Chinese company Vipshop opened its first U.S. research and development center in San Jose recently to focus on mobile platforms and machine learning on big data.
The company, which is listed under the handle VIPS on the New York Stock Exchange (NYSE), aims to turn consumer insights into retail excellence, providing the best products and more tailored services.
"As a rapidly expanding company, we are attracted to Silicon Valley's many multilingual businesses and talent. We look forward to strengthening our relations and business in the U.S. and are confident that our advanced IT research and application operations in the U.S. will be at the center of Vipshop's optimized consumer experience and our continued success," Eric Shen, Chairman and CEO of Vipshop Holdings, said in a press release.
According to the release, continual innovation is essential to Vipshop's success, and the R&D Center is central to Vipshop's strategy for growth. "Our U.S. technology team has been instrumental in further developing Vipshop's e-commerce platform, bringing a combination of engineering discipline, innovation and a passion for quality that is unbeatable," said Daniel Gao, CTO of Vipshop, adding that the newly built R&D center in San Jose will own and accelerate some of Vipshop's most critical development projects.
In the near future, consumers will be able to upload pictures of products they like to Vipshop's e-commerce website vip.com. The platform will automatically recognize and suggest the same or similar products.
The technologies out of the R&D center will also customize a person's landing page based on their browsing habits on the e-commerce website.
Vipshop is a leading online discount retailer in China, selling limited amounts of discounted products online, referred to as "flash sales" by consumers in China. It claims 50 million members and 10,000 brands, and posted a 125.9 percent increase in first-quarter net revenue to $701.9 million.
Vipshop Holdings was founded in August 2008. Between being listed on NYSE in 2012 and March 2014, it has achieved profitability for six consecutive quarters. It delivered a legendary two-year total return of 3,680 percent, as reported by California-based financial advisor ETF Portfolio Management, LLC in July.
(Reporting from New York City)