Thg Regulatory News (THG)

29th September 2020

THG Holdings plc

THG Ingenuity announces five-year partnership with Hotel Chocolat

THG Ingenuity, the Technology Services division of THG Holdings plc ("THG" or the "Group"), a global technology platform, specialising in taking brands direct to consumers, today announces a five-year partnership with Hotel Chocolat, the UK based luxury chocolatier. The agreement will launch the brand's direct-to-consumer (DTC) offering in the United States, with the retailer accessing the full suite of services offered by THG Ingenuity.  

This digital partnership aligns Hotel Chocolat's expansion strategy into the US market with THG Ingenuity's cross-border expertise. THG Ingenuity will provide its enablement platform to the premium retailer, along with digital brand services and a complete fulfilment solution including chilled storage distribution. With the US Cocoa and Chocolate Market set to reach US$ 67.22bn by 2025* this new partnership will ensure Hotel Chocolat is well positioned to meet increased demand.  

By offering a DTC platform, the brand can build a more personalised relationship with its US-based customers and has the potential to generate a long-term, sustainable presence online. THG Ingenuity's brand-building services will also provide trading and marketing expertise as well as performance solutions and technological support.   

THG Ingenuity's chilled fulfilment network offers the option for product personalisation as well as the use of several US warehouses to offer favourable delivery times to customers across the region. This network includes capabilities for customers based in New York and Los Angeles with next-day delivery available across both the east and west coast. 

In this new partnership, THG Ingenuity will deliver the following benefits: 

· A proprietary, end-to-end platform with fully integrated trading, merchandising, marketing modules, real-time data feeds and a single customer view

· Multiple THG fulfilment centres across the US, including California, Texas, Kentucky, and Florida 

· In-house digital marketing services across proprietary marketing and influencer platforms, which includes access to a network of over 10,000 active influencers (THG Society)

· Proprietary fraud prevention platform, featuring device fingerprinting, data matching against known fraud, API capability and business intelligence tools (THG Detect)

· International customer service, with integrated translation services and with communication via email, live chat, iMessage, WhatsApp, Weibo, ABC, Revoo and other local platforms 

Matthew Moulding, Founder, Chairman and CEO of THG said: "We are proud to announce this partnership with Hotel Chocolat, bringing our DTC and ecommerce capabilities to this renowned UK retailer and helping it to reach an international audience. It comes at a particularly crucial time for the British retail sector, when brands must flex in response to the constantly evolving environment.

"Hotel Chocolat will now benefit from the powerful and scalable infrastructure of THG Ingenuity, joining a host of other third-party clients and our own brands that have achieved global growth through our proven model." 

Brendan Drake, CEO of Hotel Chocolat inc, said: "We are excited to announce our partnership to help accelerate the digital growth of the brand in the USA.

"THG Ingenuity offers an end to end solution for e-commerce and digital supply chain with the potential to build meaningful scale."

THG Ingenuity recently confirmed a digital transformation partnership with Homebase, migrating the brand's traditional approach to retail to a DTC solution. The partnership with Hotel Chocolat will similarly allow the brand to respond more directly to changes in consumer buying behaviour, by expanding into new markets utilising THG Ingenuity's end-to-end approach.

* https://www.globenewswire.com/news-release/2019/06/26/1874567/0/en/Cocoa-and-Chocolate-Market-to-Reach-US-67-22-Bn-by-2025-Recent-Emphasis-on-Health-as-well-as-Flavor-to-Enable-Growth-says-Fortune-Business-Insights.html

ENDS

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Notes to Editors

About THG

THG is an international online retailer and technology company. Founded in 2004 by CEO Matthew Moulding, Manchester-based THG now operates 200+ localised websites, retailing goods in 169 countries. In the year to 31 December 2019, the Group grew sales by 24% to £1.14bn, with 66% of sales generated internationally. More than half of THG's sales come from its own brand products. THG owns Lookfantastic and Myprotein amongst other brands operating primarily in the beauty and wellbeing sector.

About THG Ingenuity

THG Ingenuity is THG's end-to-end ecommerce platform, powering THG's own business as well as those of brands and retailers around the world. THG Ingenuity comprises access to THG's international infrastructure across warehouse fulfilment, digital content studios and event spaces, an end-to-end proprietary software solution required to operate and scale retail brands, and a suite of in-house consultative and management services across trading, marketing and brand strategy. It is one of the only platforms that is underpinned by proven expertise as it has demonstrably scaled brands globally and now powers 3rd party brands on a SAAS basis.

THG Ingenuity is partnered with leading retailers across the globe, including Groupe L'Occitane, PZ Cussons Beauty and Nintendo. THG Ingenuity helped the Group dispatch over 80 million items during the year ended 31 December 2019 to customers across the world and saw THG reach the top of the Sunday Times profit track for two consecutive years.