Vipshop banks on growth in mobile orders

Vipshop Holdings Ltd, a Chinese online shopping website specializing in discounted female fashion brands, plans to invest more in mobile and logistics services to support its high growth, driven by a rising number of active users and orders in the second quarter.

According to its financial reports, that quarter was the seventh consecutive profitable quarter. Second-quarter net revenue increased 136.1 percent to $829.4 million, while net profit reached $26.4 million, up 192.1 percent.

The website had 9.3 million users, up from 3.5 million a year earlier. The number of orders was 138 percent higher at 26.3 million. Yang Donghao, chief financial officer, told reporters on Monday in Beijing that brand penetration among online users continued to climb in first- and second-tier cities, attracting more quality users. Repeat customers exceeded 72 percent, with 90 percent of orders coming from those customers, said Yang.