AliExpress pledges five-day delivery to Korean customers to grow market

Ray Zhang, chief executive officer of AliExpress Korea [Photo by Han Joo-hyung]

AliExpress, the global e-commerce platform of Chinese online shopping giant Alibaba Group Holding Ltd., sees South Korea as one of the countries it will focus to grow as the it has grown to be the seventh-biggest market in three years since it started services in 2018.

As of 2020, China was the leading market with the highest cross-border purchases made in South Korea, accounting for 48.3 percent of the purchases, the highest by number. It also ranked first in value for the first time in 2022.

To tap that momentum, AliExpress began its customer services in South Korea at the end of last year and promised investments worth 100 billion won in logistics and marketing promotions.

Chinese online platforms, however, have been accused of offering counterfeit goods, and AliExpress is not an exception in the controversy. “We are aware of Korean customers’ concerns about counterfeit goods,” Ray Zhang, chief executive officer of AliExpress Korea, said in an exclusive interview with Maeil Business Newspaper.

Zhang said the platform has a thorough verification process for sellers, with its algorithm aimed at spotting counterfeit items. The platform looks into various licenses submitted by sellers to verify their identity and reliability.

AliExpress monitors illicit trade activity from sellers and takes action against the violations, according to Zhang. The platform imposes restrictions or even penalties on the sellers who fail to take specific corrective measures. It starts compensation processes through the customer service center in Korea once Korean customers send evidence of how the ordered item is counterfeit.

AliExpress has also committed itself to ensuring fast shipping. The platform has recently upgraded its delivery guarantee for South Korea to ensure fast delivery within 5 days or receive cash coupons if it’s not met. Customers on the application can find items with labels “Free 5 days of delivery,” meaning that they can get “instant $1 to $3 compensation for delays in 5-day delivery.”

According to Zhang, AliExpress sources its orders from its warehouse in Weihai, China. As much as 93 percent of the shipment clear customs in South Korea the day after they are placed, he added. Korean customers can find their packages delivered within 3 to 5 days after making the order. AliExpress is mulling its plan to establish a local logistics infrastructure to “enable same day and next day delivery.”

Zhang pledged to provide quality items at affordable prices for Korean customers from China, adding that its first and foremost goal is to enhance the customer experience in South Korea.