B2B PAYMENTS eProcurement Is Surpassing Expectations

Analysts have been predicting the rise in online procurement for several years now, with B2B eCommerce slated to reach a $1 trillion valuation by the end of the decade. That’s impressive growth, but even so, the latest data says that the actual performance of the B2B eCommerce market has knocked expectations out of the park.

CloudCommerce released a statement in response to recent digital commerce reports and found that B2B eCommerce had an especially lucrative holiday season.

In addition to highlighting the spike in consumer online shopping, CloudCommerce said Tuesday (Jan. 5) that B2B online procurement saw its own growth spurt. It’s a trend with a few players at its roots.

“Inspired by the tremendous success of Alibaba, the Indian government is reportedly working to establish a massive international B2B eCommerce hub for importing and exporting,” CloudCommerce pointed out in its announcement.

The China-India collaboration has become a key aspect of the growth of B2B eCommerce, the company said, citing research from iResearch that found more than half of China’s third-party online payment processing comes from a mix of B2B and B2C eCommerce, with B2B eCommerce making up 6 percent of gross merchant volume for the country.

These market trends are supporting CloudCommerce’s own efforts to expand in 2016, the company said.

“Our recent acquisition of Denver-based Indaba Group will allow us to offer services to both the business-to-consumer merchants and business-to-business merchants,” stated the firm’s CEO, Andrew Van Noy. “Looking at the past year in review, we are pleased with the steady progress we see on all fronts. As we look forward to 2016, we aim to aggressively increase the number of customers that regularly depend on us for eCommerce services by acquiring other rapidly growing eCommerce service providers.”

Source: PAYMNTS.com