Sep 4, 2020|
One Man Opened Two JD Convenience Stores in Beijing in One Year, Breaking Unfavorable Obstacles
by Ling Cao
Many people think Beijing is not a fertile land to develop convenience stores, while by cooperation with JD, Jianxing Fang, who is affectionately nicknamed “Lao Fang”, has opened two in just one year, breaking the unfavorable obstacles, such as the winter is too long in Beijing and people are intended to stay at home, and Beijing has too many gated communities which are not easy for convenience stores to penetrate. Fang’s successful story showed great potential for people to open more convenience stores in Beijing.
Lao Fang
Trying very hard to overcome all those difficulties, Lao Fang started in 2000, when he and his little brother came from Fujian province to Beijing, to search for business opportunities. They worked at offline cellphone stores for three years, until SARS caused many of the stores to close. Lao Fang seized the opportunity to open up his own cellphone stores after the pandemic, but the disease also changed the whole consumption landscape, and more and more customers prefer to shop online.
Night scene of Xidan
“Under the condition of providing the same level of service, our price couldn’t be lower than online stores.” Lao Fang said. During that time, he considered whether it was possible to combine online and offline business. At the same time, JD is considering how to leverage its online capabilities to help offline convenience stores transform their business model to a smart and innovative one. Lao Fang spoke with the convenience store team under JD New Markets, the B2B2C platform supplying mom-and-pop stores under JD.com, and finally decided to enter the convenience store business. He has opened two convenient stores in Xidan district, a popular business area to the west of Tiananmen with similar fame of Wangfujing.
“JD is famous for providing high quality and authentic products to customers. The company also provides strong support in sales channel, logistics, and big data. What they provide is not only a store operation plan, but a business plan based on customer profile.” Lao Fang shared why he chose to partner with JD. Although he doesn’t have convenience store operations experience, he believes that JD can provide the most professional support and service to him.
Lao Fang’s first JD convenience store
JD’s convenient store team was involved in the entire set up process for Lao Fang’s two stores, from location evaluation based on big data, decoration and layout, product selection and new technologies such as smart store management, as well as an automated checkout system. The second store differs from the first one in that the store has included Lao Fang’s former cellphone business, as well as a milk tea making area.
Colorful products in Lao Fang’s store
Local residents can bring their watches or small appliances to the store for maintenance. Lao Fang even helped an elderly repair the sewerage system at their home.
“We can only provide improved service by focusing on customers’ real demand. JD convenience store works as a way to connect online and offline business.” Lao Fang added.
The store also has seen good sales performance. The first store is only dozens of square meters, while the maximum daily sales reached nearly RMB 40,000 yuan.
“JD is doing long-term business. The company’s business philosophy and core values are similar to my view of “customer first.” Fang said, “While Xidan is one of Beijing’s ID cards, I hope my two stores can be served as ID card of Xidan.”
Nov 7, 2024|
CIIE 2024: JD.com to Expand Imports of Specialty Brands, Strengthen Healthcare Partnerships, and Enhance Logistics
At the 7th China International Import Expo (CIIE) on November 5, JD Super, the supermarket division of JD.com, announced a major initiative to broaden its selection of imported specialty. Over the next three years, JD Super plans to introduce over 1,000 new international brands to meet the increasing demand for high-quality, diverse imported goods.
Meeting the Growing Demand for Quality Imports
According to JD Worldwide’s “White Paper on 2024 China Cross-Border Consumption Trends,” more than 80% of Chinese consumers are interested in imported products, with many prioritizing authenticity, quality, and fast delivery. In response, JD has significantly expanded its range of international offerings. During the ongoing Singles’ Day Grand Promotion, sales of cross-border products have surged, with more than 600 brands experiencing a sales increase of over 100% compared to last year.
Strengthening High-Quality Food Partnerships
Demonstrating JD.com’s commitment to sourcing high-quality products, JD Super signed a new procurement agreement at CIIE with Huadong Foods and Teys, a major Australian beef brand under Cargill. Under this agreement, JD Super and Huadong Foods will procure $50 million of Teys beef throughout 2025. This partnership underscores JD’s strategy of collaborating with trusted suppliers to provide high-quality, affordable beef to Chinese consumers.
Delivering Authentic Global Goods Efficiently
JD Logistics has built a robust logistics network that spans bonded, direct mail, and overseas warehouses, facilitating fast deliveries of imported items across categories such as electronics, fashion, beauty, food, and baby products. In many major cities, delivery times have been reduced to under 48 hours.
For instance, JD Super’s partnership with Raub of Malaysia enables the import of Musang King durians, which are harvested at peak ripeness and air-shipped with cold chain logistics for delivery within 24 hours. Additionally, JD.com also secured an early supply of Chilean cherries, available since October, which can be delivered in as little as 30 minutes in many areas through JD NOW, its on-demand retail service.
JD.com’s “JD National Pavilions” program, which features over 150 country-themed flagship stores from more than 70 countries and regions, continues to be a cornerstone of its import strategy. Supported by embassies and reputable organizations, this initiative offers Chinese consumers access to premium products and cultural experiences from around the world. In April, JD launched the JD National Pavilion of Mali, introducing popular items like shea butter and garnering over 40,000 followers.
Expanding Healthcare and Logistics Partnerships
JD Health is also making strides at CIIE by strengthening partnerships with leading global healthcare companies, including Merck, Bayer, and Roche. As “China’s premier online health access point,” JD Health is committed to integrating digital and physical healthcare resources to improve access and convenience for patients.
Key collaborations include initiatives with Haleon to promote brain health and anti-aging for the “silver economy,” with MSD China on a digital diabetes management model, and with Teva Pharmaceuticals to provide patient education for conditions such as tardive dyskinesia (TD) and Huntington’s disease (HD).
On the logistics front, JD Logistics announced plans to double its overseas warehouse space by 2025 and expand its network of bonded and direct mail warehouses. JD Express now serves over 60 countries, enhancing cross-border delivery efficiency and supporting both brands and consumers.
Through these efforts, JD.com reaffirms its commitment to sourcing and delivering authentic, high-quality imported products to Chinese consumers, supported by an advanced supply chain that ensures a superior shopping experience.
(vivian.yang@jd.com)
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