LVMH Group and Alibaba Group announced an extended partnership to redefine the luxury experience in China further. The partnership will leverage Alibaba's cloud technologies through AI-powered innovations in retail and online with Tmall.
The deepened partnership between LVMH and Alibaba is not just a collaboration but a strategic move that underscores our shared commitment to retail innovation. This alliance will not only enhance our tech-driven luxury experiences but also bolster LVMH's presence in China's Omnichannel, Data, and Tech sectors, offering unique benefits to our valued customers and paving the way for a promising future.
Stephane Bianchi, Group Managing Director of LVMH, said: "Alibaba is already a key partner for our Maisons and the Group. Reinforcing our partnership will help us further accelerate our omnichannel business growth and leverage the transformative capabilities of cloud and AI technologies, along with Alibaba's world-leading expertise in e-commerce operations. Our forward-looking collaboration will deliver unparalleled experiences to our clients throughout their high-end shopping journey."
Eddie Wu, CEO of Alibaba Group, added: "Alibaba is pleased to enable a transformation of the high-end consumption experience with retail leaders like LVMH through our world-class technologies in cloud computing and AI. This comprehensive partnership has elevated the retail experience for LVMH's customers worldwide, including China-based consumers on Tmall. We look forward to continuing to build on the strong partnership and innovation journey with LVMH."
LVMH is integrating Alibaba Cloud's cutting-edge technologies in our relentless pursuit of innovation. This includes Qwen, Alibaba's proprietary large language model, and Model Studio (Bailian), a comprehensive AI model building platform. These technologies are not just tools, but the foundation for creating novel applications and services that will revolutionize our luxury offerings and foster innovation-led growth within our global retail businesses, sparking excitement for what's to come.
With over 30 Maisons and Divisions in mainland China and Southeast Asia, this extended cooperation plan for another five years is a testament to our commitment to exploring new markets, products, and technological frontiers. This partnership will provide LVMH access to a broader array of Alibaba Cloud's leading technologies and proven products to optimize our business operations, enhance customer insights, and streamline our supply chain management processes to better serve the Chinese market.
The strategic partnership between the two industry titans was initiated in 2019. Since then, LVMH has implemented Alibaba Cloud's data management tool, Dataphin, to power "LVMH ATOM" China—a bespoke platform designed by LVMH to deliver personalized services tailored to its expanding Chinese customer base. Furthermore, LVMH has leveraged Alibaba Cloud's machine learning platform, PAI, to develop customized services that cater to the distinct tastes of Chinese consumers across all its brands.
This announcement of extending the global partnership follows the successful debut of integrating Tmall into Tiffany's and Chaumet's luxury retail journey. To date, LVMH has successfully introduced around 30 prestigious Maisons that are partnering with Tmall Luxury Pavilion to leverage Alibaba's digital capabilities for engaging experiences such as 3D product displays, virtual try-ons, and livestreaming.
Both parties have also expanded the collaboration on various omni-retail initiatives, including digital recreation of renowned luxury venues, product debuts, membership programs, and personalized consultations. This strategic move further extends the LVMH luxury experience to millions of Chinese shoppers, instilling confidence in the partnership's potential.
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