US SMEs prioritise trendy and high-quality products as direct sourcing takes centre stage, reveals new Alibaba.com research

Rhea-AI Summary

Alibaba.com's (BABA) new research reveals significant shifts in US SME sourcing strategies for 2025. 44% of US small and medium enterprises plan to find new suppliers, with 36% prioritizing cost-effective pricing, 35% seeking trusted suppliers, and 33% focusing on trendy products to attract customers.

The study of 1,000 US SME sourcing decision-makers highlights a growing trend toward digital sourcing, with 59% reporting increased importance of online B2B marketplaces compared to last year. This shift indicates a stronger preference for direct sourcing over intermediaries.

The findings precede March Expo 2025, Alibaba.com's major B2B sourcing event, offering access to over one million new products, sustainability-certified items, and special deals including coupons valued between $5-$500 and shipping discounts up to $20 for first-time orders.

Positive

• Growing digital sourcing adoption with 59% increase in importance
• 44% of SMEs planning supplier changes indicates strong platform growth potential
• Launch of March Expo 2025 with over 1M new products and monetary incentives

Negative

• Increasing pressure on margins as 36% of SMEs prioritize cost-effective pricing

As 44% of US SMEs plan to find new suppliers, driving cost efficiency and enhancing product quality amongst top priorities for year ahead

NEW YORK, Feb. 26, 2025 /PRNewswire/ -- Small and medium-sized enterprises (SMEs) across the USA are set to make major changes to their product sourcing strategies this year, according to new data from Alibaba.com, a leading platform for global business-to-business (B2B) e-commerce.

Just over a third of US SMEs say that sourcing products at more cost-effective prices (36%) is a top priority in 2025. This is followed by finding trusted suppliers (35%), sourcing new and trendy products to acquire new customers (33%), and finding sustainable products (27%).

In addition, nearly half of SMEs in the country (44%) plan to change suppliers*, as they increasingly turn to digital sourcing channels, such as online B2B marketplaces, to find new suppliers, source new products and unlock growth. Just under two thirds (59%) of US SMEs surveyed said digital sourcing^† is more important^‡ now compared to this time last year. This indicates an increased preference for direct sourcing – buying goods directly from suppliers, rather than intermediaries.

The study of 1,000 sourcing decision makers at SMEs in the USA was launched in the run-up to March Expo 2025, Alibaba.com's major B2B sourcing event of the year. March Expo connects buyers and sellers from around the world, helping them discover the latest product opportunities and build new supplier partnerships. During the month, B2B buyers can also shop from thousands of sustainable products and benefit from over two million deals with product certificates. 

Kuo Zhang, President, Alibaba.com, said: "US SMEs are becoming more strategic in their sourcing, focusing on affordability, trend responsiveness, and supplier reliability to stay competitive. Our research shows that SMEs are looking beyond cost savings and actively seeking new suppliers to future-proof their businesses. As businesses embrace digital sourcing, they are gaining greater flexibility and access to a wider range of products to support their growth."

To support SMEs in adapting to these changing market dynamics, March Expo 2025 will provide access to more than one million new products at competitive prices and offer coupons valued between $5 and $500 available at check-out. First time orders receive up to $20 off on shipping fees with orders shipped via Alibaba.com.

March Expo starts on March 1 on Alibaba.com.

Notes to Editors

The research was conducted by Censuswide, among a sample of 1,000 decision makers (aged 18+) in US SMEs who are responsible for sourcing in companies with under 150 employees (excluding sole traders).

The data was collected between January 31, 2025 and February 6, 2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct which is based on the ESOMAR principles.

* 'Strongly agree' and 'Somewhat agree' responses combined
† Sourcing products through online B2B marketplaces
‡ 'Much more important' and 'More important' responses combined

About Alibaba.com

Launched in 1999, Alibaba.com is a leading platform for global business-to-business (B2B) e-commerce that serves buyers and suppliers from over 200 countries and regions around the world. It is engaged in services covering various aspects of commerce, including providing businesses with tools that help them reach a global audience for their products and helping buyers discover products, find suppliers and place orders online fast and efficiently. Alibaba.com is part of Alibaba International Digital Commerce Group.

Media Contact
Mike Hong
mike.hong@alibaba-inc.com

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SOURCE Alibaba.com

FAQ

What percentage of US SMEs plan to change suppliers according to Alibaba's (BABA) 2025 research?

44% of US SMEs plan to change suppliers in 2025, indicating a significant shift in sourcing strategies.

What are the top sourcing priorities for US SMEs in 2025 according to BABA's study?

Top priorities are cost-effective pricing (36%), finding trusted suppliers (35%), sourcing trendy products (33%), and finding sustainable products (27%).

How many US SMEs were surveyed in Alibaba's (BABA) 2025 sourcing research?

The study surveyed 1,000 sourcing decision-makers from US SMEs with under 150 employees.

What incentives is BABA offering during March Expo 2025?

March Expo offers coupons valued $5-$500, up to $20 off shipping for first-time orders, and access to over 1 million new products.

How has digital sourcing importance changed for US SMEs according to BABA's research?

59% of US SMEs report digital sourcing is more important now compared to last year.