Brands utilising Alibaba’s big data

Date : 21 January 2019

Colgate-Palmolive joins L’Oréal and P&G to make use of the ecommerce giant’s big data for better and quicker product development, whilst mitigating risks at the same time.

Colgate: the era of ‘Made for China’

Alibaba Group has teamed with Colgate-Palmolive to launch a new toothpaste aimed at male consumers. The use of big data reduced the development process from the normal 18 months down to only six months.

It was the first time that Colgate used big data for new product development. This product opportunity was identified from a Tmall consumer survey that was carried out last year.

"Many multinational firms just introduce popular foreign products to China," said Qiu Zihan, a senior manager at Colgate's innovation centre. "However, the era of 'Made in China' has ended and it is time for 'Made for China'."

Alibaba and Colgate-Palmolive have signed an agreement to build a “consumer-to-business” innovation plant to make more new products that are based on consumers’ demand.

Source: IGD Asia

L’Oréal: a well-established partnership

L’Oréal has an ongoing partnership with Alibaba, which started in dates 2010. The scope of their partnership is increasing over the years with Alibaba providing more support and services.

Recently, L’Oréal extended its partnership with Alibaba’s Tmall Innovation Centre for a pilot project involving male-grooming, using consumer insights to drive product development and marketing strategies.

P&G: an unique O2O partnership

Alibaba and P&G has a partnership that covers several elements of Alibaba’s ecosystem, including Tmall, LST (Ling Shou Tong, a  retail management platform for convenience stores), Lazada, AliExpress and Cainiao (also known as China Smart Logistics Network).

Like Colgate and L’Oréal, P&G also use Alibaba’s data to reduce the product development cycle, creating products tailored to the Chinese market.

P&G’s fragrance shampoo range took only nine months to develop from concept design to launch. Its product design was refined at early stage using insights and consumer feedback, greatly reducing the risks usually associated with the process.

Retail Analysis: Asia newsletter

Keep up-to-date with the latest retail developments from Asia.

Sign up for our newsletter »