Baby food company Mead Johnson ties up Chinese e-commerce deal
Mead Johnson, the US infant nutrition company owned by consumer goods giant Reckitt Benckiser, has linked up with Chinese e-commerce giant JD.com.
The Chinese company said the plan is to create a market strategy to bring a wider range of infant formulas to emerging urban areas.
JD.com said it is a response to the shift in consumption habits of Chinese consumers for maternal and baby products to focus on product quality and suggested the collaboration will make it easier for maternal and baby store owners in China's growing smaller cities to supply their consumers with infant formula from Mead Johnson Nutrition's brands.
To facilitate this, JD.com has developed a mobile internet programme through which store owners can place orders for Mead Johnson products. Maternal and baby goods will be delivered within 48 hours directly from JD's warehouses via the company's in-house nationwide logistics network.
It said the 'vertical integration' will significantly shorten the delivery lead time and help store owners better manage their inventory.
Enda Ryan, CEO of Mead Johnson's operations in Greater China, said: "With the help of JD's innovative smart supply chain and in-house logistics resources, a greater number of consumers in China's emerging urban areas will have more reliable access to our high-quality products.
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