Alibaba launches dropshipping option for merchants

It allows users to test new products from merchants.

Alibaba.com has launched a new dropshipping solution where merchants purchase products from third-party suppliers that can ship products directly to the consumer in place of a warehouse, according to a news release.

The company’s new one-stop dropshipping solution allows users to test new products from platform-vetted merchants, which it said will provide shipping transparency and assistance in customer support.

“This model can help SMEs boost operational efficiency, avoid overstocking and speed up delivery to consumers,” Alibaba said.

The platform has recently upgraded its delivery services, product search capability and its livestreaming feature in time for its biggest sales event of the year, Super September.

The platform also partnered with Hello Alice, a resource platform for small and medium businesses in the US, to launch a competition to find businesses with the most innovative product ideas or strategies. The winner could take home $500,000 in cash.