Sun, Sep 21, 2014, 6:14 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

E-Commerce China Dangdang Inc. Message Board

  • moneymojo434 moneymojo434 Jun 28, 2011 11:09 AM Flag

    Article about huge traffic growth for DangDang

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • I spent the majority of my free time last weekend looking through everything published about DANG here and in China( when available in english of corse ).

      I was able to come to a deffinate conclusion about DANG. It was all positive.

      There are other companys in China competeing against DANG including one in which Amazon got in with.

      Other than DANG, the others are all doing terrible. They can't get their act together on anything. But DANG, is firing on all 8 cylinders. DANG has it covered from website to products to delivery and finally to payment with the delivery drivers also being a traveling ATM.

      Even the Co coupled with Amazon can't cut the musted. This is the kind of competition DANG needs. Incompetent flawed and missing the mark at every step.

      Bottem line. DANG has nailed it and is leaps and bounds ahead of the rest, they have been successful for ten years and have a debt free business. They even have support from the Chinese Government when it comes to infrastructure developement.

      This week I aquired 7000 shares of DANG. I feel I have nailed the winner.

      • 2 Replies to ormjds
      • Taobao and 360Buy are Dangdang's largest competitors. Taobao is losing credibility because the company committed fraud. They cheated their own customers. 360Buy has a lot higher revenue than Dangdang. BUT they are losing money. Also, 360buy's level of service to the customers is not as good as Dangdang's. 360Buy mainly sell 3C products with low margin, so of course their revenue is going to be inflated. But it seems like to me the more they sell the more they lose money.

        Dangdang's CFO said he's not going to focus on 3C products because it will actually make them lose a lot of money. Though if you go to the Dangdang's website you do see a lot of 3C electronics. 360Buy has just raised $1.5 Billion. Dangdang is keeping profit margin low so that they can spend more money on growing their business. Chinese people trust Dangdang and their products.

        Also Amazon.cn, 360buy.com, and Taobao(Alibaba) are partly owned by foreign companies and investors. We all know how poorly foreign companies do in China compared to their Chinese counterparts. Dangdang is the homegrown Chinese company that will be supported by the people and the government.

        Though it's a long shot, I think it's possible for Dangdang to overtake their larger rivals in a few to several years. I guess we'll have to wait and see.

      • Good luck with that, it appears you bought at or near the bottom, congrats!

    • Big day ahead

      I bet we see another 10% increase today

    • ibet we close over $13

      • 1 Reply to moneygod678
      • I also see DangDang as having a competitive advantage over the #1 ecommerce player in China, TaoBao. TaoBao is like the wild west, where any dirt ball can try to sell you something. Its model is part eBay, part Craigslist, where there isn't really a lot of trust. DangDang sells its products itself or through trusted leading partners, more similar to an Amazon (AMZN) model. It has warehouses, logistics centers, offers same day shipping in seven cities, next day shipping in nearly 40 cities, etc.

        Over the long term I see buyers choosing DangDang over TaoBao because of the consistency of the experience, the far better customer service levels, much fewer fraud issues, a better return policy, quick shipping, etc. The same reason Amazon is beating eBay (EBAY) is why DangDang has an advantage over TaoBao. And now it looks like business for DangDang is taking off.

        Disclosure: I am long DANG.

 
DANG
12.96+0.18(+1.41%)Sep 19 4:11 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.