How Chinese are Spending during the Coronavirus Outbreak
by Yuchuan Wang
JD has continued its commitment to deliver products to Chinese consumers during the Chinese New Year, for eight years now. This year has been unique as hundreds of millions of Chinese choose to stay indoors because of the outbreak of the highly contagious novel coronavirus.
According to JD’s big data analysis, from this past Chinese New Year’s eve on January 24th to February 2nd, JD has delivered 19,000 tons of rice and flour, 5.9 million liters of cooking oil, 15,000 tons of fresh food, 15 million packages of instant noodles and hundreds of millions of medical supplies to consumers nationwide.
Sales of food products such as rice and dairy during this period increased 154% year-on-year (on the lunar calendar), with rice and wheat products increasing at 5.4 and 4.7 times, respectively. Compared with a year before, the consumption of cereals surged on January 25th, and on January 26th, sales was as much as 15 times compared with the same day on the lunar calendar last year.
Sales of instant food products increased 3.5 times year-on-year. Bottled water and cooking oil increased 1.54 and 1.43 times while dairy and seafood products doubled.
Fresh food on JD saw an increase of 215% compared with the same period last year. After the outbreak of the epidemic, JD immediately launched the “fresh produce emergency team”. Procurement and sales personnel pay close attention to sales trends and established a daily mechanism to update inventory levels and production information, preparing countermeasures in advance. Sales of pork increased the fastest by more than 10 times y-o-y while sales of beef, mutton, poultry and eggs also increased 400%. Vegetable sales increased by nearly 450% compared with the same period last year.
JD has also implemented rigorous health and safety measures, including providing protective equipment such as masks and disinfection products to consumers. From January 20th to 27th, the sales of a series of cold and antipyretic drugs, such as Banlangen(a popular Chinese herbal medicine), vitamin C effervescent tablets, acetaminophen and others increased by 5.5 times over the same period in the previous month; sales of oximeters increased 18 times and sales of thermometers increased 11 times. At the same time, sales of sterilized alcohol increased 20 times compared with the same period a month prior. JD also supplied 3 million bottles of hand sanitizer, over 1.8 million bottles of disinfectant, over 700,000 bottles of germicidal detergent, nearly 400,000 bottles of clothing antiseptic, 290,000 bags of disinfectant wipes and 180,000 bottles of toilet cleanser to Chinese consumers.
Immediately following the outbreak of the epidemic, JD urgently contacted key brand partners in various categories to integrate inventory to secure supply to consumers as well as frontline workers in Wuhan. As early as January 17th, JD transported 5 million masks to Wuhan, the epicenter of the epidemic (Read more about JD’s support in Wuhan: https://jdcorporateblog.com/jd-com-on-the-frontlines-to-support-wuhan-and-provide-coronavirus-aid/ ).
JD’s nationwide brick-and-mortar 7FRESH supermarkets also perform strict disinfection measures including implementing staff morning health condition examinations, random body temperature checks during work, strict implementation of a seven-step hand washing standard, providing masks to employees and launching clear procedures and standards for disinfection of public facilities, tools and tableware, amongst other actions.
JD.com has been doing its utmost to ensure not only adequate supply and timely distribution of anti-epidemic goods with the help of its leading supply chain system and efficient logistics network, but also has a mission to provide stable prices and quality service in extraordinary times, playing an important role guaranteeing people’s daily needs of life.