Alibaba, JD.com now bet on growth in China’s vast rural hinterland

Move follows Beijing's push to boost consumption in former backwaters

20190911 CHINA JD.COM

Chinese online retailer JD.com’s logo in Yichang, Hubei Province. JD.com and rival Alibaba Group Holding, the country's top two e-commerce companies, are focusing attention on smaller cities and villages for expansion. © AP

COCO LIU, Nikkei staff writer

HONG KONG -- China's internet boom arose in big cities on the coast. Now, to maintain their growth momentum, the country's internet companies are shifting their attention in another direction: towards China's vast rural hinterland.

When New York Stock Exchange-listed Alibaba Group Holding and Nasdaq Stock Market-listed JD.com reported earnings last month, the top two Chinese e-commerce companies thanked families in smaller cities and villages for helping generate revenues that surprised Wall Street.

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