Chinese e-commerce powerhouse Alibaba has introduced an advanced AI-powered search tool named “Accio” designed to help small businesses across Europe and the Americas find and source supplies more effectively. Launched on Tuesday, Accio allows business users to search for wholesale products by entering text or image prompts, and it goes a step further by analyzing product popularity and potential profit margins. The tool is intended to enhance sales and streamline the sourcing process by leveraging Alibaba’s own generative AI technology, Tongyi Qianwen, similar to the AI capabilities seen in popular tools like OpenAI’s ChatGPT.
During initial testing, the tool proved promising, increasing user purchase intent by 40% compared to traditional search engines, according to Kuo Zhang, president of Alibaba.com and vice president of Alibaba International. Named after a summoning spell from the Harry Potter series, Accio aims to empower small businesses with its AI-driven capabilities to simplify the procurement process. The tool’s web-based platform currently supports five languages—English, German, French, Portuguese, and Spanish—positioning it as an accessible solution for businesses across various markets.
Accio is part of Alibaba’s broader strategy to bring advanced AI technology to the global business-to-business (B2B) sector, particularly in Europe and North America, which are two of the largest customer bases for Alibaba’s international operations. Accio draws on a vast pool of data sourced from 50 million businesses on Alibaba’s global platform, as well as publicly available industry information, creating a robust AI-driven system that incorporates more than 1 billion product listings across over 100 markets. This extensive dataset allows Accio to provide accurate, data-rich search results, making it a versatile tool for a range of industries.
A demonstration of Accio’s capabilities showed how the tool could assist a sports entrepreneur in building a product line for the growing pickleball market. The AI search engine can list procurement options, providing businesses with details on each supplier, allowing them to directly contact and negotiate with potential vendors. By focusing on functionality that caters specifically to small business needs, Accio hopes to simplify and optimize supply chain logistics, empowering users to make more informed purchasing decisions.
Alibaba’s decision to incorporate its own large language model (LLM), Tongyi Qianwen, into Accio reflects the company’s commitment to advancing its proprietary technology. An LLM is a type of artificial intelligence model designed to process vast quantities of data, enabling applications like generative AI, which creates human-like responses. Although Zhang declined to confirm if Accio integrates AI from other providers, he highlighted that Tongyi Qianwen’s capabilities are fully optimized for the B2B space and tailored to the unique needs of small businesses sourcing products online.
Accio’s release marks another step in Alibaba’s ongoing AI development efforts. In October, the company launched an updated version of its AI translation tool for merchants, which allows sellers to communicate seamlessly with customers across language barriers. Alibaba claims that this tool outperforms other translation services like Google, DeepL, and even ChatGPT in terms of accuracy, underscoring the company’s focus on providing top-tier AI solutions for international business.
The rapid adoption of AI among Alibaba’s clientele has been evident, particularly during major shopping events like the recent Singles Day festival. A survey by Bain & Company found that more than half of the 500 merchants on platforms like Alibaba and JD.com leveraged AI-powered tools for tasks like customer service and content generation. The survey revealed that 56% of respondents reported a high positive impact on productivity from these AI features, highlighting the growing reliance on AI technology to drive operational efficiencies in e-commerce.
Despite the international expansion and growing influence of its B2B services, Alibaba’s primary revenue source remains its domestic e-commerce platforms, Taobao and Tmall, which dominate the Chinese market. In August, the company’s leadership suggested that the Taobao app has the potential to evolve into an all-encompassing smart portal for daily life and consumer needs, enhanced by AI-driven insights and services. This vision demonstrates Alibaba’s dual focus on strengthening its domestic market hold while expanding its AI capabilities globally.
As small businesses continue to explore AI solutions, Accio’s user-friendly interface and data-driven approach could be a game-changer for procurement processes, making sourcing faster and more insightful. With global AI adoption still in its early phases, many companies are testing and refining their approaches to incorporating AI into core business functions. Accio stands as Alibaba’s latest effort to offer tangible AI tools that meet real-world business needs, potentially positioning the company as a leader in B2B AI technology.
Alibaba’s quarterly earnings report, expected Friday, may shed further light on how the international arm, powered by tools like Accio and the updated translation features, contributes to the company’s overall performance. As Alibaba leverages AI across its business segments, it aims to drive growth both domestically and internationally, positioning itself as a forward-looking tech innovator in the e-commerce space. Accio, with its unique combination of language capabilities, AI analysis, and extensive product database, appears set to become a vital resource for small businesses looking to navigate and succeed in the competitive global marketplace.
