B2B sees growth, despite global downturn

ASIA-PACIFIC - Business-to-business spending in Asia-Pacific has seen significant growth in 2008 despite the global downturn, bolstered by initiatives taken to secure market share as economies began downgrading, according to a report by Business Strategies Group.

Among the region’s most prominent B2B players is Alibaba, Global Sources and CMP Asia, and each have displayed year-on-year revenue growth ranging of 39 per cent, 14 per cent and 19 per cent, respectively.

According to the report, measures including a focus on entering new markets and streamlining operations for lower production costs contributed to these companies’ success. Alibaba and Global Sources both sought to make a push into India throughout the year, the report notes, and Alibaba also launched a global campaign to bolster its brand in the West.

Allocations made toward conventions, tourism and business development have also positively impacted Asia’s B2B sector, as millions from governments in Hong Kong, Singapore, Malaysia, Taiwan, Korea and Thailand have been traded through businesses.

“2009 will undoubtedly be a down year for the exhibition business, but the impact on the B2B online sector is still an unknown,” said BSG principal Paul Woodward in a release. “Global Sources’ 2008 online revenues increased by 24 per cent and Alibaba.com’s by 39 per cent, but the key question is: how will their revamped online products will hold up this year.”

Source: http://www.brandrepublic.asia/