Online alliances

Dairy Field, Jun 2000 by Talerico, Shonda

Processors go online for yet another avenue.

The Internet has dramatically changed the business world, and the dairy industry is no exception.

Ice Cream Partners USA, the new 50/50 joint venture between Nestle USA andThe Haagen-Dazs Co., is aligned with Pink Dot Inc., an online instant food delivery service.

Newly-formed Ice Cream Partners' distribution network will supply all Pink Dot fulfillment centers with Nestle frozen novelties and Haagen-Dazs superpremium and low-fat ice cream, sorbet and frozen yogurt.

"By combining forces with Pink Dot capabilities as a leading online delivery service, Ice Cream Partners USA will be able to give both companies' consumers access to America's premier frozen treats with flawless point-and-click convenience," says Stephen Mos, vice president of marketing at Ice Cream Partners, San Ramon, Calif.

In addition to its strategic agreement with Pink Dot, Ice Cream Partners will also be a marketing and promotion partner with the online food delivery company, providing Web site linkage, category management experts and sharing consumer insights.

Also entering the online arena is Italian dairy processor Parmalat SpA, a global leader in aseptic milk processing. Its U.S. subsidiary, Parmalat USA, Wallington, N.J., bought 22 percent of NetGrocer.com, a nationwide online retailer of nonperishable groceries.

The $30 million investment was finalized in April. The agreement stipulates that Parmalat will be represented on NetGrocer's board of directors and executive committee and will contribute to the business and financial strategy of the New York City-based online grocer.

"We those NetGrocer because their business model is mainstream," says Aldo Uva, president and chief executive officer of Parmalat USA, the U.S. subsidiary. "Parmalat's alliance with NetGrocer is a strategically significant development and Parmalat's first important step to join the Internet community."

Uva says this relationship "is one of a number of innovative business and product moves Parmalat plans in the United States in the months to come."

NetGrocer has sold parmalat products since its launch and will offer Parmalat's entire line of nonperishable products throughout the United States. This will expand Parmalat's customer and consumer base, which is primarily concentrated in the Southeast, Northeast and Midwest. Parmalat will have access to NetGrocer's e-commerce technology, and in turn, will assist the online company in building its international presence. Parmalat products are also offered in Canadian, Caribbean, European, Latin American, Asian and Australian markets.

"The American marketplace for both dairy and food products is undergoing rapid change; Uva says. "Parmalat is certain to be able to meet American consumer needs with a variety of new products and product innovations we will be introducing this year."