Daigou retailer to expand into 150 pharmacies

AuMakeDaigou retailer AuMake has inked a deal with pharmacy network Chemsave which will see its own branded products distributed through a network of 150 pharmacies across the country.

The announcement, which follows the listed retailer declaring a trading halt earlier this week, will see Aumake’s own-branded health supplement and honey products distributed initially, prior to further expansion.

Cross promotional marketing will accompany the products, with AuMake’s recently launched live streaming functionality to move into some Chemsave pharmacies.

The listed retailer hopes that the partnership will bolster its credibility of its private label range, while Chemsave is looking to increase its exposure to the Chinese market.

“Aumake is thrilled to have formed this strategic partnership with Chemsave, which is a significant milestone,” Aumake executive chairman Keong Chan said of the deal.

“This partnership with Chemsave allows us to significantly expand the reach of our products across Australia … this is not simply a distribution agreement but a long-term mutually beneficial strategic alliance.”

Chemsave CEO Michael Dixon concurred, saying that the Chinese market represents a lucrative opportunity for its network.

“Over the last year we have had the opportunity otm eet with a number of groups with a view to forming a partnership that will allow us to grow our members’ businesses and increase our presence with the important and influential Chinese consumer,” he said.

The initial terms of the contract are set out across two years, with an option for a further two-year extension if mutually agreed.

Aumake shares rose 10 per cent to 27 cents in early Wednesday trading.

Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.

 

Comments

Comment Manually

I have read and agree to the Terms and Conditions and Privacy Policy.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Loading...

Inside Retail Polls

Myer's new chief executive
Is John King the right CEO to lead Myer's turnaround?

Twitter

Super Retail Group has named Peter Birtles's replacement. Anthony Heraghty to take on CEO role at end of March.… https://t.co/4ocA2J5BS5

6 hours ago

Can we dispose with our disposable mentality further, by doing something to cut down on all the packaging of our fo… https://t.co/WdQwvRleeD

10 hours ago

Declining sales over holiday period, due to lessening demand in Asia-Pacific, Europe and the Americas, dampens reta… https://t.co/k91qHn20Hr

24 hours ago
x

SUBSCRIBE
FREE NEWS BRIEFS Get breaking news delivered