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AliExpress opens new distribution center in Israel

Posted on by darion

Popular Online Shopping Site AliExpress opens a parcel distribution center in Israel, located in Tel Aviv. The center, officially called Parcel Home, will operate as a delivery point, and the company has at least 15,000 of them in its home country of China.

The center is currently being built in the Dizengoff Center shopping mall in Tel Aviv. It will occupy an area of ​​80 square meters. The center is scheduled to open within two weeks. Initially, it will serve several hundred parcel recipients throughout the country.

Initially, the center will be staffed, but later it will operate automatically through an app and serve thousands of customers. Consumers who place an order on AliExpress will pick up their packages at the center and scan the barcode using the app, which will allow them to access and download the package. There will be no access to packages that do not belong to the barcode holder.

Representatives from Cainiao, a logistics company owned by AliExpress, visited the country about two months ago, and three senior executives arrived this week to continue the initiative.

The reason for opening the distribution point is not clear. It is possible that AliExpress, the e-commerce giant in Israel, is afraid of losing its leading position in the country to the main competitor of Temuwhile SHEIN also has a share of the market, albeit only in fashion. This makes it a more formidable competitor.

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AliExpress Delivery Center in Israel

(Photo: Meirav Crystal)

AliExpress may also be planning to replace its subcontractors in Israel. The company works with all the shipping companies present in the country, including Israel Post, and their customer service does not always meet the standards introduced in China.

The new hub is not yet intended to replace all parcel delivery services in Israel. AliExpress has hundreds of delivery points in the country, and the Israel Post alone has more than 400.

The center will serve a large but limited number of customers, and it’s still unclear whether consumers who shop on the company’s website will be able to choose it as a pickup point or whether the site will choose it for them based on their address. If the center does well, the company plans to open additional delivery centers around the country.