(Yicai Global) May 12 -- Soft drinks juggernaut PepsiCo Inc. [NYSE:PEP] and the world's largest e-commerce firm, Alibaba Group Holding Ltd. [NYSE:BABA], have entered a strategic partnership to enhance customer experience with innovative marketing promotions, customized products and integrated omni-channel solutions backed by the latter's Big Data.
Existing successful cooperation between the pair will provide groundwork for the new venture, China News Service reported yesterday. New York-based Pepsi opened a standalone store on Alibaba's Tmall.com in 2012 and carried out a series of online marketing promotions based on it. As one of the world's leading food and beverage firms, it has extensive experience in business strategy development and operations.
Alibaba, a global e-commerce leader, brings to the table a full suite of branding solutions based on its Uni ID Big Data system, which covers brand building, channel management and product innovation. The cooperation hopes to consumer satisfaction in the food and drinks sector at a time when internet technology is driving consumption.
"Developing our e-commerce business is one PepsiCo's strategic priorities," said Mika Spanos, president of PepsiCo Greater China. "Through this collaboration, we will fully take advantage of Alibaba's platform and data to carry out more innovative experiments, perfect PepsiCo's products and services, and enhance online consumer experiences. Our joint effort will help us lead the ever-changing consumer trend and better serve Chinese consumers."
The drinks giant also hopes to utilize Alibaba's Rural Taobao program to expand its market reach beyond urban areas.