Friday, January 25, 2013
News this week: B2B e-commerce company Alibaba.com has recently released its end-of-year statistics related to fraudulent activity on its online platform. According to Alibaba, the number of fraud complaints lodged in the fourth quarter of 2012 against Alibaba.com Gold Suppliers (i.e. paid users) was down approximately 60% compared with the same quarter in 2011.
Alibaba.com has launched a series of anti-fraud measures since February 2011 when its former CEO and COO were forced to step down as a result of an internal fraud investigation. Alibaba reported 190 Gold Suppliers were ejected from Alibaba.com as a result of fraudulent activity in 2012, compared with 419 in 2011 and 2,024 in 2010.
Other measures launched in 2012 include a Verified Membership program and site visits to China-based suppliers as part of the Onsite Check program. According to Alibaba, more than 80% of Alibaba.com China Gold Supplier members have passed onsite checks as of December 2012. The company is planning to launch a supplier rating system in the future.
This post is excerpted from BSG's weekly e-newsletter which is part of our subscription research service, BSG Tracker. Visit our website to find out more about this service. You can also follow us on Twitter for all the latest updates.