JD.com Empowers Time-Honored Brands to Flourish

JD.com Empowers Time-Honored Brands to Flourish

by Hui Zhang

JD.com leveraged its big data and shared insights of Chinese consumers with scissor– and knife-maker Zhang Xiaoquan to help the nearly 400 year-old Chinese brand to craft products that are popular with young consumers

Through an analysis of current and potential consumers of knives on JD and their shopping behaviors, the brand was able to understand that young middle-class consumers who pay more attention to both quality and appearance of the product shop on JD. Based on this finding, in 2018, JD and Zhang Xiaoquan worked together to co-develop a new set of knives with the knife base made of walnut. As the color and wood quality caters more to young middle-class consumers, at the time, the new product was a hit, becoming one of the brand’s top 3 products in terms of sales in its online flagship store. Sales of the product on Singles Day (Nov. 11th) in 2019 increased by over 300% year-on-year. The annual sales of the brand’s store on JD were also driven by the new product, which increased by more than 20% year-on-year. Sales of Zhang Xiaoquan’s store on JD during the 618 Grand Promotion (from June 1-18th) even doubled this year.

Zhang Xiaoquan is only one of the Chinese brands that has benefited from working with JD. Huashi Hongmu (滑氏红木), a company that specialing in mahogany furniture, successfully connected with their target consumers through partnering with JD. Both sides also jointly embarked on a variety of marketing explorations such as live streaming to attract consumers to visit the brand’s offline stores.

Several other age-old Chinese brands have witnessed a sales boom on JD. According to JD’s data, sales of mahogany furniture on JD increased by 220% on June 18th.

 

(zhanghui36@jd.com)

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