Alibaba, Wix sign deal aimed at boosting small businesses

Alibaba (NYSE:BABA) and Wix.com (NASDAQ:WIX) announced on Wednesday that they have signed a deal aimed at boosting small and medium-sized businesses.

Wix shares rose 0.9% in premarket trading, while Alibaba shares fell 2%.

The partnership — of which financial terms were not disclosed — will see Wix merchants have the ability to integrate into Alibaba’s seller app, by downloading the app straight from Wix’s marketplace. This will enable the merchants to have access to services such as advanced identity verification capability, faster and easier onboarding process and give them access to a large swath of verified global buyers, distributors, and importers.

The deal will also allow Wix merchants to have access to Alibaba’s global suppliers and offer products suited to their needs. It also offers Alibaba sellers direct access to Wix’s artificial intelligence platform, which includes tools for design, marketing and e-commerce.

“Our partnership with Wix simplifies the complexities of international trade, offering small businesses streamlined solutions for sourcing, selling, and expanding their global reach,” said Kuo Zhang, President of Alibaba.com in a statement.

“At Wix, we’re focused on giving every business, from solo entrepreneurs to established brands, the tools to grow and scale globally,” said Nir Zohar, President of Wix. “Our collaboration with Alibaba.com takes that a step further. It opens powerful new opportunities for our users to tap into international wholesale markets, while also giving Alibaba.com merchants the ability to create stronger, more direct connections with their customers.”

The partnership rollout will occur in phases, the companies added.