Alibaba to Merge Travel and Food Delivery Services with E-Commerce Division

Chinese tech giant Alibaba Group is streamlining its business operations as competition intensifies in the consumer services sector. The announcement regarding the new organizational structure was shared via an internal memo by Alibaba CEO Eddie Wu. According to the statement, the company will integrate its food delivery platform Ele.me and travel booking service Fliggy into its e-commerce division.

Under the new structure, Ele.me and Fliggy will continue to operate independently. However, both platforms will align their business strategies and operations with the e-commerce division. Ele.me CEO Wu Zeming and Fliggy CEO Zhuang Zhuoran will report directly to Jiang Fan, CEO of the e-commerce business group.

Alibaba to Optimize Business Models with a User-Centric Focus

Meanwhile, as Chinese e-commerce giants engage in a price war and aggressively expand into “instant retail”—which prioritizes deliveries within 30 to 60 minutes—Alibaba positions this restructuring as a “strategic upgrade” in its transition from a traditional e-commerce company to a broader, consumer-oriented platform.

“In the coming period, the company will increasingly optimize its business models and organizational structure from the user’s perspective to deliver richer and higher-quality consumer experiences,” the statement read.