Sep 14, 2020|
JD Super and Nestlé Deepen Digital Cooperation to Precisely Target Consumers
by Hui Zhang
JD Super, JD.com’s online supermarket, has leveraged big data to deepen its cooperation with Nestlé in consumer operations and product innovation. Nestlé shared the results of this cooperation with a virtual audience during a press conference on September 8th as part of the 9.9 JD Super Festival to celebrate JD Super’s founding.
How to precisely target potential consumers and recommend the right products to them has always been an obstacle for brands to overcome during the marketing process. JD Super and Nestlé’s partnership is focused on this effort.
User Lifecycle
JD points to both new user growth and current user maintenance in terms of user growth. The company launched a series of innovative initiatives to achieve quality user growth, and worked together with Nestlé to attempt in a full lifecycle user operation in the coffee category to precisely determine the brand’s target customers. By analyzing the shopping behavior of current users, JD introduced the concept of user lifecycle, and divided current users into different periods, including introduction period, growth period, maturity period and decline/loss period. Through machine learning and quantitative analysis, JD has formulated the optimal matching of marketing channels and user benefits and interests to promote user growth and drive conversion rates at all stages in the user lifecycle.
For example, consumers who bought Nestlé coffee on JD.com more than four times within the most recent 180 days are allocated into the maturity period. Consumers who have purchased fewer than four times are the target consumers for Nestlé, and JD data has helped reveal that they favor coffee which is usually sweet or milky. Nestlé selected specific coffee products for JD.com based on this information and JD matched appropriate marketing channels and user benefits and interests to promote user growth and drive conversion rates. In June alone, the conversion rate of people who were reached through advertising is two times more than those who haven’t been reached. Following the user lifecycle operation effort, the number of users in each period has also changed for the better, with a 12.19% increase in the maturity period, a 14.54% increase in the high-potential period, and a 16.27% reduction in the loss period in June as compared with May.
C2M
In addition to user lifecycle operation, JD also used its Consumer-to-Manufacturer (C2M) to help the Nestlé bring products to JD that are more consistent with the e-commerce giant’s needs. Tea Coffee, which is one of the co-developed products, has seen an increase of 100% in sales from June 1-18th month-on-month.
“We used big data to help Nestlé find users precisely, not only promoting sales but also helping the brand better understand whom should they take into consideration in product innovation,” said Tianfang Wang, the sales manager responsible for the coffee business on JD.com.
JD.com and Nestlé also won a marketing award, the 11th Tiger Roar Award, for their online-offline marketing innovation. The Tiger Roar Award organized by Hooxiao.com focuses on China’s marketing forefront and provides enterprises with the most progressive marketing ideas.
Dec 20, 2024|
Dada NOW Receives “Leading Restaurant Empowerment Platform” Award at the 10th China Catering Innovation Conference
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 13, 2024|
JD.com Targets 5 Billion RMB with Chilean Product Partnership as 2024/25 Season Cherry Sales Launch
On December 12, JD Super, the supermarket division of JD.com (also known as JINGDONG), launched the Chilean Specialties Festival and kicked off 2024/25 Chilean cherry sales with the recent arrival of the first “Cherry Express” ship in China. In a ceremony attended by the Chilean Ambassador to China, H.E. Mr. Mauricio Hurtado, JD Super signed a strategic cooperation agreement with Chilean brands, aiming to achieve 5 billion RMB in sales of Chilean products, including cherries, wine, and salmon, over the next three years.
The sea-freight Chilean cherry sales launch event was officiated by Ambassador Hurtado, Chao Junwen, Secretary-General of the China Chamber of Commerce for Foodstuffs and Native Produce, and Juan Latife, General Manager of Garces Fruit China, Chile’s leading cherry exporter.
Through large-scale direct sourcing, JD’s procurement team has reduced the import costs of Chilean cherries, offering consumers prices that are approximately 15% lower than those on other e-commerce platforms for the same grade and size.
To ensure quality and proper grading, JD Super has introduced a caliper offering this season. Each box of cherries comes with a caliper that allows consumers to accurately grade the fruit and ensure they have received high-quality Chilean cherries.
Since late October, JD’s online channels and its 7Fresh omnichannel supermarket chain have been selling the season’s air-freight Chilean cherries. This product offering, which has been met with enthusiasm from Chinese consumers, is supported by JD’s extensive national cold-chain logistics network and instant delivery services that can deliver orders within 30 minutes, making it easy and affordable for users to enjoy the early batch of Chilean cherries.
“This large-scale procurement cooperation will allow JD Super to continue leveraging our strong supply chain capabilities and work closely with Chilean partners to offer a wider variety of Chilean products at competitive prices and services to Chinese consumers,” said a spokesperson of JD Super.
(vivian.yang@jd.com)
JDer Lab #3 with Zachary Gidwitz: Freedom to Dream and go after Bold Ideas at Work
