Sep 16, 2020|
JD Shares Case Studies on Retail Trends with Brazilian Executives
by Ella Kidron
JD.com attended an online panel during the Global Retail Show, a large retail event heavily attended by Brazilian executives, to discuss China retail trends and provide practical case studies from JD’s business.
The Global Retail Show aims to promote the debate between players and peers in the retail space throughout their experiences, strategies and ideas. The event, held from September 13-19, promotes a total of 150 hours of content, with curators from 12 countries inviting leaders of different segments, resulting in a team of 267 speakers. It is usually held in Brazil but under COVID-19 was held entirely online this year.
The panel was organized by top Brazilian business school Fundação Dom Cabra (FDC) and Cheung Kong Graduate School of Business (CKGSB). Rodrigo Zeidan, Associate Professor of Practice of Business and Finance at NYU Shanghai and Visiting Professor at FDC, as well as Dr. Yang Li, Associate Professor of Marketing at CKGSB. Mary Wadsworth Darby, Chief Representative of CKGSB Americas, moderated the discussion.
As the only representative from a retailer on the panel, JD’s presentation focused on how innovations in retail are applied throughout the business to improve the customer experience and help brand partners and merchants in the market. The sharing focused on four areas, omnichannel, customization, consumption of services and interactive forms of consumption such as AR/VR and livestreaming.
In omnichannel, the emphasis was on providing a consistent shopping experience across different shopping formats and giving brands and merchants insights into how their consumers behave offline, as well as online, while the section on customization focused on how matching supply and demand from the consumption and production ends can ensure more satisfaction throughout the entire retail process. The trends shared can be summarized in a few words – consistency of experience, customization and interactivity.
Slide from JD.com’s panel discussion sharing
Rodrigo Zeidan opened the discussion with an overview of China’s economy. “We overestimate China in the short run and underestimate it in the long run.” He added: “Everyone is enamored by the scale and size of China,” referring to the double digit growth of the last 40 years. “But they underestimate China in the long run… the success of China is going to be earth shattering 20 years from now, much more than it is today.” He went on to explain that the total GDP per employed person in China is now 20% of that of the U.S., but if we assume 5.5% growth for the next 30 years, while the American economy grows at 2.5% per year, labor productivity of China could hit U.S. levels in 2048. “The Chinese economy has so much space to grow…The retail sector is going to explode – it’s already doing that”
Yang Li used the different components Chinese translation of the word “internet”, hulianwang (互联网) to explain the current trends in today’s internet: Connectivity (lian 联), Network (wang 网) and Social (互). In terms of connectivity, Li focused on lowering the cost of connectivity, doing between e-commerce and online advertising and online-to-offline integration. As for network, he explained that today’s network is very diverse. Many people are connected and control their own usage of the Internet and their time. This is one of the reasons that information can go viral. Li also explained how the internet celebrity trend has also emerged from this network diversity.
Finally, in sociability, Li referred to how the social networks built by WeChat and other players is “smaller, but more genuine”. The trust of the social network has also played an integral role in some aspects of e-commerce. He mentioned how Tencent makes money not on WeChat, as Facebook would through advertising, but rather through the programs built on WeChat. He referenced JD.com as one of the mini-programs accessible through WeChat thanks to JD’s strategic partnership with Tencent.
The Global Retail Show panel hosted by FDC and CKGSB, attended by JD.com and CKGSB speakers
Apr 29, 2024|
JD.com Teams Up with Brands to Launch “Trade-in Alliance for Household Appliances and Home Goods”
JD.com recently announced the “Trade-in Alliance for Household Appliances and Home Goods” in collaboration with over 100 renowned brands. This initiative, unveiled on April 27, aims to expand and enhance trade-in services across China and has already been successfully implemented in 20 provinces and cities.
The Trade-in Alliance allows consumers to access JD’s trade-in services for an extensive range of products, covering over 200 subcategories including TVs, refrigerators, washing machines, air conditioners, and more. The initiative caters to a growing demand, with more than 16 million users leveraging JD’s platform since 2023 to exchange their old household items for new ones. This represents a 200 percent increase in first-time users year-on-year.
To further enhance the customer experience, JD.com has introduced the “Three Free & Four Unlimited” trade-in service. This service includes complimentary door-to-door pickup, disassembly, and handling of old goods. Additionally, it places no restrictions on the trade-in items regarding their original purchase channel, brand, age, or condition. With just four simple clicks on the JD app, users can receive generous discounts from their old goods and enjoy the convenience of JD’s one-stop trade-in services.
JD.com also utilizes its logistical strengths to extend these services to even the most remote areas of China. For instance, customers living in Tibet at an elevation of 4,300 meters can now easily access JD’s trade-in options, including doorstep delivery and recycling of old appliances.
The Trade-in Alliance is built on six foundational pillars: service capabilities, brand support, marketing initiatives, industry chain synergies, omni-channel development, and category cooperation. By fostering closer partnerships with leading brands in the household appliance and home goods sectors, JD.com is setting a new standard for hassle-free trade-in services, offering unparalleled convenience and value to consumers nationwide.
Apr 22, 2024|
JD.com Debuts AI Digital Representative of Founder Richard Liu During Livestream, Drawing 20 Million Views in Under One Hour
During a livestream on April 16th, JD.com introduced an AI digital representative of its founder, Richard Liu (Qiangdong Liu), nicknamed “procurement and sales manager Brother Dong (采销东哥).” Liu appeared in both JD Home Appliances and JD Supermarket’s livestreaming rooms, attracting over 20 million views within the first hour and generating RMB 50 million in sales throughout the entire livestream.
The digital representative almost perfectly replicates Liu’s facial expressions, body language, gestures, and voice, capturing even the subtlest movements of his fingers. Behind this technology is JD Cloud’s ChatRhino, an advanced large language model (LLM) that brings the avatar to life.
Behind the Technology
The LLM precisely mirrors Liu’s distinctive expressions and movements, naturally weaving in his occasional finger twiddles while he speaks, accentuating points with hand gestures, and adding nods at just the right moments for emphasis, creating a natural and authentic representation. Perfecting the voice proved to be a greater challenge. Those who have heard Liu speak are well-acquainted with the distinct inflections of his Suqian accent—a characteristic touch from his small-town roots in Jiangsu province. Observers will note the brisk pace of his speech, lighter enunciation, and his tendency to meld words in a seamless flow. His “sh” sounds carry a nasal quality, and he often addresses people as “brothers” to boost morale.
While programming the standard Mandarin dialect is relatively straightforward, teaching the AI to adopt the nuances of the Suqian dialect and Liu’s unique vocal patterns required a precise level of customization from the ChatRhino LLM. For example, the LLM had to provide accurate judgments on when to introduce the nasal tonality or the specific moments to merge words, ensuring the AI’s linguistic output mirrored Liu’s signature speaking style authentically.
Beyond replicating vocal characteristics, the AI’s voice must also be suitable for the casual, dynamic atmosphere of e-commerce livestreaming, such as adopting colloquialisms like “xiong di men” — a phrase comparable to “folks” or “guys” in English — to create a friendly rapport with the audience. JD Cloud’s ChatRhino team fine-tuned the model to focus on sociable nuances. The initial dataset for the LLM consisted predominantly of Liu’s formal speeches—spirited and compelling, yet too ceremonious for the interactive world of livestreaming. To cultivate a more congenial and approachable persona, the team utilized Liu’s recent casual conversations as the primary source material, rich with personal anecdotes and travel tales. This approach shaped the AI’s voice into one that is that is not only natural and approachable but also genuinely engaging for the end user.
As a fully self-developed technology product of JD Cloud, the ChatRhino Digital Representative solution has already served over 4,000 brand merchants, contributing to a 30% increase in order conversion rate during idle hours and helping merchants reduce livestreaming costs, enhance operational efficiency, and optimize user experience. Equipped with 50,000 hours of voice data, this technology enables digital representatives to intelligently adapt to various livestreaming styles dynamically.
The AI is also adept at managing 70% of routine live chat inquiries autonomously without any manual intervention, while also optimizing its responses with a self-improving algorithm. For instance, digital representatives can autonomously fields questions using product details and scripts, and post-livestream, and assimilate new information. Mirroring the acumen of seasoned sales professionals, it boasts a 90% accuracy rate in offering tailored product recommendations when solicited by customers.
The recent introduction of a cutting-edge livestream control console serves as the “brain” for the digital representative solution. It diligently monitors real-time inventory, adjusting the showcased products in the livestream and tailoring the script to ensure relevance—sidestepping items that are out of stock and spotlighting those in high demand. It also gauges and fine-tunes the frequency and style of interactions based on live audience engagement. With this advanced platform, businesses managing multiple livestreams can effortlessly operate thousands of sessions concurrently via cloud services, bypassing the need for intricate local setups. This innovation yields a substantial cost reduction of 30%.
Human-Machine Synergy
The intention behind digital avatars is not to outshine or compete with human talent but to harness the potential of technology to work in concert with livestreamers, maximizing overall growth. Essentially, the digital representative solution serves as a tool for brands and merchants to leverage long-tail traffic once real livestreamers conclude their broadcasts. JD’s analytics indicate this strategy can boost order conversion rates by 30% during off-peak hours, such as late into the night.
Digital representatives also excel in specific product categories that require detailed explanations, such as health products like nursing beds, electric wheelchairs, and oxygen concentrators. The solution can provide constant, round-the-clock guidance, adding substantial value to livestreams when traffic is typically lower.
Last week, JD.com announced an investment of one billion yuan into video content creation. This investment underscores JD’s commitment to leveraging the power of short videos and livestreams to transform the online shopping experience for its users and create new growth avenues for brand merchants.
Leading UK Baby Food Brand Signs Cooperation Agreement with JD.com
