Updated Strategic Cooperation Agreement Further Strengthens Each Company’s Leading Position in the Snack Retail and Delivery Categories in China
On September 28th, Mars Wrigley, the world's leading manufacturer of chocolate, chewing gum, mints and fruity confections, and Dada Group(Dada Nexus, NASDAQ: DADA), a leading local on-demand retail and delivery platform in China, expanded their partnership, which began in January 2020. At a meeting in Shanghai, Clarence Mak, President of Mars Wrigley China, and Philip Kuai, Founder, Chairman and CEO of Dada Group, reiterated their commitment to a win-win strategy called “Double Captains,” which promotes their mutually beneficial success in the snack retail and delivery across China through JDDJ, the local on-demand retail platform of Dada Group.
With a focus on innovative marketing, the two companies aim to build a new one-hour shopping experience for snack food. The new agreement helps both companies position themselves for continued leadership in the category in light of new consumption behaviors and market opportunities in the post-COVID-19.
Clarence Mak, President of Mars Wrigley China, said: "Mars Wrigley is one of the earliest brands to establish a partnership with JDDJ and in the first half of this year, we have achieved remarkable three-digit growth. In this new era, the importance of local on-demand retail channels has become increasingly in focus. Mars Wrigley will continue to innovate its layout, further strengthen the expansion of new channels, new models and new formats on the JDDJ platform as we advance our goal to create a new era of snack food.”
Philip Kuai, Founder, Chairman and CEO of Dada Group, said: "The category of snack food has great growth potential. Dada Group has become the core partner of Mars Wrigley in the local on-demand retail market. We will innovate the marketing strategy, promote the growth of brand business and help Mars Wrigley create more and better consumption experiences for the benefit of Chinese consumers. "
Win-win "Double Captain" Strategy to create a market benchmark for snack food
At the beginning of 2020, Mars Wrigley and Dada Group announced a three-year strategic cooperation vision: to build a new market benchmark of fast-moving consumer goods, based on products, marketing and user operation. The two companies have agreed to jointly promote the three-year win-win strategy of "double captains" to position Mars Wrigley as the "captain" brand of snack food and JDDJ as the "captain" platform of local on-demand retail.
From January to August this year, Mars Wrigley's sales on JDDJ doubled year over year. As the "captain" brand of snack food, Mars Wrigley ranks first in the category of snack food on JDDJ with improved market share.
Build a new one-hour shopping experience with "scenario" as the core
Mars Wrigley and Dada Group also discussed their marketing strategy of building a new one-hour shopping experience with "scenario" as the core in the future. Facing the new consumption behaviors and market opportunities in the post-COVID-19, JDDJ will provide customized and upgraded marketing for Mars Wrigley, focusing on "people with scenarios" and "marketing with scenarios," and the boundary extending of "scenarios."
Mars Wrigley promotes the innovation of "people, goods and scenarios" mode from multiple dimensions. Specifically, it will continue to create and innovate scenarios, strengthen festivals related categories, create a new type of "small but beautiful" festival, and accelerate to build shopping micro- scenarios to expand the linkage of " scenarios". In terms of consumer, Mars Wrigley will work with JDDJ to explore the solution of brand and media resources inside and outside the platform, achieving an integrated marketing.
JDDJ’s innovative marketing helps Mars Wrigley's sales grow
This year, JDDJ created a series of new marketing IP (Intellectual Property) methods, such as "Super Brand Day," "Super Fan Day" and "Brand Magic Coupon," and joined together with Mars Wrigley to launch several marketing activities, which repeatedly hit sales peaks.
From May 17 to 20, 2020 when Dove's new product launched on the market, Dove launched its first "Super Brand Day" campaign on JDDJ’s platform. Through online and offline uni marketing, the campaign reached users effectively and continuously transformed new product sales. On JDDJ, Dove chocolate's first-day sales reached the peak of single-day sales in the first half year. During the event, its sales increased by more than three times compared with last year. From September 7 to 20, Dove launched "Super Brand Day" once again with JDDJ.
"Woman Like Me" is the first "Super Fan Day" marketing activity created by JDDJ in cooperation with many famous brands such as Mars Wrigley’s Extra brand Through this IP marketing, from August 18 to 25, the search frequency of brands such as Extra increased significantly on JDDJ compared with the prior week, and sales increased by nearly three times compared with last year.
To meet impulsive shopping behaviors for consumers of snack food, JDDJ also launched the "Brand Magic Coupon" targeted to drive sales during the afternoon tea scenarios. With many brands such as Mars Wrigley participating, the campaign effectively promotes sales with rich and diverse products and the platform's "one-hour delivery" service.
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