Oct 31, 2020|
JD Sees 85.5% Growth during Pre-Sales
by Ella Kidron
O&O Consulting, a monitoring and research institution specializing in e-commerce big data released a pre-sales report on Singles Day covering the whole Chinese market from October 21st to 28th. According to the data, nearly 140 million items were sold during the pre-sales period, an increase of over 42.3% from the same period last year, of which JD’s figure increased by 85.5%.
The report highlights JD’s focus on quality-driven pre-sales, as opposed to a pure focus on price. It cites the fact that goods worth more than RMB 1,000 yuan accounted for 48.3% of JD’s pre-sales.
Furthermore, “rigid demand” categories have continued to shine on the platform. Pre-sales of medicine and health care on JD increased by 378% YOY, while home furnishings increased by 79.3%. One of the reasons cited for the increase is people’s yearning for a sense of security and stability after a very tumultuous start to 2020. During the pre-sales, home appliances, computer and office supplies, maternal and child, medical and health care and other categories saw growth of over 100% YOY, indicating that after the epidemic consumer demand to “settle down” has become more important.
Separately, according to JD’s own big data, from October 21st-29th advanced orders for health equipment, Chinese and western medicine, and traditional nourishment on JD’s platform increased more than 10 times compared with the same period last year. Orders for fitness and exercise equipment increased more than three times, while health-conscious small home appliances increased four times YOY.
In terms of key sub-categories such as computers, electrical appliances and home furnishing, JD’s pre-sale volume of mid and high-end goods exceeded peers, especially in the home decoration category. JD has been able to win the trust of consumers in this category through strict quality control, fast logistics, and special service.
O&O data finds that consumers have a tendency to turn to JD for purchases in the durable consumer categories such as large household appliances, computers, and household appliances, with the platform making up 62.7%, 82.6% and 82.7% of pre-orders respectively by category.
The report points out that the consumption upgrade from a quality perspective has helped drive the rapid recovery of the consumer economy. However, while the National Holiday and Mid-Autumn Festival in October contributed to the recovery of consumption, there is still improvement to be made. Therefore, the Singles Day shopping festival this year has taken on a new significance in terms of its role in continuing to boost the economy. JD has launched a series of measures to ensure consumers a quality-driven, convenient and enjoyable Singles Day.