Mostly known in China for connecting agriculture products to consumers, eCommerce marketplace Pinduoduo is reportedly expanding its platform globally, with the first launch in the U.S. next month.
The platform and application are expected to follow SheIn’s model, the largest independent cross-border eCommerce platform in China, LatePost recently reported. About 80 supply chain employees of Pinduoduo have moved to Panyu, Guangzhou, where SheIn is said to be building a clothing procurement supply chain. SheIn is the largest Chinese independent cross-border eCommerce platform.
Pinduoduo is headquartered in Shanghai and was launched in 2015 by former CEO and Chairman Colin Huang; founding member Lei Chen took over as CEO in 2020 and Chairman in 2021, according to the company’s website. Pinduoduo has grown to become the biggest online marketplace for agricultural products in China and has since been attracting merchants from all categories, particularly low-priced daily necessities and home products.
Known as “Project X” internally at Pinduoduo, details of the plans and how progress is moving have been confidential even internally, LatePost reported.
Trading on Nasdaq under the ticker PDD, Pinduoduo is one of the few Chinese firms with shares trading only in the U.S. The company could end up listing in Hong Kong or another exchange to avoid threats of audits, Bloomberg reported.
The marketplace has an active user base of topping 880 million and features group buying with friends to gain bigger discounts. Pinduoduo is anticipated to report second-quarter revenue growth of 2.5%, per the Bloomberg report.
Pinduoduo didn’t immediately respond to PYMNTS for comment.
In the U.S., Pinduoduo is first planning to offer low-priced daily necessities and home textiles, areas it excels at in China, LatePost reported. SheIn has already verified that U.S. shoppers seek “fast new products, low prices, and many choices.”
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