate your business on design, innovation, and continuously offer a unique product mix.
  6. Smart businesses don’t use these tactics in isolation, you have to continuously innovate amazon-logoand be open to experimentation.
  7. Reduce costs and minimise working capital (cash management).
  8. Maximize return on assets  and maintain high asset utilization.
  9. Standadize products to reduce costs of testing.

For a comprehensive analysis of your needs and effective solutions, contact us.

 

Found Any Good Deals On Alibaba’s Singles Day?

Found any good deals on Alibaba’s Singles Day?

Here are some interesting facts:

  • Mobile phones accounted for 69% of transactions during the promotion.
  • Transactions had passed last year’s record of $9.3 billion before noon.
  • Top-selling items by retailers included baby-related and nutritional products, Nike sneakers and Levi’s jeans.
  • Alibaba makes money through advertising and charging vendors a proportion of their sales.

Alibaba Explained – from CNBC

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