You’ve most likely read our exclusive story about e-commerce giant Alibaba.com partnering with Nigerian startup Kwik to enable Nigerian businesses to boost their exports.
That’s great news indeed, but you might ask yourself “what does it mean exactly?”
Well, the first thing one needs to know is that Alibaba.com is a B2B platform dedicated to international trade. It gives access to over 48 million B2B buyers looking for a very – and we mean VERY – large number of products of all types, from groundnuts to clothing to industrial assembly lines.
Another key insight is that sellers are all extensively verified through the Alibaba.com KYC process.
What’s the business model on Alibaba.com?
Good question! As it happens, Alibaba.com works more like a listing platform than a marketplace. What that means is that you pay a yearly membership fee to be able to list your products and have them stand out as coming from a Global Gold Supplier (i.e.: a seller with ambitions and means to achieve them). There are different membership plans available to Nigerian businesses. Buyers using the site are buying in bulk: no one is using the site to buy single-digit quantities!
How are products listed and promoted on Alibaba.com?
Once you have your membership, you can list an unlimited number of products on your Alibaba.com account. You can use Showcases to feature some of them more prominently. The number of Showcases varies depending on your membership plan. You can buy Keyword Ads (KWA) to have your products feature more prominently, same as you would do on Google Ads.
One hears about “RFQs” on Alibaba.com, what are they exactly?
Well, one of the great things about Alibaba.com is that there are so many buyers from all over the world using it, and that they buy in bulk. So, every day, millions of B2B buyers are issuing Requests for Quotations (RFQs) across the site looking for all types of products. This allows you to compete for transactions with other producers around the world for great business opportunities.
What are the other costs, if any?
Actually, there are none! Wait, just a sec! Do we mean to say that there are no transaction fees on Alibaba.com? Yes! That’s exactly that! Once a buyer has contacted you about one of your products, the transaction itself takes place offline. Payment for the transactions themselves takes place offline between the buyer and you, using the payment method of your choice: card, transfer, international wire, letter of credit, etc… Alibaba.com customer service is there to help you perform on the marketplace.
How difficult is it to be onboarded on Alibaba.com?
It’s actually pretty simple: once you go through the KYC process, you can upload your catalog on Alibaba.com and choose how to showcase your products. Kwik staff is on call to assist you in setting up your ministore and to help you make the most out of the platform. In-site customer service handled by Alibaba.com is available to assist you on how to best achieve successful transactions.
So, how to get started?
It’s very simple: just visit the Alibaba GGS page on Kwik’s website, choose the plan best suited for your needs and fill the form at the bottom of the page. A Kwik representative will contact you very soon to initiate your membership.
