1688 vs Alibaba: Which is better?
Last updated: 25.12.2024
Between 1688 and Alibaba, which is the better B2B marketplace for sourcing products? Let’s find out.
Key takeaways
- 1688 can offer lower prices but focuses on Chinese buyers, while Alibaba caters to global markets with broader shipping options
- Both 1688 and Alibaba allow supplier negotiation, private labelling, and supplier verification
- 1688 supports domestic shipping only, whereas Alibaba provides worldwide shipping options through logistics partners.
- WorldFirst enables international payments for 1688, while Alibaba supports multiple global payment methods like PayPal and credit cards.
Introduction
To source products from China, you have two main options: Connecting with a product supplier directly or looking for suppliers on B2B marketplaces like 1688.com and Alibaba.
Connecting with suppliers through a marketplace gives you significant added benefits like:
- Access to thousands of suppliers and products in one place
- Easy to compare prices, quality, and terms with multiple suppliers selling the same products
- Built-in messaging systems, payment processing and order management, which simplify procurement
- Better supplier verification and improved trust as Alibaba and 1688 have their own verification processes for suppliers, decreasing the chances of fraud
Of course, the major downside is that you may get better rates when working with suppliers directly. But if you are sourcing products from China for the first time, finding a supplier on a marketplace can help you streamline procurement and cut down your research time.
So, which B2B marketplace should you go for – 1688 or Alibaba? In this blog, we compare 1688 and Alibaba to help you make the right decision.
Table of Contents
What is 1688?
1688.com is one the biggest online B2B wholesale marketplaces in China. It connects buyers with factory manufacturers and wholesalers. Also part of the Alibaba Group, it is not as popular overseas because it mainly targets domestic Chinese buyers. It can be considered as the domestic version of Alibaba. Many Chinese suppliers source products from 1688 to sell them on other marketplaces like Alibaba, AliExpress, and Taobao.
Since it’s marketed towards Chinese buyers, the website is in Mandarin and there’s no official English version of the website. You can just automatically translate the website text using your browser.
→ Take a look at our complete guide to buy products from 1688
What is Alibaba?
Alibaba is one of the biggest and globally popular wholesale B2B marketplaces. It has over 200 million products listed from 200,000 suppliers. Wholesalers, retailers, dropshippers, and small business owners can source products from the platform. Alibaba attracts more international buyers due to its support for English and various international payment methods.
Similarities between 1688 and Alibaba
Before looking at the differences between 1688 and Alibaba, let’s discuss some similarities between the two.
Part of the Alibaba Group
Both 1688 and Alibaba are part of the Alibaba Group, meaning they have access to similar resources, and the marketplaces aren’t technically competitors. Each caters to a different target audience – domestic and international.
Multiple sellers
Both platforms allow sellers to list their own products. Sellers are responsible for managing product inventory and order fulfilment.
Negotiable pricing
The product pricing you see on Alibaba and 1688 is not always fixed. You can connect with the supplier and negotiate pricing, especially when buying in large quantities. Many sellers offer discounts on high MOQs.
Supplier verification
Both platforms verify suppliers and even run factory inspections in some cases to ensure buyers are only connecting with genuine suppliers. There are also customer ratings and reviews that you can check before placing orders with a new supplier.
Private labelling/ white labelling
Many sellers on 1688 and Alibaba offer private labelling and product customization. You can add your company’s name, logo, and branding to products or ask suppliers to customise products, especially for your business.
- Open 15+ local currency accounts with local account details
- Direct CNH payments to 1688.com
- Pay suppliers, partners and staff in 40+ currencies and 130+ destinations
- Collect secure payments from 100+ marketplaces and payment gateways, including Amazon, AliExpress, Paypal and Shopify
- Lock in currency conversion rates for up to 24 months
Differences between 1688 and Alibaba
| Feature | 1688 | Alibaba |
|---|---|---|
| Target audience | Primarily serves buyers in China | Global B2B platform catering to international wholesale buyers |
| Product pricing | Lower prices due to direct access to Chinese manufacturers and wholesalers | Competitive pricing, though it could be higher than 1688 due to a global focus |
| Minimum Order Quantity (MOQ) | Depends on the products, but you can find low MOQ products | Depends on the products, but you can find low MOQ products |
| Payment methods | The only way to make international payments is through World Pay | Supports various international payment methods (credit cards, PayPal, bank transfers) |
| Shipping | Only domestic shipping within China; international buyers need to arrange their own logistics or connect with suppliers to see if they can help | Offers worldwide shipping options through various logistics partners |
| Language support | Primarily in Chinese with limited English support; English translation is possible via web browsers | Supports English and other languages |
| Product range and quality | Extensive product range with varied quality, mainly focused on wholesale | Extensive product range with varied quality, catering to global markets |
| International dropshipping | Not available | Supports international dropshipping |
Payment methods
1688 does not directly support international payment methods. Previously the only option to pay suppliers on 1688 was by opening a Chinese bank account.
But all that has changed with WorldFirst.
World Pay is the exclusive payment solution for paying 1688 suppliers. The exchange rate is more competitive than direct bank transfers (up to 0.8%), and there are competitive transfer fees.
Here are the steps to use Cross-border Pay (跨境宝/KJB):
- Register for a 1688.com account
- Register for a World Account
- Convert funds to CNH in your World Account
- Authorise your World Account to link your payments to 1688.com via World Pay
Take a look at the step-wise guide on how to link your 1688 account to your World Account.
Alibaba supports major international payment methods, including credit cards, online bank payment, PayPal, Western Union, PayPal, and ApplePay.
Pricing
While both Alibaba and 1688.com offer wholesale pricing, 1688.com has comparatively lower pricing than Alibaba because it targets domestic buyers.
It’s always a good idea to compare products on both marketplaces before placing an order.
But, product pricing is not the only factor you should consider when sourcing products. You should also factor in the shipping costs, international payment fees, and customs fees.
Shipping
Since 1688 targets domestic buyers, it only supports domestic shipping. You can connect with your supplier to see if they can assist you with international shipping or you can manage shipping on your own through third-party logistics providers or freight forwarders.
Alibaba supports international shipping. The mode of shipping and the costs involved will depend on the product and the quantity you buy. Negotiating the shipping costs with the sellers is also possible.
You can find details about shipping modes and costs on each product page.
Dropshipping
1688 doesn’t support international dropshipping. If you want to dropship products through 1688, you can contact the suppliers directly to see if they can help you dropship. Alternatively, you can partner with a dropshipping agent based in China who can help you manage the entire dropshipping process.
Alibaba supports international dropshipping, allowing you to directly dropship products to your customers. You can also link your Alibaba account to your Shopify or Woocommerce online store to automatically import product information, send order details to Alibaba suppliers, and share shipping information with customers.
Alternatively, you can also consider AliExpress dropshipping, which works similar to Alibaba dropshipping.
→ Take a look at how AliExpress compares to 1688 and Alibaba in our in-depth comparison guides for 1688 vs AliExpress and Alibaba vs AliExpress.
Support for English language
1688’s website is primarily in Chinese but can be translated into English through web browsers. Sellers on the platform speak Chinese and may have a limited understanding of English, which can hinder effective interaction and negotiation for international buyers.
On the other hand, Alibaba’s website is entirely in English as it caters to global buyers.
1688 vs Alibaba: Which one is better for your business?
When choosing between 1688 and Alibaba, the right answer will depend on your business requirements and how you want to manage the shipping and procurement process. If you can manage international shipping and dropshipping on your own, 1688 could be a good option. Of course, you will also need a translator or interpreter to help you communicate with 1688 sellers who may have a limited understanding of English.
However, if you would rather let suppliers manage shipping for you while you focus on fulfilling customer orders and growing your business, Alibaba may be the better choice.
Disclaimer: The information contained is general only and largely our views. Before acting on the information you should consider whether it is appropriate for you, in light of your objectives, financial situation or needs. Although information has been obtained from and is based upon multiple sources the author believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions, estimates, mentioned products/services and referenced material constitute the author’s own judgement as of the date of the briefing and are subject to change without notice. WorldFirst shall not be responsible for any losses or damages arising from your reliance of such information.
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