- Dec 10, 2020
- Business Update
JD’s Service Brings Peace of Mind to Mobile Phone Consumers
by Hui Zhang
International Data Corporation (IDC), a premier global provider of market intelligence, forecasted that mobile phone shipments during the fourth quarter in 2020 are expected to increase by 2.4% YOY to 377.7 million units, and the trend is expected to continue in 2021 with annual growth of 4.4%. JD.com, as a platform that can provide various of services to guarantee the customer experience, is gaining more and more attention from young people who attach great value to services.
As people born after 1980 and 1990 have gradually become the major consumers of mobile phones, they have rich experience in electronics consumption and have gradually changed from price sensitive to paying more attention to customer experience.
Leveraging its supply chain advantage and years of experience in the mobile phone market, JD.com has partnered with mobile phone manufactures, and carriers to provide consumers with services that cover the entire lifecycle of mobile phones. JD has 43 different services including 30-day worry-free refund, 1.2 times price guarantee, 1-hour delivery guarantee, trade in, and interest-free financial services.
For instance，the “1.2 times price guarantee” solves the predicament of consumers who are worried about the price reduction of cell phones right after purchase. This means that, for example, if a customer buys a phone for RMB 1000 yuan, and then discovers the price has dropped to 800, the customer can apply for a refund of 1.2 times the price difference (1.2*200=240). The 30-day hassle-free refund allows consumers to have a sufficient amount of time to trial products and the 1-hour delivery guarantee appeals to consumers with urgent demands.
Premium services have brought positive sales results to JD.com. According to the company’s data, the number of consumers who have changed to new mobile phones through trade-in services increased by 442% YOY, and the number of new users who chose to enjoy one-hour delivery service increased by 400% YOY.