Jun 1, 2021|
First JD 618 Order Delivered by JD Robot in 4 Minutes
by Ella Kidron
JD.com’s 618 Grand Promotion (Jun. 1-18) officially began at midnight on Jun 1. Four minutes after paying the remaining balance on her pre-sale order, Ms. Wang, a resident of Changshu, Jiangsu province, received the skin care set she ordered, delivered by none other than JD’s autonomous delivery robot.
In Baiyin, a prefecture-level city in Gansu province, Ms. Fang received the face masks she ordered only five minutes after completing the payment, emphasizing the extent of JD Logistics’ network. With omni-channel across a bunch of categories such as fresh, FMCG, mobile phones, digital products, maternal and child, pharmaceutical, personal care, makeup and more, JD’s 618 covers 1,400 districts and counties this year with “delivery-in-minutes” service covering over 200 cities. This type of delivery speed is possible thanks to JD’s optimization of the logistics network over the pre-sale period to put products closest to customers before they’ve even completed payments.
JD Retail CEO Lei Xu said: “JD is in its 18th year of establishment this year, and this 618 we welcome the company’s 18th birthday. In 18 years, we have created a unique business model, with its core philosophy being the continuous pursuit of the optimal solution to efficiency, cost and experience.” According to Xu, this is JD’s core competitive advantage and what has allowed JD to stay tenacious all of this time.
In the first five minutes after midnight, JD Super, JD’s online supermarket, saw sales of coffee beverages, oat milk, fruit wine and other new products increase over 15 times. The transaction volume of food, baby and maternal, and alcohol surpassed RMB 500 million yuan in the first two minutes of the sale. Popular milk tea brand Yuanqisenlin (元气森林) was up ten times in the first 5 minutes on Jun. 1 while oat milk brand Oatly and meal replacement brand Wonderlab among others were up 15 times. Sales of products from industrial belts increased 300% YOY and nearly 100,000 kg of fresh agricultural products were sold on the Jingxi platform.
This 618 also demonstrates the importance of service in the context of the customer experience. In only 15 minutes on Jun. 1, JD’s “one hour” delivery service transactions increased eight times and the number of users of the service increased 6 times. Home and living products with the “hassle-free renovation” label saw sales up 260%.
In the first 15 minutes, health services such as medical checkups, cosmetic medicine, hair transplants, dental services, vaccines and hereditary tests increased 6 times; cosmetic medicine alone increased 15 times. Products eligible for JD’s service where pet food can be returned if the pet doesn’t like it increased over 200%. Sales of smart pet products increased 300 times and pet snacks and treats increased 28 times.
JD Auto Shops car maintenance packages increased 165% compared to the previous period while limited RMB 9.9 yuan car washing packages sold out in only five minutes. From May 24 to Jun. 1, the number of people buying cars on JD increased 127%. Within 10 minutes on June 1, motorcycle sales increased 103% YOY and helmets increased 150% YOY.
Domestic mobile phones are in high demand. In just 15 minutes, Huawei phone sales increased 120% YOY, vivo sales doubled and the number of One Plus phones sold increased five times. Sales of gaming phones (smart phones dedicated for gaming with specifications that suit mobile phone games) increased 300% YOY. Gaming PCs from the Asus Tianxuan series doubled. Partition washing machines increased 20 times.
International products are still in high demand. In only 10 minutes, products from 900 international brands from over 100 different countries more than doubled. In the first five minutes, health and nutrition products from brands such as BY HEALTH and Swisse as well as medical products from brands like Omron achieved transaction volume of over RMB 1 million. In the first 15 minutes, the turnover of nutrition and health care products intended to relieve fatigue increased by 500% YOY while probiotics increased more than 300%.
Technology also plays a critical role. JD Cloud provides an essential guarantee of the customer experience during the sale. In the early morning of June 1, the peak number of user visits per second increased by 223% compared with the same period last year. JD’s smart customer service already covers over 160,000 merchants participating in 618.
Xu said that JD Retail’s philosophy is to “sell all goods of the world” and “to sell goods all over the world”. He emphasized the importance of a supply chain intermediate platform in this effort including 1) connecting different scenarios and obtaining consumer insights through partnerships in different scenarios, 2) highly efficient supply and demand matching capability, 3) order and supply chain dispatch management, and 4) product and logistics management capability. Without the supply chain intermediary capabilities, it is impossible to realize this mission, according to Xu.
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.
JD.com and Chang’an Ford Deepen Cooperation
