Shiseido, multinational Japanese beauty and personal care giant, is teaming up with Alibaba in order to increase its reach to consumers in China. The retailer became the world's first major cosmetics company to open shop in Hangzhou specifically to work with Alibaba.
The partnership will see Shiseido use Alibaba's big data and consumer insights to develop new products based on what Chinese consumers are searching for on its Tmall website. The first co-developed products, a 'mild and refreshing scalp shampoo' and an 'essence oil for split ends', will launch on Tmall under Shiseido's hair and body care brand Aquair in September.
With nearly 700 million users, Alibaba Group will be a key partner to help Shiseido drive growth in China. After Japan, China is its biggest source of revenue and the Japanese company has been setting up several initiatives there in recent months to further accelerate its growth.

Alibaba's data will aid Shiseido in its product development process and help it attract new consumers, especially the younger demographic.

The partnership will also see the companies collaborate on brand marketing, ecommerce, CRM and other areas. Earlier this year, the company also opened an innovation and investment office in China to promote strategic alliances with startups.