Jul 28, 2020|
In-Depth: JD CENTRAL Solutions Enable Offline Retail in Thailand
by Martin Li
While JD CENTRAL has received wide recognition as an online platform for authentic products in Thailand, an increasing number of offline retailers and brands share that same sentiment as they explore an online transformation.
JD CENTRAL is the e-commerce joint venture between China’s largest retailer JD.com and Thailand’s retail conglomerate Central Group. The venture launched in 2018 and is a combination of direct-to-consumer and marketplace businesses.
There are approximately 40 small-and-medium enterprises that use the e-commerce services provided by JD CENTRAL, including product listing, data analysis, marketing, store design, customer service, etc..
The COVID-19 outbreak has taken its toll on traditional or offline businesses, which triggered the Thai government to launch measures to support them by involving online players like JD CENTRAL.
JD CENTRAL has been actively using its platform, technologies and services to help offline businesses, including joining a national campaign to support farmers and an online trade fair to help offline business expand online channels.
“The COVID-19 outbreak has not only encouraged consumers in Thailand to move online, but also pushed offline retailers to embark on an omnichannel transformation,” said Shen Cai Ying, who is in charge of O2O business of JD CENTRAL.
Central Group plus JD solutions
When you open JD Central’s e-commerce app or visit its website https://www.jd.co.th/, you will find a variety of products sold in offline subsidiaries of Central Group, including Powerbuy, Tops Online, Officemate, Robinson, Super Sports, B2S, Baan＆Beyon and Thai Watsadu. These offline businesses have their flagship stores on JDC and operate their online businesses on the platform.
Besides an online presence, an increasing number Central group members are utilizing the diversified services provided by JD CENTRAL.
Screenshot of Central Group retailers and brands on JD CENTRAL app
There are 59 Central Group sellers on the platform of JD CENTRAL, including franchised brands and retailers. Among them, eight are using the data analytics service, two are using the listing service, and another two are using the customer service
These service users include Dyson, Casio, Hush Puppies, Tops, Super Sports and Power Buy.
Based on JD CENTRAL data, retailers who choose to use certain online services have seen an improvement in online performance, including in their response rate to online consultation, satisfaction rate and store growth.
After adopting certain online services of JD CETRAL, brands and retailers witnessed a growth in satisfaction rate of over 90%. The response rate to online consultations grew by 30% even when the number of consultations increased considerably due to the COVID-19 outbreak.
Central World shopping mall in central Bangkok, Thailand
In early July, JD CENTRAL joined the project titled “Central Group Tarad Ruam Jai, Thai Chuay Thai” (Unity Market for Thais), which is aimed at creating and expanding online-to-offline (O2O) distribution channels in Thailand.
On JD CENTRAL, four stores are taking part in an event associated with the project to increase their sales channels for consumers who would like to support and buy locally-made products.
Launch ceremony of Central Group’s Unity Market for Thais project
“There are three stages for our O2O enablement for Central Group. The first stage involves offline subsidiaries opening stores on JD CENTRAL and operating them by themselves. The second stage features curated services for those who don’t have the experience but want to leverage online channels. For the third stage, we will help offline shopping malls and department stores achieve digitalization. For example, in the future, we could help shopping malls develop an app, connect its retail stores to it and drive new business,” said Shen.
Currently, both stage one and two have helped business grow, even though the latter launched just a few months ago in April.
Global sellers and SMEs enabled
According to Vincent Yang, CEO of JD Central, the team will use its experiences helping retailers move online to continue to better serve small-and-medium sized offline businesses throughout Thailand.
Currently, there are seven SME’s that are utilizing JD Central’s services.
Compared with the larger companies, SMEs are particularly vulnerable to a public health crisis like the COVID-19.
To help overcome those challenges, JD CENTRAL joined an initiative launched by Thai Ministry of Commerce and will promote Thai fruit on its e-commerce platform, providing new sellers with benefits including commission waiver, free design service for virtual stores and free live chat customer service.
In addition, there are 14 global sellers who are using the services of JD Central. To ensure product descriptions are accurate, JD Central provides translation service to global sellers, which have resulted in significant viewing traffic growth.
Looking ahead
JD CENTRAL’s effort to enable digitalization of offline retail business echoes the national agenda set forth called Thailand 4.0, which encourages digital transformation of traditional industry.
“In Thailand, many large enterprises have their own massive enterprise resource planning systems (ERP). However, these ERP systems are designed for traditional offline retail scenario, which don’t apply to online scenarios,” said CEO Yang.
“JD Central is the only company in Thailand capable of providing the most complete, efficient and cost-effective integrated e-commerce solution to offline enterprises, no matter if they are big or small,” he added.
According to Yang, enterprises without e-commerce capability can choose direct-to-consumer platform. Those which do have e-commerce, can use the marketplace platform, where JD Central provides services including product launch, marketing, payment, warehousing, logistics and fulfillment. For those with an offline presence, JD Central can provide O2O solutions.
In Yang’s eyes, JD Central wants to empower companies and aspires to become the platform on which offline retail businesses can be enabled digitally and consumers can buy the best value products.
(bjlihao3@jd.com)
Jan 16, 2024|
Harbin’s Rising Popularity as a Winter Destination in China Sparks Surge in Travel and Retail Sales
This winter, the “ice city” Harbin, capital of northeast China’s Heilongjiang province, has emerged as a magnet for tourists from all corners of the country. Harbin’s hospitality has warmed the hearts of these visitors. Their shared online experiences have further fueled the city’s tourism and consumption growth.
According to data from JD.com, searches for Harbin travel have skyrocketed, with a year-on-year growth exceeding 100 times in the past week alone. Harbin’s specialties have also been favored by tourists. JD.com’s data also reveals a substantial rise in the volume of Harbin specialty shipments since December. The Harbin Red Sausage, a beloved local delicacy, has emerged as the top souvenir choice for out-of-towners, seeing an average daily shipment volume in early January that is nearly fourfold higher than in December.
To support this influx of tourists, JD Logistics has strategically established service points at key locations, including Harbin Airport. These hubs ensure comprehensive delivery services, enhancing the overall visitor experience.
This Harbin tourism boom has also spurred a surge in sales of winter apparel. JD.com’s data indicates a rapid growth in the sales of warm clothing items such as down jackets, snow boots, and thermal underwear between January 1st and 7th. The sales growth is especially pronounced in southern provinces and cities such as Jiangsu, Zhejiang, Guangdong, Sichuan, and Shanghai. Notably, tall snow boots registered a 206% year-on-year increase in transactions, while padded cotton caps and thickened long down jackets soared by 158% and 134%, respectively. Beyond clothing, travel gear has also seen a considerable uptick, with a 98% year-on-year growth in transactions for large suitcases and travel backpacks in these southern regions.
To further cater to the needs of consumers gearing up for their Harbin adventures, JD.com launched a “Northbound Warmth Guide” on January 10th, offering a curated selection of warm clothing, shoes, children’s wear, and accessories, and enabling more consumers to purchase thermal equipment in a one-stop shop.
Jun 1, 2023|
JD.com’s 618 Grand Promotion Kicks Off, Record Number of Brands Reach 100 Million Yuan in Sales within the First Ten Minutes
by Yuchuan Wang and Vivian Yang
On the evening of May 31, 2023, JD.com officially launched the 618 Grand Promotion, the largest mid-year shopping festival in China. In a phenomenal display of consumer enthusiasm, over 23% more brands achieved the RMB 100-million-yuan sales milestone within the first ten minutes compared to the previous year. Additionally, an impressive 60% of newly onboarded merchants soared past their daily average sales volume for May, and 50% of small and medium-sized enterprises (SMEs) reported their sales skyrocketing by more than 200%.
This year’s JD 618 Grand Promotion marks the 20th birthday for JD.com and offers more than ten times the number of items as those featured during the 10-billion-yuan discount program, which launched in March. The vast selection comprises over 200 of the most in-demand items and nearly ten thousand best-selling products spanning a diverse range of categories.
Upon the event’s opening, consumers in over 300 cities across the country received their pre-ordered parcels within a matter of minutes. JD.com’s dedication to excellent service, through its proprietary logistics network built since 2007, ensures the delivery of the same or next-day orders nationwide, affirming its “place an order in the morning and receive it in the afternoon” commitment. Today, the unmatched service covers 10 million products and to consumers nationwide.
JD’s on-demand retail service also showcased its advantages immediately. Within the first ten minutes of the promotion’s launch, customers in over 700 counties and cities throughout the country received their orders. The first on-demand delivery through JD Shop Now arrived at a customer’s doorstep in Changsha city within just nine minutes.
Data highlights from the shopping festival collected between 8:00 PM and 8:10 PM on May 31, 2023 include the following:
- A 23% year-on-year increase of brands surpassing a transaction volume of over RMB 100 million within the first ten minutes of the 618 promotion
- Apple’s transaction volume surpassed RMB 100 million in just one second
- Nearly 50% of small and medium-sized merchants have seen their transaction volume increase by over 200% year-on-year
- Transaction volume for home appliances and home furnishings exceeded RMB 5 billion
- Transaction volume for durian increased by more than three times year-on-year
- Transaction volume for men’s and women’s apparel increased by over 120% year-on-year
- Transaction volume for road bikes and cycling apparel increased by over 100% year-on-year
- Transaction volume for new energy vehicle tires increased by nine times year-on-year
- Within five minutes, transaction volume of JD’s cross-border platform JD Worldwide exceeded the total sales of the first two hours from last year
- A near 400% year-on-year increase in merchant usage of JD Cloud’s Yanxi Digital Human livestreaming service compared with the same period from last year’s Single’s Day promotion
- A 100% year-on-year increase in transaction volumes for 150 skincare and beauty brands, including prestigious names like YSL, Helena Rubinstein, Shu Uemura, Proya, and Lancome
- Transaction volume of luxury brands including Bulgari, Tiffany & Co., Bottega Veneta, and Givenchy increased threefold year-on-year.
- Fifteen watch brands, including Longines, Tissot, and Mido, doubled their sales year-on-year
- Entrepreneur and internet celebrity Luo Yonghao joined JD Livestreaming and sold an apartment at 61.8% of the full price, saving over RMB 1.2 million for the consumer
- Electronic product services saw a transaction volume boost of 160% year-on-year
- Trade-in services for home appliances and home furnishing products experienced a transaction volume surge of over 120% year-on-year
JD Health Established its 1st Diabetes Center in Guangdong with Clifford Hospital
