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Comment on Alibaba Takes On 9.2% Stake of U.S. Retailer Zulily As The Flash Sale Model Slumps Globally by 彼途鄰客B2Link:將韓國美妝品牌與中國零售商連接起來的電商平台 - TechNode 台灣
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Comments for TechNode
While similar flash sale sites in China including VIPshop are experiencing steady gains, the model has proved to be less viable overseas, where companies have experienced rapid, unsustainable growth followed by a drop in revenue.
In Zulily’s recent earnings report it was revealed that the company’s growth has decelerating after revenue fell below the predicted analysis consensus of 314 million USD.
China’s Advantage in the Flash Sale MarketThe e-retail site is one of the last western flash sale giants after the flash sale model spiked in popularity around 2012 before slumping just two years later.
Xiaoher, market newcomer and Chinese counterpart to Zulily, gained momentum locally last year after completing a 10 million USD A series a funding.
The Alibaba expansion into foreign retail also includes investments in U.S. sports retailers Fanatics, e-commerce platform ShopRunner and a 15 million USD investment in luxury e-retailer 1stdibs.
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