Snack giant aims to grow reach into China via e-commerce
DEERFIELD, Ill. — Mondelēz International has formed an e-commerce partnership with China-based Alibaba Group, the world’s largest online and mobile commerce company, to extend its reach into the Chinese market.
Mondelēz said the partnership will enable Chinese consumers to buy a wider range of Mondelēz products — including Oreo, Chips Ahoy!, belVita, Toblerone, Cadbury and Trident — through its flagship store on Alibaba’s Tmall.com, China’s largest third-party, business-to-consumer e-commerce platform for brands and retailers.
Key areas of collaboration will include consumer insight, cloud computing, branding and advertising solutions, product innovations, and expansion of sales and distribution channels, according to Mondelēz.
“This partnership with Alibaba is a significant step toward our goal of generating e-commerce revenues of at least $1 billion by 2020,” stated Tim Cofer, chief growth officer for Mondelēz International. “Snacking is a fast-growing sector for the e-commerce market in China, and Alibaba is a powerful partner to help us capture our share of that growth by expanding our distribution channels and improving our brands’ accessibility in both rural and urban Chinese markets.”
Plans also call for Mondelēz to boost its investment in Tmall.com by launching exclusive products, starting with Oreo Colorfilled in May, which was exclusively developed for Tmall.com’s consumers. Initially piloted in the United States in November, Oreo Colorfilled will allow consumers across China to design their own Oreo packaging, Mondelēz said.
“Alibaba Group enables brands to accelerate and elevate their entire business in China by helping them to engage in meaningful connections with consumers as well as creating more efficient supply-chain management and distribution channels,” commented Jet Jing, vice president of Alibaba Group. “We look forward to helping Mondelēz International fully utilize our e-commerce ecosystem and technology infrastructure to successfully build their brands and effectively reach the 407 million annual active buyers on our China retail marketplaces who are looking for quality international products that Mondelēz International provides.”