News Content
Lars Jensen warns carriers of falling into One Touch ecommerce trap
DISRUPTIVE deals between Chinese ecommerce giant Alibaba and its affiliate One Touch, which provides a free direct booking app, could place ocean carriers at a severe disadvantage, warns Lars Jensen, late of Copenhagen-based Sea Intelligence.
"One Touch is the primary gateway and carriers could end up in a relationship not unlike the one which has emerged between individual hotels and Expedia where the actual capacity providers are forced to accept high transactional fees or lose access to large parts of the market," said Mr Jensen.
The past few months have seen Alibaba and a number of partners shifts with major global carriers such as French shipping giant CMA CGM, the world's largest forwarder Kuehne and Nagel as well as with the World Cargo Alliance, world's biggest forwarding network.
"This begs the question what is Ali Baba doing? The agreement mentioned above is with Alibaba, but with OneTouch," said Mr Jensen, reports Singapore's Splash 24/7.
One Touch announced as early as 2014 a rebate scheme wearing Chinese exporters were offered up to 0.03 RMB in discount for every dollar's worth of export orders it processed.
For 2017 they are aiming for a triple in US$250 billion dollars and 2018 targets US$100 billion of trade.
"This means that One Touch is building a position of strength vis-a-vis the traditional service providers in shipping such as banks and insurance providers.
"Banks and insurance providers should ask themselves what's the endgame would be for them if One Touch proceeds at its current pace.
"One Touch is the primary gateway and carriers could end up in a relationship not unlike the one which has emerged between individual hotels and Expedia where the actual capacity providers are forced to accept high transactional fees or lose access to large parts of the market," said Mr Jensen.
The past few months have seen Alibaba and a number of partners shifts with major global carriers such as French shipping giant CMA CGM, the world's largest forwarder Kuehne and Nagel as well as with the World Cargo Alliance, world's biggest forwarding network.
"This begs the question what is Ali Baba doing? The agreement mentioned above is with Alibaba, but with OneTouch," said Mr Jensen, reports Singapore's Splash 24/7.
One Touch announced as early as 2014 a rebate scheme wearing Chinese exporters were offered up to 0.03 RMB in discount for every dollar's worth of export orders it processed.
For 2017 they are aiming for a triple in US$250 billion dollars and 2018 targets US$100 billion of trade.
"This means that One Touch is building a position of strength vis-a-vis the traditional service providers in shipping such as banks and insurance providers.
"Banks and insurance providers should ask themselves what's the endgame would be for them if One Touch proceeds at its current pace.
Latest News
- For the first time, tianjin Port realized the whole process of dock operati...
- From January to August, piracy incidents in Asia increased by 38%!The situa...
- Quasi-conference TSA closes as role redundant in mega merger world
- Singapore says TPP, born again as CPTPP, is now headed for adoption
- Antwerp posts 5th record year with boxes up 4.3pc to 10 million TEU
- Savannah lifts record 4 million TEU in '17 as it deepens port
