Chemist Warehouse has emerged as the top seller in China’s mid-year-shopping festival, the 618 festival
Inside FMCG reports that the discount giant was the top seller on Tmall, an Alibaba platform which brings international brands to China, on the first day of the festival.
It reports that Chemist Warehouse sales on the platform are tracking at 50% higher than during the sale in 2018.
The 618 Festival was begun by an Alibaba rival, JD.com, celebrating the founding of that company on the 18th of June.
It now offers sellers the opportunity to engage with customers in emerging cities, counties and villages across China, says the Alibaba Group.
“In addition to rising discretionary spending, consumers in China’s less-developed regions are becoming more-sophisticated shoppers who are looking for lifestyle upgrades,” said President of Taobao and Tmall Jiang Fan.
“This increased consumption potential could mean bright prospects for our merchants. People in these areas might have less access to physical shopping facilities than those in big cities, and this year we are working closely with our partners to address their needs and offer them the same good quality products on our platforms with innovative and fun programs.”
More than 200,000 brands and retailers are participating in the event.
Chief operating officer of the My Chemist Retail Group (which includes Chemist Warehouse) Mario Tascone told the AJP that international customers responded so strongly to Chemist Warehouse due to the quality of its offer.
“People trust brands that are sold inside Chemist Warehouse,” he said. “The health and beauty products we sell are very desirable in mainland China.
“There are always leading Australian brands, and we’ve got a great supply chain and partner in Alibaba, which does great logistics to clients inside China.
“The stock mix is getting bigger every time, and we’re always number one on Singles Day.”
Singles day or Guanggun Jie is a retailing festival held on November 11 each year.
Chemist Warehouse’s international reach has also strengthened with the recent opening of another store in Henderson, Auckland.
“New Zealand is doing really well,” Mr Tascone said.
“The stores are growing all the time, and the brand’s been received really well by the New Zealand public. The average store there is employing lots and lots of locals at the moment.”