Nestle Aims To Grow Revenue Contribution From E-Commerce

KUALA LUMPUR, Oct 6 (Bernama) -- Food and beverage manufacturer, Nestle (Malaysia) Bhd, aims to grow its revenue contribution from the e-commerce platform to 10 per cent within five years. Managing Director Alois Hofbauer said currently the e-commerce segment contributed less than one per cent to the company's overall sales. "We started going big time into e-commerce since the end of last year, we are very bullish about e-commerce," he told reporters after launching Nestle's e-commerce campaign called "Wellness Together-Gather", Thursday. Nestle Malaysia's revenue rose to RM2.55 billion in the first half of 2016 compared with RM2.42 billion recorded in the same period last year. Hofbauer said Nestle Malaysia's sales growth during the period outpaced the overall food and beverage industry growth of two per cent. He attributed the better growth to the company's strong market share in the country as well as its good sales performance in the last six months. Under the campaign, Nestle Malaysia will join hands with Malaysia's online retailers, Lazada and 11street, to set up its flagship e-commerce stores. The flagship stores would offer wellness solutions with nutrition-themed bundles and product discounts. The four week campaign would offer over 260 product variants from 10 brands in Nestle Malaysia and 30 different promotion bundles with discounts of up to 45 per cent on Lazada and 11street. Malaysians can enjoy up to RM1 million in savings from online grocery shopping through this campaign. "Evolving with our consumers by expanding into the digital sphere is well in line with our drive to constantly innovate and grow for the long-term. "E-commerce offers vast opportunities for the group and we are confident that we will be able to leverage on this over the long-run," Hofbauer added. -- BERNAMA