NetEase Kaola CEO Zhang Lei and Ralph Gusko, a member of Beiersdorf’s Executive Board for Asia and Brands, met in Hamburg’s City Hall Monday (May 14) to seal their alliance. Following agreements with Jd.com and Alibaba, Beiersdorf is now entering into a strategic partnership with NetEase Kaola, China’s leading online platform for cross-border trading. China’s import boom has generated high double-digit growth for Kaola since it was set up in 2015. The agreement means that Beiersdorf and its Nivea brand will gain access to more than 900 million users.
Major progress in trade between Hamburg and China
“The senate supports and promotes trade links between Hamburg business and China. The strategic partnership agreed today between Hamburg-based Beiersdorf, a DAX-listed company, and China’s largest cross-border ecommerce platform, Kaola.com, represents a major step in trade between our city and Asia’s largest economy,” said Peter Tschentscher, Mayor of Hamburg. China holds huge potential, particularly in ecommerce, which Beiersdorf aims to exploit by means of long-term partnerships with local leaders in the different sectors.
“By working with NetEase Kaola, we will be able to further expand our presence on the important Chinese market and position ourselves closer to the local customer,” Gusko said. He described ecommerce as a major growth driver for Beiersdorf. “The partnership with Kaola takes us to the next level,” Gusko continued. He noted that Nivea had grown considerably faster than the market as a whole in cross-border E-commerce last year.
“Made in Germany” represents high quality and reliability
NetEase Kaola CEO Zhang Lei sees the partnership with skin-care brand Nivea as another significant step in expanding trade links with Europe: “Western companies often face obstacles in opening up the complex Chinese market. We are happy and proud to be able to build bridges for a globally successful and popular brand like Nivea,” he said. “Made in Germany” brands represent particularly high quality and reliability in China – an attitude that boosts demand and that Beiersdorf will be able to make use of not just with Nivea. “As well as Nivea we have other strong brands in our product portfolio,” Gusko said. “Our partnership is just starting. We look forward to further expanding it in the future in cooperation with Kaola.”
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