Source: Yiwu sourcing agent Author: Gary Date: 2011-07-30
The industries of express delivery and e-commerce had been attached to each other like brothers. However, the fierce competition makes express delivery industry in Yiwu begin to
nibble at the e-commerce. "It shows that the e-commerce industry in Yiwu starts changing now,"said Liu Wengao, secretary-general of Yiwu Jiangdong E-commerce Association.
The Shentong Express became the first mover Liu is a master hand at ecommerce.
Half a year ago, he divided his business into two parts so that he and his wife could specialize in e-commerce sales and meanwhile make Shentong express manage warehousing and delivery. "We have 5 or 6 customers like Mr.Liu and the warehousing area is over 10,000 square meters," said Huang Shengli, operation manager of the Shentong Express.
It is learned that Shentong is the first mover of over 100 express delivery companies in Yiwu. Some express delivery companies break the limits, extend their business and do
warehousing for e-commerce companies so that the e-commerce companies can concentrate on sale.
Disorderly competition forces express delivery to find way out "The phenomenon that Yiwu express delivery nibbles at ecommerce is mainly caused by the disorderly competition in Yiwu express delivery industry,"Huang said. Recently, the express delivery industry has a tremendous increase of business volume with the development of e-commerce.
Since 2008, the business volume of Yiwu express delivery industry has been above 35 percent every year on the average.
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