The list gets longer every day. Apple, Costco, Zara, Starbucks, and even Amazon, has in recent years partnered up with Alibaba and started selling their products on Tmall.com, China’s largest shopping website for brands and retailers.
The craving for foreign products is big in China, even when it comes to food, and last month Woolworths, Australia's largest supermarket chain, launched a flagship store on Alibaba's marketplace. Now Nestlé, the largest food company in the world measured by revenues, have decided to do the same.
Expanding in Rural Areas
Nestlé has introduced products including Nido milk powder, Damak chocolate and Nescafé Dolce Gusto BMW MINI coffee machines on Tmall.com. The company also started using Taobao.com, the country’s largest shopping site overall, to expand its distribution in rural areas.
According to Sebastien Szczepaniak, Vice President of Group Sales and eBusiness, Nestlé’s online sales are growing more than 25% per year and entering China with the help of Tmall will boost online sales even more.
– 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, said Sebastien Szczepaniak.