Alibaba’s most terrible nightmare…is not jingdong, it is pinduoduo, the Chinese Groupon, that is developing really fast.


Alibaba’s most terrible nightmare…

Yes, Alibaba got a rival. The Chinese giant is currently shaking up toward the arrival of a new David.


In the last weeks, the 4 years old E-commerce platform Pinduoduo displaced to be the fourth most valuable internet company in the country. With a market capitalization of $47.6 billion, it put the company just behind the E-commerce leader: Alibaba, the social networker: Tencent and the food delivery titan: Meituan.  At the same time, Baidu the search equivalent of Google in China has fallen off the top-three club, ending a decade of unshakable dominance of Baidu, Alibaba and Tencent (the famous BAT) within the Chinese internet.

Pinduoduo, the lovely story of a new platform coming down as the new be in terms of internet penetration and rise of social commerce. Known for selling super-cheap products, the platform is very popular about its price-sensitive residents among 3rd and 4th tier cities, a market kind of undeserved by other online retail pioneers such as Alibaba and Nevertheless, Pinduoduo made its point of honor to be the one pleasing the needs of untouched customers, while targeting more urban consumers in the meantime, by heavily subsidizing big-ticket items such as IPhones. source 

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Pinduoduo, the New Low Cost Solution To Sell Big In China



Its seamless integration and cooperation with WeChat, the wonderful app owned by Pinduoduo’s investor: Tencent, also contributed to the strong adaptability among a less tech-savvy population. Through the highly popular messenger’s built ‘in lite app, they can get deals from group-buying. Which is directly referred to their Chinese name as “shop more together”.




Earlier this month, Colin Huang a 39 years old former Google engineer but also Pinduoduo founder and CEO of the company, gave a speech of 45 minutes at the company’s anniversary, according to a summary published by local tech media Late News. He announced that Pinduoduo surpassed in terms of gross merchandise volume: meaning the total dollar value of goods sold.

Even if the rivalry with is kind of nuanced, considering that both companies are back up by Tencent, Pinduoduo’s competition against Alibaba is more blatant. The CEO knows that they are standing on “Alibaba’s shoulders”. And when it comes to fighting for the upcoming Double 11, the founder sounded poised. “Pinduoduo should not feel pressured. The one who should is our peer”.

Something you should care about!

  • China it’s 800 million daily internet users
  • 82% of Chinese adults used digital payments in 2018
  • China’s government is determined to push rural areas to go cash-free
  • Following President Xi Jinping’s endorsement on blockchain, China plans to achieve independence of core technologies. Although cryptocurrency is banned in China, it can also mean that encrypted technology can be a way to revolutionize different sectors such as Finance, manufacturing and agriculture.
  • Venture investors signed up $352 million for first fund of their new financial vehicle.
  • Smartphone maker Xiaomi hired leading voice recognition expert Daniel Povey (the one previously within the team that developed open-source speech recognition toolkit Kaldi)
  • NetEase’s e-learning unit Youdao began trading at $13.5 per ADS in the U.S. on Friday amid increased regulatory scrutiny on Chinese IPOs.


What do you need to understand from all this?

  • China is the place to be. Even the former Google employee understood it…
  • The digital world and High technology are expanding super-fast! Way beyond measure. So, you can catch the train now or take the risk to wait for another one… Not sure when and where it’ll get scheduled though. Maybe in Chapalaka (which means nowhere. Don’t look for it).
  • Pinduoduo is THE new online shopping platform adapted to Chinese mass market. There were many opportunities in China, and there are now many opportunities in China but +1! And a big one.

Remember when you were a kid, and when your mum was offering you 1 candy because you were nice? And then offering you another one because she was the best mum ever? I’m sure you were really excited to grab that new candy. Well, here it’s the same. Catch the Pinduoduo candy as you can and make as many sales as possible!


We are the GMA.

A great Marketing Agency in China

Our missions?

  • Answer your questions (for free)
  • Give you advises (for free)
  • Expert on the Chinese market (its on us)
  • We help you get into the Chinese market (let’s negotiate)
  • And we fill your pockets (not for free)

If you have any questions about how to integrate the Chinese market or how to master Chinese social media in a context of performance requirements, do not hesitate to contact us.