Nestle offers overseas products to Chinese consumers through new partnership with Alibaba
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Nestlé has strengthened its global capabilities in e-commerce by signing a partnership with Alibaba in China, to grow online sales, build key brands and offer new products to millions of consumers.
Nestlé has introduced products including Nido milk powder, Damak chocolate and Nescafé Dolce Gusto BMW MINI coffee machines on Tmall.com, China’s largest shopping website for brands and retailers. Using Taobao.com, the country’s largest shopping site overall, Nestlé is expanding its distribution in rural areas.
Nestlé e-commerce successes to date include the Nespresso online boutique, and the recent global launch of super-premium chocolate brand Cailler using Amazon as the primary retailer.
Sebastien Szczepaniak, Vice President of Group Sales and eBusiness, said that Nestlé’s online sales are growing more than 25% per year.
“Moreover, offline purchases are increasingly influenced by what we see online, so brand building has gone beyond having good television advertising and nice packaging. Our ability to build brands on any touchpoint, be it digital or analogue, is vital,” he said.
Questions & Answers
Q.What is Nestlé's primary goal with this new partnership in China?
What is Nestlé's primary goal with this new partnership in China?
Nestlé aims to increase its online sales and strengthen key brands. The partnership also allows Nestlé to offer new products to millions of Chinese consumers, expanding its market reach.
Q.Which specific products has Nestlé started offering in China through this partnership?
Which specific products has Nestlé started offering in China through this partnership?
Nestlé has introduced Nido milk powder, Damak chocolate, and Nescafé Dolce Gusto BMW MINI coffee machines. These products are available on Tmall.com, a major Chinese shopping website.
Q.How is Nestlé planning to reach consumers in rural areas of China?
How is Nestlé planning to reach consumers in rural areas of China?
Nestlé is expanding its distribution into rural areas by using Taobao.com. This platform is described as the country's largest shopping site overall, making it suitable for broader reach.
Q.What is the current growth rate of Nestlé's online sales?
What is the current growth rate of Nestlé's online sales?
According to Sebastien Szczepaniak, Nestlé's online sales are experiencing growth exceeding 25% annually. This indicates a strong performance in the e-commerce sector for the company.