Apr 27, 2022|
JD.com to Support SME Merchants and Brace for Opener 618 Grand Promotion
JD Retail pledged to reduce operating burdens for its merchants with emphasis on supportive measures for SME merchants, promising to increase their ROI by no less than 20 percent during the upcoming 618 Grand Promotion, said Lijun Xin, CEO of JD Retail, at a JD’s merchants meeting held on April 26 ahead of the mid-year shopping festival.
Thirty supportive measures for merchants were introduced during the meeting based on “Three Reductions” in terms of operating cost, performance tests, and risks, and “Three Optimizations” for operating rules, efficiency and services.
The announcement comes at a time when China’s retail activities continue to face COVID disruptions and sluggish consumption recovery. JD’s moves aim to foster resilient teamwork with its merchants and help them rebuild confidence for business growth.
“We strive to create a healthier, opener and more orderly ecosystem in which tens of thousands of JD merchants can achieve sustainable development” said Xin. “By enabling these small and medium-sized merchants, we can jointly contribute to stabilizing tens of millions of jobs across their industrial chains,” he added.
The company revealed that in the past four months, its rate reductions for merchants exceeded RMB 200 million yuan.
On top of its advantageous first-party sales model, JD has been making it a priority in recent years to integrate a significant number of third-party merchants on its marketplace. Thanks to this “open ecosystem” strategy, in the past five years, the variety of product categories on JD.com expanded by 83 percent and the amount of new brands increased by 40 percent.
The company will unveil the new version of JD App, v11.0 ahead of 618 Grand Promotion to bring simpler, more transparent and consistent operating experiences for its merchants. Traffic generating policies will be upgraded, covering the areas of searching, marketing, recommendation and advertising, in which small and medium-sized stores and products with special features have greater exposure.
JD also developed a simplified operating system catered to SME new merchants to facilitate their on-boarding process.
Moreover, merchants will benefit from JD’s integrated supply chain capabilities covering warehousing, delivery service, customer service and after sales service to create a premier shopping experience for their customers in an efficient way. For example, in the past two years, thanks to JD’s product return services including the speedy review and flash refund functions in its APP, merchants’ average after-sales service time has been shortened by 28.25 hours and this January, the duration was further reduced by half year on year.