I've lived in China for the past 9 years and as far as I can tell everyone uses Taobao so I'd think the Taobao business is doing pretty well. Some more points a

I've lived in China for the past 9 years and as far as I can tell everyone uses Taobao so I'd think the Taobao business is doing pretty well. Some more points as to why it's popular: 1. IM between the buyer and seller is built in. There is usually discussion and negotiation over IM before a sale. 2. Funds are held in escrow until the buyer confirms receipt. It uses Alipay - from the parent company Alibaba.