Ecommerce and food delivery platforms subsidize coronavirus-hit merchants

Tech companies are waiving fees and offering loans to keep online merchants afloat

4 Feb, 2020 4:44am EDT

Some of the biggest names in Chinese ecommerce are introducing measures to keep their merchants afloat as the coronavirus outbreak threatens their businesses. JD.com launched 11 subsidies covering 250,000 businesses while Pinduoduo will offer 2 yuan per order for certain deliveries, according to media reports citing a letter to the merchants. 

abacus recommends
Can the birthplace of WeChat become the live-streaming capital of China?
Hatsune Miku joins China’s live-streaming ecommerce craze
Chinese shops turn to domestic ecommerce after exports collapse
Taobao live streaming rakes in US$280 million in 90 minutes as sales festival kicks off
Passenger drone company Ehang gets commercial license in China
Alipay joins live-streaming ecommerce trend with mini program

Ecommerce isn't the only area in need of help from local tech giants. Meituan, the owner of one of China’s most popular food delivery apps, launched seven measures, including a 350 million yuan (US$50 million) fund to support restaurants and commission fee waivers in Wuhan, the center of the outbreak. Alibaba Local Life Services, which owns food delivery platforms Eleme and Koubei, is also temporarily exempting Koubei merchants from commission fees.

A number of tech giants are now offering financial services such as loans and delayed repayments, including Meituan, JD, Alibaba and household electronics store chain Suning. The latter is focusing on its online shopping platform, but it also said it will temporarily waive rent for its cooperative brands in the company-owned commercial spaces.

GET OUR
BEST OF ABACUS NEWSLETTER
Email Address is not valid.
An Error Occurred. Please Try Again.
By registering you agree to our Privacy Policy
Thank you
You are now on the list.

more from abacus
China Internet Report 2019
TRENDING TOPICS
About Us Terms & Conditions Privacy Policy
rss