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BizReport : Ecommerce archives : October 17, 2014

35% of U.S. online shoppers won't browse or buy from Alibaba

It looks as if Alibaba will need to do a lot to overcome its lack of name recognition in the U.S. as well as persuading consumers that purchasing from a Chinese ecommerce company is safe and reliable.

by Helen Leggatt

In a survey of more than 3,500 online shoppers in the U.S., Bizrate Insights found that almost two-thirds (63%) were not familiar with the Chinese ecommerce company Alibaba. That's not a great start for a firm about to be entering the U.S. market.

Furthermore, it was shoppers in younger age groups and women who were the least likely to be familiar with the Chinese brand.

However, among those that are familiar with the Chinese ecommerce brand, two-thirds (65%) are likely to browse or purchase from it. Of the very small number of U.S. online shoppers who have already interacted with Alibaba in the past (11%), most (80%) are likely to do so again once it launches in the U.S.

A third (35%) of shoppers had reservations about interacting with Alibaba and said they would not even browse, let alone make a purchase, from a Chinese ecommerce company. The main concerns expressed by those with reservations were:

- Long delivery windows;
- Distrust/fear of personal and payment information security;
- Prefer to 'Buy American'.

"Alibaba could pave the way for more Chinese ecommerce companies to gain a customer base in the U.S.," says Hayley Silver, Vice President, Bizrate Insights. "But it will be an immediate challenge for the company to overcome its lack of name recognition among U.S. shoppers and to reassure them that their transactions and information will be safe and secure."

Bizrate's full report with graphs can be found here.

Gil C /

Image via Shutterstock

Tags: Alibaba, China, consumer survey, ecommerce

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