Mar 28, 2021|
JD.ID CMO: Five Years On, JD.ID Laser Focused on Quality and Service
by Ella Kidron
JD.ID, JD.com’s joint venture in Indonesia, celebrated its fifth anniversary on Mar. 28. To mark the occasion, the company’s CMO, Leo Haryono, spoke with the founder of Alarice and ChoZan and LinkedIn influencer, Ashley Dudarenok, about the company’s journey since 2016, consumer trends in Indonesia, and what to expect from JD.ID going forward.
“Before the [COVID-19] pandemic, people would mainly buy online because of a big discount, or because the product is something they don’t get in the supermarket,” said Haryono. In this pandemic, shopping behavior has become ‘online first’. People care about their safety, and purchase behavior for products like groceries has shifted online.
“In addition to groceries, the 3C category (computers, communication, and consumer electronics) has remained a top seller for JD.ID. “It’s exciting that they trust JD with these high-ticket items.” Furthermore, as people are spending more time at home, gaming has boomed under the impact of COVID-19, creating significant demand for gaming equipment and accessories.
According to Haryono, a few things make the Indonesian e-commerce market particularly unique: deep smart phone penetration and young customers. Indonesia is a very young country, which means consumers are open and eager to try new technology.
In addition to ‘online first,’ another trend is that people are purchasing more items and with increased frequency. The average spend per purchaser has increased by up to 50% YOY at JD.ID as of the end of 2020 .
Dudarenok noted the healthy balance of international and domestic brands in JD.com’s operations in China. As for Indonesia, Haryono mentioned a “great balance of global brands, local brands.” JD.ID supports government initiatives to enable Indonesian SMEs to participate more actively in the economy, meaning a wide variety of niche local products is also available on the platform.
What sets JD.ID apart from others in the market is the #DijaminOri tagline, which means “authenticity guaranteed” in English. “#DijaminOri is something we used when we started the business five years ago. We coined the term. If you ask people what they think of JD.ID in the local market, they will speak to #DijaminOri,” said Haryono.
The early commitment to authenticity has also served to educate the market and cultivate consumers who highly value product quality and service, in both the shopping experience and delivery. “Our primary focus is to bring a joyous shopping experience to customers. We learn from the success of JD.com in China and bring that to Indonesia. But at the same time, we tailor our method to the local market.” This deliberate decision has enabled the company to achieve nearly 100% of orders in Jakarta, Bogor, Depok, Tangerang, and Bekasi delivered in 24 hours, and 85% of orders nationwide fulfilled in 24 hours, even though Indonesia has tons of islands.
The approach has paid off. The number of people who registered on JD.ID in 2020 was nearly 40 times higher than in 2016 when JD.ID was getting started. Orders are up to 50 times in the same period. Daily active users are also approximately 15 times higher. “Daily app downloads have increased 10 times since 2016. This is encouraging,” said Haryono. JD.ID supplies a wide range of products from home electronics, apparel, audio, furniture, games, and many more.
Looking to the next five years, high quality, authenticity, vast product selection, and customer service remain top priorities for JD.ID. The company is an early mover in Indonesia’s O2O (online to offline) market. Haryono stressed that enabling consumers to buy anything at any time is a key aspect of providing top-notch service.
“There may be this perception that Indonesian consumers want to go for bulk or cheaper products with e-commerce, not quality or authenticity, but JD.ID being there in the market and to see that they are thriving in Indonesia proves this wrong,” said Dudarenok. “At the end of the day, quality and authenticity always win.”
According to Haryono, the level of service JD.ID provides is the bottom line in what an e-commerce experience should offer. “For customers to keep coming back, you have to work on these basics. This is what they want.”
View the whole discussion here
View a snapshot of JD.ID’s five years of milestones here
To learn more about working with JD.ID in Indonesia, please contact:
Adhi Pratama
Senior Media Relations Manager JD.ID
Nov 7, 2024|
CIIE 2024: JD.com to Expand Imports of Specialty Brands, Strengthen Healthcare Partnerships, and Enhance Logistics
At the 7th China International Import Expo (CIIE) on November 5, JD Super, the supermarket division of JD.com, announced a major initiative to broaden its selection of imported specialty. Over the next three years, JD Super plans to introduce over 1,000 new international brands to meet the increasing demand for high-quality, diverse imported goods.
Meeting the Growing Demand for Quality Imports
According to JD Worldwide’s “White Paper on 2024 China Cross-Border Consumption Trends,” more than 80% of Chinese consumers are interested in imported products, with many prioritizing authenticity, quality, and fast delivery. In response, JD has significantly expanded its range of international offerings. During the ongoing Singles’ Day Grand Promotion, sales of cross-border products have surged, with more than 600 brands experiencing a sales increase of over 100% compared to last year.
Strengthening High-Quality Food Partnerships
Demonstrating JD.com’s commitment to sourcing high-quality products, JD Super signed a new procurement agreement at CIIE with Huadong Foods and Teys, a major Australian beef brand under Cargill. Under this agreement, JD Super and Huadong Foods will procure $50 million of Teys beef throughout 2025. This partnership underscores JD’s strategy of collaborating with trusted suppliers to provide high-quality, affordable beef to Chinese consumers.
Delivering Authentic Global Goods Efficiently
JD Logistics has built a robust logistics network that spans bonded, direct mail, and overseas warehouses, facilitating fast deliveries of imported items across categories such as electronics, fashion, beauty, food, and baby products. In many major cities, delivery times have been reduced to under 48 hours.
For instance, JD Super’s partnership with Raub of Malaysia enables the import of Musang King durians, which are harvested at peak ripeness and air-shipped with cold chain logistics for delivery within 24 hours. Additionally, JD.com also secured an early supply of Chilean cherries, available since October, which can be delivered in as little as 30 minutes in many areas through JD NOW, its on-demand retail service.
JD.com’s “JD National Pavilions” program, which features over 150 country-themed flagship stores from more than 70 countries and regions, continues to be a cornerstone of its import strategy. Supported by embassies and reputable organizations, this initiative offers Chinese consumers access to premium products and cultural experiences from around the world. In April, JD launched the JD National Pavilion of Mali, introducing popular items like shea butter and garnering over 40,000 followers.
Expanding Healthcare and Logistics Partnerships
JD Health is also making strides at CIIE by strengthening partnerships with leading global healthcare companies, including Merck, Bayer, and Roche. As “China’s premier online health access point,” JD Health is committed to integrating digital and physical healthcare resources to improve access and convenience for patients.
Key collaborations include initiatives with Haleon to promote brain health and anti-aging for the “silver economy,” with MSD China on a digital diabetes management model, and with Teva Pharmaceuticals to provide patient education for conditions such as tardive dyskinesia (TD) and Huntington’s disease (HD).
On the logistics front, JD Logistics announced plans to double its overseas warehouse space by 2025 and expand its network of bonded and direct mail warehouses. JD Express now serves over 60 countries, enhancing cross-border delivery efficiency and supporting both brands and consumers.
Through these efforts, JD.com reaffirms its commitment to sourcing and delivering authentic, high-quality imported products to Chinese consumers, supported by an advanced supply chain that ensures a superior shopping experience.
(vivian.yang@jd.com)
JD.com to Adopt Green Power in its Asia No.1 Logistics Parks
