Photo/VCG

Jan. 5 (NBD) -- China's e-commerce giant JD.com Inc and the fashion e-commerce platform Meili Inc announced on Thursday the establishment of a joint venture, a social e-commerce platform based on WeChat, Tencent's social media app.

Chen Qi, CEO of Meili will be the chairman of the new company and the platform is scheduled to be launched before next month's Spring Festival.

The new joint venture will integrate JD's customer base on the Wechat platform and Meili's vertical e-commerce operation experience.

JD didn't disclose the amount and proportion of the investment. According to the announcement, brands and platforms under Meili will continue to operate independently, enhancing the company's advantages in the female fashion and social e-commerce industry.

Some hold the view that JD intends to draw more female customers through the tie-up.

But Zhang Shule, an industry commentator, told NBD that JD's goal is establishing a Business to Customer fleet rather than simply improving the weak links. In Zhang's opinion, JD wants to build itself an aircraft carrier which comprises various platforms taking on different tasks and targeting different groups.

Earlier in December last year, Tencent and JD made an announcement that they will jointly invest around 863 million U.S. dollars in cash in the online discount apparel retailer Vipshop Holdings Ltd..

After the deal, Tencent will provide an entry in WeChat's wallet for Vipshop's website VIP.com and JD will also offer the Vipshop an entry on the homepage of its app as well as WeChat's shopping column.

The alliance of JD and Tencent indicates that they are seeking to reach more target users such as female shoppers and those who are interested in products on sale through the vertical platform, Zhang pointed out, adding that Wechat's "mini programs" has been increasingly important in drawing customers. 

Zhang further noted that the two internet giants are preparing for the new e-commerce scenarios in which consumers are guided to the platforms that can meet their demands instead of seeking for target consumers blindly in order to compete with their rival Alibaba.

The joint venture is expected to help more e-commerce merchants especially the micro, small and medium-sized ones to reach out to more consumers via WeChat's social e-commerce platform.

The platform will also open its data and system interface and form the partnership with companies in the upstream and downstream.

Email: zhanglingxiao@nbd.com.cn