Taobao, China's most popular mobile commerce platform operated by Alibaba Group Holdings Ltd. (NYSE: BABA; HKEX: 9988) announced the launch of Tmall Hong Kong, focusing on local services and quality assurance products.
Tmall Hong Kong starts with products from more than 2000 brands in catergories including beauty makeup, clothing, home appliances, and 3C products. In the future, Taobao said, more local brands will be added to the platform. Tmall Hong Kong aims to become more diversified with the local characteristics of Hong Kong.
Zijian Chen, the head of Tmall Taobao Hong Kong and Macau Division, said the platform aims to help local businesses to develop e-commerce business and may consider stepping into the fresh food market.
Hong Kong already counts a large number of Taobao users, with the average income relatively high, 3-5 times higher than Taiwan and Shanghai. In addition, the number of active users and the number of clicks on Taobao are significant.
Tmall Hong Kong will complement the existing Taobao Hong Kong. The latter is based on a consumer-to-consumer (C2C) model, providing Hong Kong consumers with products from mainland China from small and medium-sized merchants. Tmall Hong Kong will bring local or locally developed Chinese and foreign brands to enrich the choices of local consumers.
Shares of Alibaba closed at HK$225.2 in Hong Kong Tuesday.