Alibaba Group has completed a strategic investment in a smaller Shanghai-based B2C service provider to expand its e-commerce business chain.

Jumbomart.cn was set up in early 2007 and is now providing outsourcing services to more than 20 companies for their online business on its own Website and on Taobao.com.

"We see a continual robust growth in e-commerce as more and more traditional companies are turning to Websites to market their products," said Zhang Wei, head of strategic investment at Alibaba Group.

The group, parent of Hong Kong-listed Alibaba Inc which targets the B2B sector, is seeking to expand in the B2C market. No details of the investment was released.

"The investment by Alibaba will not only provide capital, but will also help us become more competitive as it has experience," said Qiu Wenbin, president of Jumbomart.