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Alibaba new retail expansion continues with plans to launch 30 Hema stores in Beijing

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By Danielle Long | Asia Pacific Correspondent

January 10, 2018 | 3 min read

Alibaba plans to open 30 Hema supermarkets in Beijing this year as the ecommerce giant continues to expand its “new retail” strategy.

The expansion will bring Beijing’s total stores to 35 in a bid to provide the city’s consumers with greater access to its merged online and offline shopping experience.

The move is part of a strategy by Alibaba to create a “three-kilometer ideal living community” concept, according to Alibaba’s Alizila publication.

Hema Alibaba

Alibaba continues to expand its Hema supermarkets across China

The concept, which is a joint collaboration between Alibaba affiliates Hema, Tmall, bike-sharing platform Ofo and mapping and navigation services provider Autonavi, aims to create communities that are empowered by convenient, online-offline services driven by Alibaba.

Yi Hou, chief executive officer of Hema told Alizila: “Opening 30 stores is a commitment we’re making to consumers in Beijing.”

Alibaba also plans to open Hema stores in Fuzhou, Chengdu and Guangzhou this year. The ecommerce giant currently has 25 Hema stores in seven Chinese cities, including 14 in Shanghai, five in Beijing, two in Ningbo, and in Hangzhou, Shenzhen, Suzhou, and Guiyang.

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Hema stores are part of Alibaba’s “new retail” strategy, which aims to seamlessly integrate online and offline shopping by enabling consumers to shop, order groceries for home delivery and eat in-store, all via a dedicated Hema app, which is linked to Alipay.

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