Chinese news platform Jinri Toutiao has launched an e-commerce app in a bid to challenge Alibaba and JD.com.
The app, Zhidian, will leverage the platform’s massive audience and traffic to sell consumer goods such as clothing, food, kitchenware and household goods.
Jinri Toutiao’s news platform has more than 200 million users and the company also owns the hugely successful short video app Douyin, which is known as TikTok outside of China.
Zhidian is the latest e-commerce app to launch in China in a bid to challenge the dominance of Alibaba and JD.com, which together account for 85% of China’s fiercely competitive e-commerce market.
Along with e-commerce players such as Suning and Vipshop, Alibaba and JD.com are increasingly facing pressure from niche players such as Pinduoduo, which has secured 5.2% of the market.
Jinri Toutiao will be looking to tap into the growing consumer demand in China’s lower-tier markets.
China has the largest e-commerce market globally and is expected to reach $1.1tn this year.