1. Mecox Lane Loses $ 3.4 Million in Q2, 2011

Chinese online apparel site Mecox Lane loses US$ 3.4 million in Q2 of this year on revenue of 58.7 million. The company was still making money last Q2 with net income of 4.1 million.

Mecox Lane attributes the problem to a). online sales which has lower revenue accounts for a larger part of its net operation income; b). 3rd party brands which have lower gross margin compared to it own brand make a larger proportion of its income; c). due to mounting competition, the site had to give away more coupons then before.

 

2. Tencent Launches Mobile App Center With US$ 156 Million Incentive

Giant internet company Tencent announced the launch of its own Mobile App Center to provide both app developers and mobile users an all-around, cross-platform mobile apps download service.

For those who concern about the revenue model given most Android apps are free without clear and direct money-grubbing means, Tencent said that it will generate revenue by means of advertising(Tencent will take 50% of ad fee) and added-value service. The company is developing its own wireless ad system.

Also, Tencent will set up a US$ 156 million fund to reward extraordinary developers.

 

3. Kaixin001 Counts On Mobile Internet To Rise Again

The beleaguered social networking site Kaixin001 is pivoting to become a social hub combining ecommerce, mobile internet and open platform.

According to Chen Binhao, founder and CEO of Kaixin001, the site is appealing to people who enjoy sharing their shopping experience online, which means that it’s tapping into social commerce forefront to compete with Meilishuo, Mogujie and Duitang.

Next up, Kaixin001 will ramp up its mobile service since “mobile traffic of our site is on track to overgrow PC traffic soon.”