Alibaba gives Australian vitamins companies a boost

Four vitamin and supplements firms will build their profile in China through Alibaba’s online trading site Tmall.

Alibaba chairman Jack Ma at last year’s Tmall 11:11 Global Shopping Festival gala in Shenzhen.

Australia’s vanguard of vitamins and supplements companies doing a roaring trade in China are set to get an extra boost to their already strong profiles in the region with the country’s leading online trading site, Tmall Global, announcing it will collaborate with Chemist Warehouse, Swisse, Blackmores and Sanofi Consumer Healthcare.

Alibaba, China’s largest e-commerce company and owner of Tmall, signed individual agreements and memorandums of understanding in Melbourne today between Tmall and the four companies.

The Tmall Global collaborations are expected to build capability in marketing and product traceability, while opening new sales channels for the brands to reach more of China’s growing middle class.

In addition to these collaborations, Tmall Global has renewed its strategic co-operation agreement with juggernaut Australian pharmacy retailer Chemist Warehouse which remains an incredibly popular brand on the Chinese e-commerce platform. During last year’s 11/11 Global Shopping Festival, Chemist Warehouse achieved more than RMB100 million in gross merchandise volume in a single day.

Australia ranked as the fifth highest gross merchandise volume country on Tmall Global in 2016, with Australian-made and manufactured health and nutrition supplements one of the strongest performing categories.

Speaking at the signing of the ceremony at noon, Maggie Zhou, managing director of Alibaba Group Australia and New Zealand, said Australia had an “enviable reputation”, with products made and manufactured in this country perceived to be clean, safe and healthy.

“By working together to promote our lifestyle and national identity, Australian brands will move a step closer to reaching their export potential in China.

“Australia is the first country to collaborate with like-minded health companies and this model will be closely watched by all of Tmall Global’s markets.”

Alibaba’s Maggie Zhou. Picture: Paul Jeffers

Chemist Warehouse co-founder Damien Gance said: “Chemist Warehouse strives to bring the best in healthcare to everybody at the very best price.

“Alibaba’s Tmall Global platform provides a fantastic means for Chemist Warehouse to make this offer of Australia’s best healthcare products at the very best price available to all of China.”

Also participating in the signing ceremony was Peter Osborne, Blackmores managing director, Asia, who said his company was pleased to be announced as one of the four partners.

“This partnership supports our longstanding commitment to quality and traceability, and will reinforce Chinese consumers’ trust in the efficacy of our products,” he said.

Nick Mann, sales director ANZ Swisse Wellness, said the new partnership with Tmall would drive significant opportunities.

“Australia’s complementary medicines industry is backed by a regulatory regime that is regarded as one of the strongest in the world. Through the partnership, we aim to strengthen the collaboration and co-operation between industries and governments, to bring more Australian quality health products and benefits to Chinese consumers.’’