Suning Acquires Group Buying Site Manzuo.com
Suning Commerce Group confirmed that the company will acquire Chinese group buying website Manzuo.com for nearly USD10 million.
According to a representative from Suning, as a new business model which integrates online and offline channels, the business has a broad market capability in China. Group buying is a catalyst that promotes the integration of online and offline and it is also a key link for Suning's O2O development.
In June 2013, Suning combined and updated its former group buying, tourism and virtual product channels into a local lifestyle channel. It provides dining, entertainment, hotel and group buying services in over ten first-tier cities in China.
Manzuo.com is one of the earliest group buying websites in China. With apparently over 20 million registered users, it boasts trading value of hundreds of millions of RMB. Suning said that after the acquisition, the two parties will be able to realize resource sharing in procurement, operation, and marketing. Relying on Suning's online and offline open platforms, Manzuo.com will achieve better performance than as a standalone entity.
At the same time, by acquiring Manzuo.com, Suning will enhance its local lifestyle and e-commerce business capacities.