Alibaba Group Holding Limited has recently announced that the company aims to serve over one billion annual active consumers and achieve over RMB10 trillion (US$1.4 trillion) annual gross merchandise volume (GMV) through its China consumer business by the end of fiscal 2024.

The company’s China consumer business currently covers primarily its China retail marketplaces, digital media and entertainment, as well as local consumer services.

Alibaba Group Executive Chairman and CEO, Daniel Zhang, said that the company is remaining steadfast on its mission that it established 20 years ago of making it easy to do business anywhere. Empowering merchants with the data technology and cloud intelligence is essential to fulfill this mission in the digital age, he stated at Alibaba’s annual Investor Day in Hangzhou.

Zhang also mentioned that the company had 730 million annual active consumers from its China consumer business as of 30 June 2019. Together with approximately 130 million annual active consumers in its cross border and global retail commerce business, Alibaba has approximately 860 million annual active consumers globally.

Alipay on the other hand had approximately 900 million annual active users in China. Combined with Ant Financial, the total number of users amount to around 960 million users in China.

While around 85 per cent of the Chinese population in developed areas have tapped into Alibaba’s services and retail marketplaces, penetration rate for less-developed areas is only at 40 per cent. This presents the company with an opportunity to reach underserved consumers.

“Today, we are creating and fulfilling new consumption needs with a view to focus on growing our digital consumer population as a whole. We can unlock tremendous synergies between our various consumer-facing businesses to convert and harvest incremental customers across the Alibaba digital economy,” said Zhang.

“We have always viewed technology through the lens of real business applications. We don’t view technology in isolation. We believe in the marriage of commerce and technology. This has always been Alibaba’s unique value proposition,” he added.

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