Alibaba signs up Korean brands in New Retail push
Alibaba has signed up at least 17 Korean brands to join its online markets during a trade-promotion event.
The Chinese e-commerce giant’s New Retail initiative, together with its import strategies, appeal to Korean brands who are looking abroad to expand their sales given a relatively mature domestic market, according to the Korean International Trade Association (KITA).
“The event has given Korean firms an insight into the e-commerce market in China,” says KITA vice-chairman Han Jin-hyun.
About 1000 executives from Korean SMEs attended the event, says Alibaba, which named Boy London, Innisfree and JMsolution among its resulting new clients.
Tmall Global also signed memorandums of understanding with Korean cosmetics brands, including 23years old, Clubclio, Dermafirm and Mediheal.
Alibaba VP Angel Zhao says it has five key phrases: global buy, global sell, global pay, global delivery and global fun.
“Our globalisation and the great import strategy, as well as New Retail initiatives, offer a one-stop system for Korean merchants to tap into the Chinese market both online and offline seamlessly.
“Through the largest-ever event among those we have held in Korea, we hope Korean firms grow with us and find success in China.”
Korea’s online exports to China were valued at KRW2.3 trillion (US$2.1 billion) last year, up 29 per cent from a year earlier. This accounted for 78 per cent of Korea’s total online exports last year.
“We have seen Korean brands extending brand presence in China via Tmall especially among middle-class Chinese consumers, who want healthy, trendy, assured and cost-effective products,” said Danny Chung, Alibaba Group Korea’s GM.
“There are some tens of thousands of stores, F&B places, duty-free shops, department stores and convenience stores that accept Alipay in Korea. We will continue to expand that figure and support Korean offline merchants to sell products and services to Chinese tourists by enabling Alipay,” Chung said.