Pinduoduo invests billions in marketing agricultural products


The e-commerce platform rivaling Alibaba and Tencent through social commerce in second and third-tier cities takes on agriculture


According to Technode, Pinduoduo is investing RMB 10 billion (US$1.58 billion) in marketing and promotion or agricultural products from 500 different points of origin this year. PDD will create branding strategies for the products and build logistics networks to have them delivered to its users, which mostly populate third and fourth-tier cities.

This brilliant marketing move comes after US$3 billion in Series C funding, which brought the value of this e-commerce startup to US$15 billion. Pinduoduo was founded in 2015 by an ex-Google employee whose novel approach targets China’s low-income populations. The platform has roughly 300 million users.


Pinduoduo’s quick rise comes from providing easy access to cheap product sourcing


China launched its Internet Plus strategy in 2015 with the goal of ‘uberizing’ its economy. The goal of Internet Plus is to apply internet and IT to conventional industries, such as manufacturing, government, healthcare, and agriculture. Sales of agriculture goods surged after the plan was made public, and top e-commerce platforms such as Taobao and have all launched feature to help farmers sell their products online to expand into rural markets.

As of April 26, 2018, Pinduoduo ranks third overall in the Chinese iTunes app store ranking for free apps, after popular video app Tik Tok / Douyin, and a Meitu photo app. It currently ranks above Taobao and

Pinduoduo provides easy access to cheap products and enables extra low prices if users buy in groups. This pioneering social commerce approach is unmatched by other e-commerce platforms in China and caters to low-income users who are price sensitive. Agricultural goods are some of the most popular products on the platform.



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