Mar 12, 2020|
JD Uses 4 “Silver Bullets” to Help 34,000 Farmers
by Yuchuan Wang
Relying on its strength in supply chain, logistics and technology, in less than two weeks, from February 11th to February 23rd, JD.com has used four “silver bullets” to help sell 3,900 tons of agricultural products that risked becoming unsellable and help 34,386 farmer households develop their new channel online.
Silver Bullet 1 – Accurately matching demand and supply
By partnering with local media, JD helped efficiently collect and post production and procurement information for agricultural produce, accurately matching the demand and supply. In Sichuan province, JD collaborated with “The Cover” to open a green channel for Sichuan fresh produce and saw an increase of 60 times in sales. In Shaanxi province, JD partnered with “HSW.CN” to launch the green channel for local produce. Fourteen tons of local apples were sold in just two days.
Silver Bullet 2 – Investing core marketing resources
JD has announced several supportive policies that leverage its marketing resources to help merchants. Recently, JD announced its Spring Raindrop Plan, in which it would allocate RMB 1.5 billion in marketing resources to help unsellable products and merchants. JD Fresh launched the “National Fresh Produce Green Channel” to help farmers sell products through JD. JD’s Friend Shop group buying business for communities also provides an “instant sales” policy for suitable suppliers of unsellable fresh goods. 7FRESH offers express channel to procure from farmers.
Silver Bullet 3 – Live streaming from farms
Due to the epidemic, the flower market also suffered with wholesale markets suspended, supply cut off and florists temporarily closed. JD.com organized live streams to help growers attract customers. To date, millions of flowers have been sold through JD. Furthermore, 50 local government officials from around China have been hosts in JD’s studio as “anchors” selling their local products. As of now, nearly 1,600 sessions of live streams were held to help farmers sell products.
Silver Bullet 4 – Leveraging the cold chain logistics
JD’s cold chain has ensured the transportation of fresh produce. During the epidemic, JD has established additional dedicated transportation routes for farmers’ unsellable agricultural products to be delivered priority. The company has reduced warehousing and delivery fees and extended the payment period for merchants who use JD’s warehousing service. It has also provided discounts for 100 days for new merchants to use cold chain warehouses. JD is performing strict quality inspection to make sure to provide quality fresh products to its customers.