RLG Contracted To Market & Sell Hydralyte In China

e-Commerce company RooLife Group Ltd (ASX:RLG) (“RLG” or “Company”) is delighted to announce that it has been appointed by The Hydration Pharmaceuticals Company Limited (ASX:HPC) (“HPC”) to exclusively market, sell and distribute its Hydralyte range of electrolyte-rich tablets, liquids and powders in China.

• RLG appointed to market, sell and distribute the Hydralyte range of electrolyte- rich tablets, liquids and powders in China
• RLG has exclusive distribution rights for all online and physical store sales, including cross border e-commerce and general trade in China
• RLG to generate revenue through multiple channels including service fees, digital marketing fees and margins on all product sales
• Extends RLG’s positioning and portfolio in the health & functional food and beverage sector in China – adding Hydralyte to Remedy Drinks, New Zealand Honey Co, Fiji Kava and RLG’s own VORA protein range
• RLG’s portfolio of brands continues to grow with an increasing focus on the health & functional food sector; Accessing more physical stores in China is a key expansion priority whilst RLG continues to build out its strong online presence

RLG is contracted to provide digital marketing, social media operations and e-commerce store operations with exclusive distribution rights for all online and physical store sales, including cross border e-commerce and general trade in China.

Under the terms of the agreement, RLG will generate fees for the provision of digital marketing, social media and e-commerce store operation and receive a margin on all products it sells.

The initial term of the agreement is 2 years 5 months with periodic marketing investment reviews at which marketing spend, which is funded by HPC, may be increased or the parties may elect to cease activities.

The addition of the Hydralyte range further expands RLG’s offering in the lucrative online sports nutrition channel in China, where more than 80% of sales take place via eCommerce1, with the size of the global health and wellness market being over USD$5.2 trillion in 2022 and projected to reach USD$8.9 trillion by 20322.

RooLife Group CEO, Bryan Carr said: “We are excited to add such a high-profile and proven brand as Hydralyte to our healthy, functional food and beverage portfolio in China where we continue to grow out our online and physical store channels, servicing the high consumer demand for quality international products with China’s large, emerging middle class. We look forward to working with Hydralyte’s very dynamic team, extending their global sales footprint considerably by leveraging the growing awareness of health and wellness generally in China and the established trust and awareness for Australian wellness brands, making Hydralyte a great match for RLG and our capabilities in China.

Along with expanding our product offering, we are continuing to build out more channels to market, having added distribution through ALDI, Ole and Alibaba’s HEMA supermarkets in addition to our new partnership with AULife for RLG Marketplace in China. We look forward to providing further updates as we open additional sales channels for our health and wellbeing product range.”

The Hydration Pharmaceuticals Company CEO, Oliver Baker added: “RLG’s well-established online sales channels and access to growing physical store network is the perfect platform to expand our presence in the China market. Their highly capable sales & marketing offering and understanding of how to sell and promote a product to Chinese consumers presents us with a very unique opportunity to establish the Hydralyte brand here.”

The initial contracted service fees are not yet material in the context of RLG’s annual total revenue and RLG is not yet able to accurately forecast the quantum of expected Hydralyte products sales, however the high profile and brand awareness of the Hydralyte range in Australia, U.S.A. and Canada is expected to drive awareness and sales in China and progressively contribute towards RLG’s annual revenue.

About The Hydration Pharmaceuticals Company Limited

The Hydration Pharmaceuticals Company Limited (HPC) is a well-known brand developed in Australia in 2001 to produce a range of electrolyte-rich tablets, liquids and powders and aims to grow its footprint in new international markets, led by an experienced management team and high skilled Board of Directors. HPC has exclusive rights to the Hydralyte brand in North and South America, Europe (excluding Turkey), China (excluding Taiwan) and Hong Kong.

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