Alibaba invests in Haier Group for joint logistics venture

Chinese-based Ecommerce titan, Alibaba, has partnered with Haier Group, one of the world’s largest manufacturers and distributors of consumer electronics.

The partnership includes Alibaba investing $364 million in Haier Group, and will result in a new joint venture, relying on Haier Group’s Goodaymart.

Goodaymart is Haier Group’s logistics unit, and the newly founded partnership will see it evolve into a nationwide point-to-point shipping and servicing network for large household appliances. In addition to Goodaymart, Haier Group and Alibaba will provide supply chain management solutions and products for the Chinese logistics industry. Goodaymart will also serve as the distribution network for Alibaba’s online marketplace TMall. TMall has over 70,000 brands, and during 2012 completed sales in the amount of $33 billion. Goodaymart will not only deliver, but also act as an installation service for the products.

“Alibaba Group is honored to join with Haier Group to create this platform that will equip China’s manufacturing industry with enhanced nationwide and global access,’’ Jack Ma, Alibaba’s founder and executive chairman, added on the new partnership.

Goodaymart has 9 shipping bases nationwide and 90 logistics delivery centers, with over 2 million square meters in warehouse space.

This is not the first partnership between the Chinese companies. Haier Group was given the task of creating handsets for Alibaba’s foray into mobile operating systems with Aliyun.

Haier Group is one of the largest manufacturers of large household electronics, and since 2011 is considered the world’s largest manufacturer and distributor of White-Goods.