Alibaba Widens Its Moat by Partnering with Salesforce
Alibaba (NYSE: BABA), the top e-commerce and cloud platform player in China, recently became the exclusive seller of Salesforce's (NYSE: CRM) cloud-based customer relationship management (CRM) software suite in the Greater China region.
Salesforce led the global CRM market with a 19.5% share in 2018, according to Gartner, but only generated about 10% of its revenue from the Asia Pacific region last quarter. That percentage could rise significantly as Alibaba sells Salesforce's CRM services to its massive base of merchants and cloud customers. Salesforce's multinational customers would also gain localized CRM support in China.
Alibaba doesn't offer its own cloud-based CRM platform for small-to-medium-sized businesses, so Salesforce's tools could fill that gap. It could also widen Alibaba's moat against ecosystem rivals like Tencent (OTC: TCEHY).
Quelle Fool.com
