Apr 27, 2021|

JD Health Partners with UCB in Medicine Distribution


by Hui Zhang

Leading global biopharmaceutical company Union Chimique Belge (UCB) signed an agreement on Apr. 21 with JD Health and Keyuan Trade, a subsidiary of Shanghai Pharma, which is the second largest pharmaceutical group in China.

The agreement authorizes the two companies to become exclusive agents in China for UCB’s Cetirizine Dihydrochloride tablets for the treatment of allergic disorders, with JD Health serving the pharmaceutical end of the business, and Keyuan Trade mainly serving the company’s in-hospital market.

Cetirizine Dihydrochloride Tablets

The agreement marks the first time JD Health will be working as an exclusive agent for a pharmaceutical company to undertake all the company’s online pharmaceutical distribution business and its offline pharmaceutical distribution business; and represents a recognition of JD Health’s pharmaceutical distribution capabilities from the whole industry.

From left to right: Enlin Jin, vice president of JD Health and general manager of the company’s medicine business; Xin Wu, general manager of UCB China; Chenxi Chu, general manager of Keyuan Xinhai (Beijing) Medical Products Trade Company.

According to official data last released in 2019, sales of anti-allergy drugs in the Chinese market have exceeded RMB 6.5 billion yuan, with a year-on-year growth rate of 5%, of which public hospitals (i.e., in-hospital channel), and pharmacies together with other retail terminals (i.e., out-of-hospital channel) each accounted for 50%. Therefore, UCB has been looking forward to finding a partner to assist its sales across all channels.

Through the cooperation, JD Health will rely on its omni-channel resources, including its online pharmaceutical business, JD Pharmacy, and its offline medicine procurement platform, JD Medicine Procurement, to facilitate UCB medicine distribution both online and offline. As of the end of 2020, JD Medicine Procurement has cooperation with more than 230,000 retail outlets across China.

In addition, leveraging JD’s technology and big data, JD Health will help the brand to target a broader consumer base and effectively match consumers with products. Thanks to JD Health’s telemedicine services and a professional team of physicians, JD Health will help the brand to provide one-stop services, including online consultation, follow-up prescriptions and delivery services.

“We will take our cooperation with UCB as a starting point to continue strengthening our service capability in the pharmaceutical distribution field and join hands with more pharmaceutical companies to enhance the accessibility of quality drugs,” said Enlin Jin, vice president of JD Health and general manager of the company’s medicine business.