SINGAPORE - CapitaLand announced on Wednesday (Aug 23) a strategic alliance with China's Alibaba, Asia's largest e-commerce company, with agreements to manage its new Shanghai headquarters and launch an online mall on Lazada Singapore.
Alibaba is Lazada Group's biggest shareholder, having invested over US$2 billion for an 83-per cent stake in Southeast Asia's largest e-commerce platform.
In China, CapitaLand will oversee the pre-opening and management of the shopping podium and one of the four office towers in Alibaba Shanghai Center, which has a total gross floor area (GFA), excluding car park, of about 80,000 square metres. The four office towers occupy about 60,000 sq m, while the four-storey shopping podium takes up about 20,000 sq m.
Said Mr Wang Tao, head of intelligent building at Alibaba Group: "Shanghai is one of the important platforms to Alibaba and our new headquarters here will serve as our strategic nerve centre for rolling out our new retail strategy.
"We believe our collaboration will chart new frontiers in integrating online, offline, logistics and data across a single value chain to meet the needs of consumers. We look forward to deepening our collaboration with CapitaLand in the future."
Said Mr Jason Leow, CEO of CapitaLand Mall Asia: "CapitaLand is a firm advocate of retail innovation and we champion the reinvention of retail space to keep abreast of changing consumer habits. For example, we are taking the opportunity of redeveloping Funan in Singapore to leapfrog into the future and envision how a shopping mall of the future will look like. In Qingdao, China, we have launched the Group's first smart mall, CapitaMall Xinduxin, which offers integrated offline and online (O&O) experiences through CapitaStar, the Group's digital platform.
Now, we are pleased to partner e-commerce powerhouse Alibaba to jointly explore the possibilities in combining bricks with clicks - starting with Alibaba Shanghai Center - and creating new and exciting O&O experiences."
In Singapore, CapitaLand has signed an agreement to launch an exclusive shop-in-shop aggregating the offerings of retailers in its Singapore malls on Lazada.SG by the end of this year.
To facilitate an O&O experience, shoppers who patronise the CapitaLand official store on Lazada.SG will have the option to collect their purchases in CapitaLand malls. In doing so, they will be rewarded with membership points in the CapitaStar programme.
To start with, CapitaLand will roll out two unmanned click-and-collect lounges at Plaza Singapura and Bugis+ for shoppers to collect and return their parcels. In addition to collection lockers, the lounges will feature fitting rooms and a product-testing bench.
Mr Alexis Lanternier, CEO of Lazada Singapore, said: "Lazada entered Singapore just three years ago and today the country is one of our fastest-growing markets in Southeast Asia.
Our collaboration with CapitaLand offers shoppers in Singapore the ease of accessing their favourite shops online and enjoying an integrated shopping experience. Shoppers not only have the option of click-and-collect but benefit from free delivery and have 14 days to return their products."
CapitaLand and Lazada said they will allocate resources to onboard retailers and promote the platform to shoppers, with the intention of rapidly scaling up the initiative in the next two years.
Said Mr Lim Ming Yan, CapitaLand president & group CEO: "Even as new technologies disrupt traditional business models, real estate remains an important part of a holistic customer journey, as affirmed by leading digital players who are seeking to gain a foothold in the physical space. CapitaLand is excited to collaborate with leading digital economy players like Alibaba and Lazada on this transformational journey and we look forward to creating win-win outcomes for all parties.