China’s e-commerce beast, JD.com, has been rapidly expanding and increasing its footprint in Asia by forming partnerships with prominent businesses throughout the region. The company marked first foray in Hungary by signing a partnership with Grand Tokaj, Hungary’s largest winery. On the other hand, this will be the first time the Hungarian winery will be tapping into China’s market.
The partnership between the two companies creates a win-win situation, as Grand Tokaj will benefit by increasing its customer base, while JD.com’s wine loving customers will now get access to the winery’s diverse array of sweet wines. As a way to ensure that the partnership enables both parties to achieve their objectives, JD.com will handle the marketing activities and will use its insights to help customize the wine products to suit China’s competitive market. Also, through its top-shelf logistics network, JD.com will ensure that the majority of the customer’s orders are delivered either the same or the next day after they are placed.
Grand Tokaj is a government-backed winery, and its top quality sweet wines are attributed to the usage of partially raisined grapes used in the processing.
Even though the two companies only announced the partnership recently, the news has been received warmly and has had overwhelming support with over 1000 bottles being sold within the first 10 hours after the two companies launched it. JD.com also reports that Grand Tokaj attracted more than 10,000 followers to its online storefront only a day after the launch, a figure that continues to increase with each wake.
Commenting on the matter, Grand Tokaj’s chief executive officer, Gergely Goreczky, said that his company is looking forward to working with a company that is as sophisticated as JD.com.
JD.com, also known as Jingdong, is China’s largest e-commerce firm with regards to revenue and Asia’s fastest growing company. The firm was established in 1998 by Richard Liu Qiangdong and started as a small retail shop which dealt with magneto-optical products. Today it is among the Fortune Global 500 companies and gives firms like Ali Baba a run for their money.
About JD.com : www.investing.com/equities/jd.com-inc-adr