Nov 12, 2021|
Behind JD’s Sales Record of 349.1 Billion Yuan: New, Intangible and Global
by Siyi Zhao and Mengyang He
JD has completed this year’s Singles Day Grand Promotion with a total transaction volume of RMB 349.1 billion yuan during the 11-day sale that started from 8 pm on Oct 31, setting a new record for the sales of its annual shopping festival. Behind this number are several distinct consumption trends.
New and high-quality products
During this year’s grand promotion, JD has witnessed the consumption trends of products that are new and of high-quality, along with attributes catering to consumers’ various demands.
JD continues to demonstrate its strong position in the home appliance category, with over 50 million households choosing JD to shop for their products. The number of all-category products sold regrading JD’s IoT smart ecosystem was twice that of the same period last year, with the number of thin and light high-performance notebooks sold increasing by 270% YOY, and 4K smart projectors achieving a YOY growth of 160%.
Under the trend of consumption upgrading, consumers also prefer high-end flagship phones, with the number of items regarding brands of Xiaomi, OPPO, Honor, and vivo sold over 4 times as much as that of the whole day (Nov 11) of last year.
As for agricultural products, consumers are more and more concerned about the place of origin. During JD’s promotion, the transaction volume of Wuchang rice, the most popular rice brand from Heilongjiang, increased by more than 5 times YOY, and those of Suqian hairy crabs increased by 600 times YOY.
In the past year, JD Apparel has ushered in more than 100 international and domestic key account (KA brands), while more than 6000 new fashion brands were among this year’s Singles Day Grand Promotion. The total product volume of JD.com apparel are of 15 times more than that of the same period last year.
Shop for service-products
These days, consumers are not satisfied with buying solely tangible products online—they have been also flocking to place orders for a slew of services.
The transaction volume of pet products and smart products during the promotion increased by 267% YOY, while the volume of online pet consultation services surged by 178% compared with the same period of last month.
Also, on Nov 11, the consultation volume of the maternal and child health department of JD Health Internet Hospital increased by 10 times YOY, the transaction volume of genetic testing increased by 16 times, the HPV vaccine appointment services by more than 7 times, and the dental health orders by nearly 5 times, all of which reflects the new trend of purchasing a new form of intangible product, namely service, online.
A global perspective
Through cooperation with international and local partners, JD has established a supply chain network covering more than 220 countries and regions. The volume of products sold globally during this year’s Singles Day Grand Promotion increased by 27 times YOY. JD Worldwide also imported a wide range of high-quality products from abroad. The transaction volume of JD Import Supermarket grew by 14 times YOY.
JD also took its Singles Day Grand Promotion to a larger group of international consumers. For example, JD.ID in Indonesia partnered with TikTok, and through livestreaming set a JD.ID sales record. In Thailand, JD Central reported a transaction volume from midnight to 2 am on Nov 11 with a YOY increase of 227%. Baby supplies and food and beverage are the top two categories that had the fastest growth among Thai consumers. Phones, PCs, and home appliances all sustained a 3-digit growth.
JD’s 2021 Singles Day Grand Promotion has continuously become a reflection on China’s consumption trend, a trend that is upward and dynamic, and demonstrates a great potential for China’s consumption force.
Apr 18, 2024|
JD.com Awarded 2024 INFORMS Prize for Excellence in Operations Research and Analytics
JD.com is honored to announce that it has been awarded the 2024 INFORMS Prize. This recognition makes JD.com the first Asia-based enterprise to receive the award, highlighting its pioneering use of advanced analytics and operations research/management sciences (OR/MS) within its business operations.
The INFORMS Prize is awarded an organization that has repeatedly applied the principles of advanced analytics and OR/MS in pioneering, varied, novel, and lasting ways. Previous recipients include Walmart, Wayfair, Amazon, UPS, Booz Allen Hamilton, BNSF Railway, Walt Disney Company, U.S. Air Force, General Motors, Intel, HP, IBM, Ford, Procter & Gamble and GE Research.
Speaking on behalf of the selection committee, Mehmet Gumus, 2024 INFORMS Prize committee chair, remarked: “JD.com is showcasing data science as a source of business success and a necessary element to achieve customer satisfaction with continuous and dedicated practice. JD.com is truly deserving of this prestigious prize, and the entire O.R. and analytics community joins INFORMS in thanking them for their priceless contributions to the field and the business world.”
JD.com’s commitment to enhancing operational efficiency and customer service through OR/MS has been integral to its success. The company has developed an independently managed intelligent supply chain system that utilizes cutting-edge operations research algorithms to optimize warehouse management and logistics operations. This includes the operation of hundreds of intelligent warehouses and dozens of “Asia No. 1” intelligent logistics parks.
“We are honored to accept the INFORMS Prize and will continue to be steadfast in our dedication to leveraging the transformative potential of operations research,” said Sandy Xu, CEO of JD.com. “Our company’s supply chain not only aims to lead the industry, but also enhance the efficiency and well-being of our entire ecosystem.”
By the end of the fourth quarter of 2023, JD’s supply chain infrastructure assets had grown to RMB 153.8 billion, an increase of 16% year-on-year. Managing over 10 million self-operated SKUs, JD has achieved a global leading average inventory turnover of 30.3 days. This operational prowess enables JD to fulfill 95% of retail orders within 24 hours, significantly enhancing customer satisfaction and setting new standards in the industry.
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JD Super’s Ninth Annual “Baby Party” Campaign: Supporting Families with Newborns
JD Super, JD.com’s omni-channel supermarket division, successfully concluded its ninth annual “Baby Party” campaign, which ran from April 1st to 14th. Collaborating with leading brands from home and abroad, the campaign introduced new products and services designed to improve the shopping experience and reduce expenses for families with newborns.
Pioneering services included the “Fresh Milk Powder Express,” guaranteeing delivery of farm-to-consumer baby formula within 28 days, and the “Free Diaper Offers for Newborns” initiative, set to distribute one million diaper packs annually. Moreover, the “Life’s First Bottle” project significantly reduces the costs of high-quality milk bottles by offering them exclusively online at a 50% discount.
JD Super’s specialized after-sales services extend to over 90% of the company’s self-operated products, offering services such as free returns or exchanges. Another highlight was the introduction of the Chun Rui milk formula, developed in partnership with Feihe, a leader in infant milk production. This collaboration ensures top-quality products at better value for families.
Additionally, JD Super launched an online portal dedicated to public welfare activities, which promotes cost-saving measures, shares knowledge on baby care, and supports charity initiatives.
As part of its commitment to philanthropy, JD Super donated essential baby supplies valued at over one million yuan to 1,000 families in the economically disadvantaged Liangshan Yi Autonomous Prefecture of Sichuan Province, supporting local parents in this region.
The 2024 Report on Cost of Childbearing and Childrearing in China shed light on the challenges faced by parents, including limited free time and growing anxiety over rising costs and product safety. JD Super aims to mitigate some of these concerns by providing support to families nationwide.
MUJI and JD.com Join Hands to Launch Fresh Food Complex in Shanghai
