Feb 16, 2024| JD Logistics, JD Retail

JD.com Wins 2024 Gartner Power of the Profession Supply Chain Award

Vivian Yang

On February 14, leading research and advisory firm Gartner, Inc. announced JD.com among the winners of its “Power of the Profession Supply Chain Awards for 2024”. JD.com won the Process or Technology Innovation of the Year award for its “powerful planning technology that drives an innovative approach to resilient planning.”

The awards, presented by Gartner in four categories, including customer or patient innovation, process or technology innovation, social impact, and people breakthrough, highlight continuous innovation focused on enabling customers, developing talent, and driving sustainability. JD.com was the sole Asia-based company recognized by Gartner this year.

“This year’s entries demonstrated growth in technological innovations through the use of AI,” said Maria Nieradka, VP analyst in Gartner’s Supply Chain Practice. “At the same time, the number of submissions related to people-related breakthroughs more than doubled. It’s clear that people ultimately make supply chains work, while in many cases AI is helping them to work even better.”

Harnessing the power of probabilistic forecasting and explainable AI technology, JD.com’s intelligent supply chain team has engineered a robust planning solution. This innovative approach delivers reliable decision-making support amidst external uncertainties and rapid market changes. Notably, this technology significantly enhances supply chain flexibility, particularly during intricate shopping scenarios such as large-scale promotions, holiday seasons, and challenging weather conditions. In doing so, it has played an instrumental role in reducing costs and enhancing operational efficiency.

JD.com’s highly automated “Asia No.1” logistic park

Transforming rapidly from an e-commerce giant to a supply chain-focused technology and service provider, JD.com has made significant technological strides in supply chain arena. As indicated in JD’s 2023 third-quarter financial report, the company has optimized inventory turnover to just 30.8 days while maintaining a global leadership position with self-operated SKUs numbering in the tens of millions. Currently, JD.com boasts a procurement automation rate exceeding 85%, all while maintaining an average inventory availability of no less than 95%.

During the 2024 Chinese New Year Shopping Festival, spanning from January 17 to February 3, JD.com’s intelligent supply chain system generated over 620,000 decision recommendations daily. These recommendations proved instrumental in assisting brand partners and merchants with precise demand forecasting, production guidance, and inventory management, markedly boosting supply chain efficiency across the entire industrial chain.

As the exclusive interactive platform for this year’s Spring Festival Gala, hosted by China Media Group and broadcasted live on February 9, JD.com captivated users, amassing over 52 billion interactions on its app. Additionally, the platform distributed one million physical gifts through lucky draws during the 4.5-hour extravaganza.

Ms. Wang in Beijing received JD’s flower gift during the Spring Festival Gala

To ensure seamless gift distribution and order fulfillment, JD’s intelligent supply chain system integrates seamlessly with its expansive logistics network, comprising numerous “Asia No.1” intelligent industrial parks, along with hundreds of smart warehouses and sorting centers. This synchronization extended to over 1,000 air and rail cargo routes, spanning more than 100 airports, high-speed railways, and freight trains. This extensive network ensures that customers across more than 2,000 counties and cities nationwide enjoy a premium shopping and logistics experience during the festive season.

(vivian.yang@jd.com)

Dec 20, 2024| JD Retail

Dada NOW Receives “Leading Restaurant Empowerment Platform” Award at the 10th China Catering Innovation Conference

Vivian Yang

On December 19, Dada NOW, China’s leading local on-demand delivery platform under Dada Group, was awarded the “Leading Restaurant Empowerment Platform” accolade at the 10th China Catering Innovation Conference in Shanghai. Celebrated for its innovative 4D Service Standards, Dada NOW delivers professional, flexible, intelligent, and customizable services to top food and beverage brands including CHAGEE, KFC, Luckin Coffee, McDonald’s, and Pizza Hut, garnering extensive acclaim within the catering industry.

4D Service Standards

The “Leading Restaurant Empowerment Platform” award honors platforms that provide comprehensive and professional services to restaurant businesses. Leveraging years of experience with leading restaurant brands, Dada NOW has crafted its 4D Service Standards to effectively address delivery challenges and enhance service quality. These standards include:

Dedicated: Integrated solutions for warehousing, picking, and delivery.
Dynamic: Tailored delivery solutions for diverse vendor scenarios, including store-stationed and crowdsourced rider options.
Data-driven: Efficient data management systems utilizing AI technology for order dispatching, fulfillment timeliness, and quality inspection.
Designable: Customized services for large supermarkets and restaurant merchants to bolster brand value.

Fast and Accurate Delivery

In the fast-paced food delivery sector, Dada NOW’s survey data indicates that 63% of brand merchants and consumers expect timely delivery, 21% prioritize location accuracy, and 9% value punctual pickup. Dada NOW completes delivery in as quickly as 9 minutes, with a 99.5% on-time completion rate and a 98% accuracy delivery rate. Real-time order matching is achieved in as fast as 0.3 seconds, ensuring fast and accurate service.

Unlike delivery providers that only focus on a single merchant type, Dada NOW provides both supermarket and restaurant deliveries. The differing peak times between these sectors allow for capacity complementation, enhancing efficiency and reducing costs. With a nationwide network of over a million riders and an industry-leading on-demand delivery model, Dada NOW has executed over 900 million route plans, swiftly allocating resources during peak periods such as lunch and dinner rushes, new product launches, and promotional events.

Customized Solutions for Merchants

To meet the strong customization needs of brand merchants, Dada NOW can offer bespoke services for each store, integrating its delivery capacity, products, and technological solutions. A notable example is the partnership with Sam’s Club, for which since 2017 Dada NOW has developed customized solutions in delivery capacity models, co-branded equipment, rider training, and system integration. This collaboration has achieved nearly 100% coverage of customized rider equipment such as helmets, uniform and delivery containers, and provides excellent customer service experiences. This highly effective collaboration demonstrates Dada NOW capabilities that are also transferrable to the restaurant sector.

Luckin Coffee, a long-standing partner of Dada NOW, exemplifies the high standards in the coffee and tea beverage sector, achieving a “30-minute delivery rate of 99.9%” to maintain peak freshness delivered to customers’ doorsteps. Dada NOW’s flexible rider network effectively manages peak demands and large order volumes during product launches and promotions through an intelligent order dispatching system, ensuring optimized delivery routes and careful handling to prevent issues like coffee spillage. Since 2023, this partnership has earned Dada Now several accolades from Luckin Coffee, including the “Best Strategic Cooperation Award” and “2023 Outstanding Delivery Partner,” with rider Tu Yanping being recognized as one of four “Annual Gold Riders” nationwide.

Dada Group operates two core businesses: JD NOW, formerly known as JDDJ, an instant retail platform, and Dada NOW, a local on-demand delivery service. Leveraging its extensive crowdsourced delivery network of millions of riders, Dada NOW provides a comprehensive service system open to merchants and individual senders across various industries and product categories. The company’s two platforms operate independently and collaboratively.

(vivian.yang@jd.com)

Dec 18, 2024| JD Logistics, JD Worldwide

JD Logistics Unveils International Business Development Roadmap to Enable 2-3 Day Delivery in Dozens of Overseas Markets in 2025

Yuchuan Wang

December 18, 2024, Shenzhen — JD Logistics (also known as JINGDONG Logistics), the logistics arm of JD.com, today unveiled its overseas business development roadmap at JINGDONG Logistics 2025 International Integrated Supply Chain Strategic Launch Event in Shenzhen. As part of the roadmap, the company will accelerate the growth of its “three networks”, the global warehouse network, express delivery network, and the air freight network.

The new initiative aims to scale the company’s global e-commerce omni-channel fulfillment services, build a “2-3 Day Delivery Circle”, expand express delivery service regions, and establish an international aerial network. These will enable highly-efficient global supply chain and logistics services for overseas clients, Chinese brands and cross-border merchants. At the event, JD Logistics also announced the launch of “Simplified Reverse Returns Service” and “Overseas Warehouse Bulky Item Delivery and Installation Service”.

JD Logistics plans to expand and open additional overseas warehouses in the next 12 months, increasing the total floor area by 100%. This will allow the company to continue to build on its reputation as a trusted supply chain infrastructure service provider with overseas warehouse business at the core of international expansion.

2-3 Day Delivery Circle Enabled by Overseas Warehousing and Delivery

Over the years, JD Logistics has implemented the philosophy of “placing goods as close to consumers as possible” through building a supply chain logistics network that helps clients and merchants achieve local stocking.

In 2025, JD Logistics will complete a “2-3 Day Delivery” service circle. This will enable clients and consumers in 19 countries to enjoy fast logistics service through JD Logistics’ more than 50 self-operated overseas warehouses. By that time, the total overseas warehouse floor area will achieve a 100% increase.

Currently, JD Logistics’ 2-3 Day Delivery is already offered in multiple countries including the U.S., the UK, France, Germany, Poland, the UAE, Japan, South Korea and Australia. In fact, some regions can now take advantage of one-day delivery services.

In 2025, JD Logistics will also accelerate the launch of new warehouses in Southeast Asia, Japan, South Korea, Middle East, Europe and Americas. With a highly efficient and collaborated supply chain, the “2-3 Day Delivery” service range will be further expanded in these regions.

Efficient Omni-channel Fulfillment Service for Global E-commerce

Leveraging extensive global logistics infrastructure and service network, JD Logistics provides clients with “Global E-commerce Omni-channel Fulfillment Service” that enables seamless multi-channel fulfillment with unified inventory.

JD Logistics also provides a full range of transportation services including sea freight, air freight, truck dispatch, and trailer services, and value-added services such as B2B/B2C shared warehousing, integrated forward and reverse logistics, bulky-item delivery and installation, and more.

Simplified Reverse Returns Service

To address challenges associated with after-sales processing, JD Logistics’ “Simplified Reverse Returns Service” will support returns from any ordering location, quality inspection for resale, and disposal or destruction of damaged items. The entire process can be completed within 72 hours, offering an extremely efficient and hassle-free solution.

Overseas Warehouse Bulky Item Delivery and Installation Service

JD Logistics has extensive experience in dealing with bulky-item’s delivery and installation. The “Overseas Warehouse Bulky Item Delivery and Installation” service will tackle common industry issues such as service separation, high damage rates, and limited-service resources. It offers diverse solutions for varied large-sized products, including doorstep delivery, integrated delivery and installation, supported by multi-channel truck dispatch resources.

Building the Global Supply Chain’s “Aerial Artery”

JD Logistics is also developing a “11668” global supply chain to facilitate cross-border logistics, forming an “Aerial Artery” that reaches the globe. It is consisted of:

1: One global air transportation hub in Wuhu Global Port.

1: One main base for JD Airlines in Nantong, Jiangsu province.

668: To build six regional air hubs, home and abroad, with 68 dedicated all-cargo air stations.

JD Express Delivers to Nearly 80 Countries and Regions

Since launching its international express delivery service in late 2023, JD Express has introduced two major products: “International Express” and “International Standard Express.” These services offer tailored solutions to meet the diverse needs of both merchants and consumers.

To date, JD Logistics’ international express delivery service has been extended to nearly 80 countries and regions, with the fastest delivery from China to European and North American countries being within only three days.

JD Logistics will accelerate the international business development and continue to establish an integrated supply chain logistics network that spans the globe, supporting cost reduction, greater efficiency, and high-quality development opportunities for businesses and industries.

(yuchuan.wang@jd.com)