MissFresh Partners with Tencent to Accelerate Digitalization for Grocery and FMCG Retailers
MissFresh, an innovator and leader in China’s neighborhood retail industry, has recently partnered with Tencent to bolster its Retail Cloud services and ensure that its retail partners would be able to jumpstart their online business and operate more efficiently.
MissFresh has rich experience in meeting consumer’s demands in China’s first- and second-tier cities. The company works with traditional retailers, especially small- and medium-sized supermarkets to bring fresh groceries and fast-moving consumer goods (FMCG) to customers with Digital tools. Its Retail Cloud platform, which comprises a suite of proprietary SaaS tools, enables these neighborhood retailers to achieve sustainable growth with efficient, optimized digital operations.
The neighborhood retail cloud market for supermarkets has huge growth potential, according to iResearch, which projects it will grow from US $29.5 billion in 2020 to US $292.8 billion in 2025 in terms of gross merchandise value (GMV) at a compound annual growth (CAG) rate of 58.3%.
Recognizing the core technology capability and growth potential of MissFresh, Tencent has been supporting the expansion of the company in different ways. Tencent Smart Retail has formed a strategic partnership with MissFresh in June 2019. Now both companies are deepening the cooperation in 2B business. Tencent is a strong player in China’s industrial Internet sector, with a broad user base and advanced technological capabilities, while Tencent Smart Retail offers B2B assistance in improving customer engagement through digital services.
Through persistent investment in technology, MissFresh has improved its Retail AI network (RAIN) – a trinity of “Smart Marketing”, “Smart Logistics”, and “Smart Supply Chain”. RAIN offers MissFresh retail partners like small- and medium-sized supermarkets assistance by automatically making decisions in smart merchandizing, smart marketing based on consumer behavior and big data analytics, and smart store operation.
These services in turn allow small- and medium-sized supermarkets to overcome many barriers of entry in the online retail market, expanding their proportion of online business and growing their customer base and gross margins. Such gains will be felt across China’ entire neighborhood retail industry.
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“Working hand in glove with Tencent Smart Retail has been integral to MissFresh’s advancement of its Retail Cloud services, enabling us to continuously be able to offer the latest and most optimized merchant tools to supercharge individual retailers’ online business growth,” said Zheng Xu, MissFresh’s Founder, Chairman and Chief Executive Officer.
Founded in 2014, MissFresh Limited was listed on NASDAQ under the symbol “MF” on June 25.
As of the first quarter of 2021, the company has completed several rounds of financing. Investors include Tencent, Tiger Global, GX Capital, Vision Plus Capital, Goldman Sachs Group, and others. With Tencent‘s backing, MissFresh is better positioned to improve the quality of its operations as well as focus on users.