Just about every country has a popular e-commerce marketplace that is marketed, first and foremost, to its fellow countrymen. In China, TaoBao Marketplace fills that void. It’s the undisputed leader of e-commerce transactions in China and also caters to consumers in other countries, including the United States.
Founded in 2003, TaoBao started out as a basic auction site with big ambitions. It targeted eBay as its primary competition and launched programs and incentives to make itself more attractive, such as allowing buyers and sellers to communicate via an internal instant messaging service and creating escrow accounts to protect both buyers and sellers.
By 2006, it surpassed eBay China in both transaction volume and revenue, becoming the go-to e-commerce website within China’s borders. Over the next few years, it diversified its payment options for global e-commerce and invested in other websites and technologies. The majority of TaoBao’s customer base is made up of younger generations, but it grows in popularity every year.
TaoBao’s parent company Alibaba has introduced several other programs and websites in recent years, including a separate marketplace for Southeast Asia and a TaoBao agent program that enlists qualified agents to help foreign consumers purchase products on the site.
The TaoBao website serves a similar function to other auction-powered e-commerce sites. It provides a marketplace for consumer goods ranging from cell phones and MP3 players to home goods and jewelry. The products are categorized for easy navigation and searching, and consumers can bid or buy depending on the circumstances.
Businesses and individuals who want to sell their products on TaoBao can sign up for an account and list their merchandise. Sellers are expected to handle all the shipping arrangements and communicate openly with their customers. The website only intervenes when absolutely necessary to protect buyers or sellers.
The TaoBao Marketplace offers several advantages to buyers over the competition. For one thing, most of the merchandise is far cheaper than what you would find on Amazon, eBay, or other e-commerce websites. Because of its extensive market share and popularity, the website and its sellers can afford to lower their prices to attract even more consumers. This benefits the end user in all respects.
For sellers, TaoBao proves an excellent choice, as well. It reaches millions of people every day, from the target audience in China to consumers in the rest of the world. China’s population prefers e-tailing to traditional shopping, so they’re constantly making purchases online. Furthermore, the site charges no listing fees, so the barrier to entry is minimal.
Online payments processed after TaoBao transactions are even simpler now that we offer global payment options through the marketplace. You can use your Payoneer Mastercard to make a purchase from a TaoBao seller and not worry about waiting weeks to process your payment.
If you are interested in joining TaoBao, whether as a buyer or a seller, you can visit the website or its English-language agent’s website, TaoBao FOCUS.
Are you an ecommerce seller looking to receive payments from global marketplaces like Amazon, Tao Bao or Lazada? With Payoneer you can