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USPS to Help Alibaba Get Goods to American Consumers

The US Postal Service will help get Alibaba merchandise into the hands of US consumers more quickly. The agency signed a Memorandum of Understanding with Alibaba’s logistics firm Cainiao to work together to develop new international shipping solutions and enhance the logistics-service experience for sellers and buyers.

Alibaba said the global B2C cross-border ecommerce market is expected to grow from $230 billion in 2014 to $1 trillion in 2020, citing research from Accenture and AliResearch,

Cainiao (formerly known as China Smart Logistics) and the USPS agreed to work together to speed delivery of merchandise sold through AliExpress to consumers in the United States. The USPS will also collaborate with Cainiao to help expand the latter’s delivery networks worldwide, especially in South America.

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The goal is to make it easier and more efficient for Chinese companies to sell and deliver goods directly to U.S. consumers.

Alibaba Group and its affiliates are working with other national mail carriers including Singapore Post and Spanish Post.

An excerpt from Alibaba’s press release about the memorandum:

“Cainiao and the USPS are aiming to develop an integrated e-commerce solution that provides full access to the U.S. domestic market and neighboring countries, the MOU states. The solution will be designed to reflect the demands of customers and the capabilities of shipping partners to improve the way goods purchased from China are processed, handled, and delivered in the United States and potentially South American markets.

“Both companies have expressed an interest in exploring the feasibility of integrating USPS technology into the Cainiao logistics information platform, as well as other Alibaba’s ecommerce platforms.

Through the collaboration, Cainiao and USPS aim to innovate special services to meet market demand, supporting efforts by China-based merchants to expand into overseas markets, at the same time delivering an improved shopping experience to U.S. consumers.”

 

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Ina Steiner

Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. Send news tips to ina@ecommercebytes.com.


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