Industry

China’s Leading FMCG B2B Platform Alibaba LST Is Making Business Adjustments

Mar 22, 2024, 16:55pm2024/03/22 22:45:40 Pandaily

The spokesperson of Taobao＆Tmall Group denied the media reports that Alibaba Group Holding Limited<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> is going to shut down Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST and merge it with 1688. The Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST platform is making targeted adjustments to its business based on overall market demand, aiming to better serve users rather than completely shutting down.

A statements attributable to a Taobao＆Tmall spokesperson:

Ling Shou Tong (LST) remains part of the Taobao＆Tmall Group. Ling Shou Tong is not shutting down or merging with 1688. It is currently making business adjustments based on market demand, aiming to better serve its users.

On March 15, there were reports from industry media that Alibaba Group Holding Limited<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> is rumored to be shutting down Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST. It is reported that a message was posted in a ToB software executive group: Dear user! Due to the restructuring of the group architecture, Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST will be adjusted to merge with Taobao＆Tmall Group and 1688 website. Starting at 22:00 on March 18th, the Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST platform business will temporarily suspend operations.

Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST was established in 2015 and by 2020 had already accumulated 1.5 million store customers, making it China’s undisputed number one fast-moving consumer goods B2B platform. However, Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST’s rapid development came to a halt in 2021. In that year, Lin Xiaohai, the CEO who led Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST ‘from zero to one,’ was transferred to Sun Art Retail Group. Since then, there have been few updates about Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST online. At that time, there were six million mom-and-pop stores in China, with over 20% of them being Alibaba<img decoding="async" class="trade-card__loading" layout="fixed" height="50" width="50" src="https://assets.pandaily.com/uploads/2021/12/loading.png" placeholder /> LST’s customers – an impressive achievement.

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