Home / Knowledge / News / Textiles / Woolworths taps Chinese market with online store
Woolworths taps Chinese market with online store
Dec '15
Australian supermarket giant Woolworths has joined the race to tap into the Chinese appetite for Australian products by opening an online store on Chinese website Tmall Global. It has engaged China-based eCargo Holdings to build and manage a Woolworths storefront on Alibaba's Tmall B2C online marketplace, the Australian media has reported.

Woolworths launched the store early this month with little fanfare, selling around 80 Woolworths and branded products including powdered milk, baby formula and vitamins.

ASX-listed eCargo will co-ordinate Woolworths' inventory, packing and distribution requirements, advise on brand entry strategy and undertake a wide-range of digital and social marketing activities for the retailer.

Rising demand for high quality food and dairy products produced overseas, particularly from China's affluent middle class has opened up a large market for Australian food and dairy products.

“Woolworths has established a store on the site to sell a small, selected range directly to Chinese consumers,” a spokesman said.

“While we have no significant plans for Tmall at this stage we will no doubt benefit from the experience it brings.”

According to one report, baby formula bought at Woolworths ends up being sold online in China at a big markup. There's big demand for “clean” goods from Australia, including vitamins. It's understood Woolworths will first be selling its own home brands.

China's total retail e-commerce sales would increase 133 per cent to $1.568 trillion in 2018, up from an estimated $672 billion this year, according to eMarketer.

Woolworths has been struggling, reporting flat sales as it deals with a more competitive market in Australia. In the first quarter, sales rose just 0.4 per cent to $11.064 billion for food and liquor. Woolworths expects profit to fall to between $900 million to $1 billion in the first half of 2016, a 28 per cent to 35 per cent drop when compared to the same six months last year.(SH)

Fibre2Fashion News Desk – India

Must ReadView All

Textiles | On 24th Oct 2016

Indian govt plans roadshows to promote textile exports

The Indian government has planned to conduct roadshows to boost the...

Textiles | On 24th Oct 2016

TPP may hit roadblock

The 12-member Trans-Pacific Partnership (TPP) that was signed earlier ...

Textiles | On 24th Oct 2016

Baba Ramdev’s Patanjali to enter textile manufacturing

Patanjali Ayurved, an enterprise initiated by yoga guru Baba Ramdev,...

Interviews View All

Divyesh Mashruwala
Akshar Industries

Surat dominates foiling, embossing and pleating

Sanjay Yagnik
Maa Tex Speciality

‘We suggest reducing dosage of sizing chemicals to reduce sludge...

Jurgen Gauger

‘Buying crowdsourced or creative designs are much more appealing to the...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Sonam & Paras Modi

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search