Mattel, Inc. (NASDAQ: MAT), the Barbie maker, announced that it formed a new partnership with Alibaba Group Holding Limited (NYSE: BABA) to sell products on Alibaba’s Tmall, which will start in the middle of the year.
“The multi-billion dollar toy category in China is highly fragmented, with tremendous potential for growth. Working with Alibaba, we see a terrific opportunity to develop and lead the category,” Margo Georgiadis, the Chief Executive of Mattel, said in the statement.
“By combining Mattel's unmatched expertise in childhood learning and development, with Alibaba's immense reach and unique consumer insights, our goal is to help parents in China raise children to be their personal best,” he added.
Mattel hoped to sell their core brands, like Barbie, Hot Wheels and Fisher-Price, more aggressively to Chinese parents under the collaboration. In addition, Mattel and Alibaba will work together to develop new toys, which would be specifically for Chinese consumers. According to the company, active buyers would be 443 million.
According to both companies, the product development will begin immediately, and the products will be available from the middle of 2017. Six years ago, Mattel started to sell toys on Tmall, and Fisher-Price has been top sellers for five years on Singles Day Shopping festival.