JD Courier Awarded the Highest Honor for Chinese Workers

by Yuchuan Wang

Ming Luo, a JD courier aged 31, was conferred the “medal of model worker” by the All-China Federation of Trade Unions on Apr. 27. He is one of the 1,197 individuals awarded the highest honor for Chinese workers ahead of International Labor Day on May 1. Luo is second recipient of this medal in JD. Mr. Xuewen Song, a JD courier in Beijing, won same honor in 2017.

“As an ordinary courier, I’m excited to receive such a high honor,” said Luo. “It’s a valuable experience for me to be recognized.”

Ming Luo, JD courier

Luo has delivered and collected over 200,000 parcels since he joined JD in 2016. He now works in a JD delivery station in Hanzhong, Shaanxi province, and is responsible for delivery to a few shopping malls and residential compounds in the area.

Luo is a man of few words, but a master of various skills. In 2019, he won first place in the Shaanxi Post Industry Skill Competition, in which he competed with over 60 of his peers on skills involving speed and dexterity. One of Luo’s skills is that glass goblets packed by him stay intact even after falling from a height of two meters.

His ability to ensure that parcels arrive undamaged has been described by clients as being “like magic,” with clients often requesting that he be assigned to deliver special packages. In 2020, he was named one of the “Most Beautiful Couriers” of Hangzhong, a title meant to honor couriers for beauty in spirit.

Luo knows every corner of Hanzhong, and is familiar with his many customers’ working hours so that he can arrange delivery tailored to their needs. Even during the height of COVID-19, he ensured the timely delivery of daily necessities to numerous customers. His earnest attitude and professionalism have earned trust and consideration from customers. One customer showed their appreciation for him: “She gave me a package of masks when COVID-19 was serious in China last year and I was deeply moved,” Luo recalled.

According to the State Post Bureau, China has over 4 million couriers. As a representative of this essential group, Luo has proved that even the most common job can generate great value to people and society.

 

(yuchuan.wang@jd.com)

JD Health Partners with UCB in Medicine Distribution

by Hui Zhang

Leading global biopharmaceutical company Union Chimique Belge (UCB) signed an agreement on Apr. 21 with JD Health and Keyuan Trade, a subsidiary of Shanghai Pharma, which is the second largest pharmaceutical group in China.

The agreement authorizes the two companies to become exclusive agents in China for UCB’s Cetirizine Dihydrochloride tablets for the treatment of allergic disorders, with JD Health serving the pharmaceutical end of the business, and Keyuan Trade mainly serving the company’s in-hospital market.

Cetirizine Dihydrochloride Tablets

Cetirizine Dihydrochloride Tablets

The agreement marks the first time JD Health will be working as an exclusive agent for a pharmaceutical company to undertake all the company’s online pharmaceutical distribution business and its offline pharmaceutical distribution business; and represents a recognition of JD Health’s pharmaceutical distribution capabilities from the whole industry.

From left to right: Enlin Jin, vice president of JD Health and general manager of the company’s medicine business; Xin Wu, general manager of UCB China; Chenxi Chu, general manager of Keyuan Xinhai (Beijing) Medical Products Trade Company.

From left to right: Enlin Jin, vice president of JD Health and general manager of the company’s medicine business; Xin Wu, general manager of UCB China; Chenxi Chu, general manager of Keyuan Xinhai (Beijing) Medical Products Trade Company.

According to official data last released in 2019, sales of anti-allergy drugs in the Chinese market have exceeded RMB 6.5 billion yuan, with a year-on-year growth rate of 5%, of which public hospitals (i.e., in-hospital channel), and pharmacies together with other retail terminals (i.e., out-of-hospital channel) each accounted for 50%. Therefore, UCB has been looking forward to finding a partner to assist its sales across all channels.

Through the cooperation, JD Health will rely on its omni-channel resources, including its online pharmaceutical business, JD Pharmacy, and its offline medicine procurement platform, JD Medicine Procurement, to facilitate UCB medicine distribution both online and offline. As of the end of 2020, JD Medicine Procurement has cooperation with more than 230,000 retail outlets across China.

In addition, leveraging JD’s technology and big data, JD Health will help the brand to target a broader consumer base and effectively match consumers with products. Thanks to JD Health’s telemedicine services and a professional team of physicians, JD Health will help the brand to provide one-stop services, including online consultation, follow-up prescriptions and delivery services.

“We will take our cooperation with UCB as a starting point to continue strengthening our service capability in the pharmaceutical distribution field and join hands with more pharmaceutical companies to enhance the accessibility of quality drugs,” said Enlin Jin, vice president of JD Health and general manager of the company’s medicine business.

 

(zhanghui36@jd.com)

JD Tests DC/EP Payroll Payment

by Ling Cao

At the ongoing fourth Digital China Summit held in Fuzhou, Fujian province during Apr. 25 to 26, JD Technology is participating in the DC/EP (Digital Currency/Electronic Payment) achievements show, and announced that it is expanding the application of DC/EP to payroll payment to some of its employees.

In a test run that started in January, JD used the solution for payroll payment for some of its employees who are based in Shanghai, Shenzhen, Chengdu, Changsha and Xi’an. Employees can transfer the digital RMB to their regular personal bank accounts, or use it directly to make purchases via selected offline stores or JD’s online platform. The program is the result of cooperation between JD Technology, which provides technology services to the trial, and Industrial and Commercial Bank of China (ICBC), which is one of the operation institutions for DC/EP programs.

This payroll program improves efficiency for the payment process, especially when there is a need to pay multiple entities or transferring to other banks.

A representative from the payroll department at JD Technology said, “The process is similar to paying by cash, and employees will receive the fund immediately, helping us to improve the process.”

A representative from ICBC shared, “We have upgraded our previous payroll payment system to build the DC/EP wallet system for enterprises and individuals, making the cross-institution payroll payment solutions possible. Going forward, we will continue to work as operation institutions, and connect with other players including JD Technology, to help the Digital Currency Institute under The People’s Bank of China complete the service and circulation system for DC/EP.”

Since cooperating with the Digital Currency Institute under The People’s Bank of China, China’s central bank, in Sep. 2020, JD has provided technology and service support for DC/EP trial programs in Suzhou, Beijing and Chengdu.

 

(ling.cao@jd.com)

Sales of Child Safety Seats Rise on JD

by Rachel Liu

International child safety seat brands and high-end products are getting more popular on JD, said a sales manager from JD today.

In China, concern for children’s safety on the roads is rising. JD Super, JD’s online supermarket will work with brand partners to increase the market penetration of child safety seats especially in lower tier cities in China, providing more diversified products to better protect children’s safety.

The China Child Safety Seats Industry White Paper released by JD Super, China Certification Center for Automotive Products, and Hubei Daily Media Group on Apr. 16 shows that the market size of Child Safety Seats will reach hundreds of billions of RMB. The current penetration rate of child safety seats in China is far below that of developed countries. According to the white paper, the child safety seats industry in China will increase 10-20 times in the next five to 10 years.

Sales of the safety seats category on JD grew 86.6% YOY during 2019 and 91.6% during Q1 2021, with a slight dip in 2020 due to COVID-19. The most important factors that impact customers’ shopping decisions when buying safety seats are safety, price and easy installation, according to the white paper. Most of the customers prefer to choose well-known brands.

“British brand Britax is the best-selling brand among child safety seat brands on JD. Cybes and osann from Germany, and Maxi Cosi from Holland are also among Top 10 brands,” said the JD sales manager. “Another interesting trend that we saw is that demand from customers from lower-tier markets is increasing. Sales of child safety seats by customers in sixth-tier cities ranked No.3 on JD.”

JD is continuously introducing more child safety seat brands to the platform, and sales of the products have seen double digit increases every year.

 

(liuchang61@jd.com)

JD Health Partners with Shanxi to Improve Local Mental Health Services

by Hui Zhang

JD Health announced on April 24 that it will cooperate with the Psychiatric Specialist Alliance of Shanxi Province , to improve local mental illness services and bring more psychological specialists to JD Health. Set up by the province’s health commission, the cooperation promises to give full play to the advantages of both sides, such as technology, platform capability and medical resources.

“So far, JD Health has more than 7,000 psychiatric specialists. The cooperation with the Psychiatric Specialist Alliance of Shanxi Province will further increase that number and enhance the service capability of physicians from both sides,” said Fangyi Jin, general manager of specialized Internet hospitals for JD Health. “JD Health will continue to build alliances with various specialist hospitals, industrial associations, physician alliances and more.”

Through the cooperation, nearly 600 specialists from 118 public psychological medical institutions of the Psychiatric Specialist Alliance of Shanxi Province will join JD Health’s Internet Hospital to offer professional consultation services to patients online. Meanwhile, both sides will further improve treatment capabilities and services provided by physicians including online consultations, trainings and livestreaming.

“JD Health will continue to build alliances with various specialist hospitals, industrial associations, physician alliances and more.”

In addition to guaranteeing professional and convenient services to consumers through the cooperation, both sides are also targeting to explore innovation in medical scientific research. Through the cooperation, both sides will work together to build four online platforms, with one of them providing one-stop psychological medical services; the other one aiming to help physicians improve their specialty capability; and the third one focusing on digital medical innovation research; and the last one aiming to provide the whole industry a place to exchange academic experiences.

Although China is gradually settling into a post-COVID normalization of conditions, mental health remains a public health issue that cannot be ignored. Around 173 million people in China suffer from mental illness, of which 158 million have never received professional treatment, according to a report released by The Lancet, a peer-reviewed medical journal. Among this group, 27.9% struggle with depression, and 31.6% suffer from anxiety, according to China’s National Research Center for Mental Diseases.

These efforts are in line with the Chinese government’s increased focus on mental health efforts, as stated in the National Mental Health Working Plan (2015-2020) and more recently, the Healthy China Action Plan (2019-2030), which aims to improve the country’s treatment rate of depression by 80% by 2030; and increase public awareness of mental health issues.

 

(zhanghui36@jd.com)

WRC Connected 2021: Proximity Advantages will Drive Even Faster Delivery Speeds

by Ella Kidron

Chinese consumers can expect even faster delivery speeds in the future thanks to proximity advantages. Mr. Chenkai Ling, Vice President of JD.com, and Head of Strategy, JD Retail, shared his views on this during the World Retail Congress’ WRC Connected 2021 virtual event on Apr. 26. The discussion was moderated by Benjamin Zheng, lead partner of global strategy consulting firm EY-Parthenon.

“With the booming of e-commerce, especially after JD joined this domain, I think in China delivery speed already reached a very high standard,” said Ling, referring to the fact that nationwide same-day and next day delivery has become standard in the country. “But with the expansion into more categories of e-commerce, especially FMCG and fresh products, and also during this pandemic period, consumers’ demand for quicker fulfillment has become more and more apparent.” Combining the technology and retail expertise of retailers like with the proximity advantages of brick and mortar stores can enable faster delivery speeds than before.

“To put it into perspective, previously when a new product launched, for example a cellphone, we would work together with a brand to anticipate sales and then store these products into our warehouses closest to the consumer,” said Ling.

Right now with an advanced on-demand fulfillment network, we can help equip those brick and mortar stores that are closest to the customer with some capabilities so that they can act as an extension of our fulfillment network, which means fewer miles traveled, lower costs and faster speeds than before,” he added. JD has already achieved delivery within 30 minutes in several categories and the company expanding the service to more categories.

In March, JD announced an equity investment in Dada Group, China’s leading local on-demand delivery and retail platform of US$800 million in newly issued ordinary shares of Dada, which is also JD’s long-term partner in on-demand. “With that investment, both of us will facilitate and promote an expansion of the -demand fulfillment delivery, which can better suit the needs of Chinese consumers’ higher demands on delivery speed,” shared Ling.

Watch the whole session by registering for Retail Connected 2021 here.

 

 

Chenkai Ling, JD.com speaks with Benjamin Zheng, EY at Retail Connected 2021

 

(ella@jd.com)

JD Books Introduces Newbery Medal Book Set in Collaboration with 8 Publishers

by Vivian Yang

JD Books initiated a collaboration with eight publishing houses in China to develop a special set of Newbery Medal-winning children’s books introduced online on Apr. 23.

To prepare this book set, JD Books worked with eight publishers collectively to identify selection criteria and sifted the best from the bests. Eventually, 20 classic storybooks, which have all been translated into Chinese, were selected as the first standard-setting collection. The time period in which the books won Newbery Medals spans near a century from 1922 to 2018.

Newbery Medal-winning children’s books introduced online on Apr. 23.

“This book set covers a wide range of themes including life, growth, love, friendship, adventure and more,” said a representative of JD Books. “There is always a book that can help children handle their growing pains and support their healthy development.”

For a long time, the promotion of Newbery Medal books in China has been facing the issues of decentralized copyright holders and lack of translation standards. To break the status quo, JD Books worked to put together premier resources from multiple publishers and reached a consensus with all to introduce the new Newbery Medal book set, providing high-quality and convenient reading choices for Chinese children.

The book combo sets a new benchmark for future collaboration on book selection and promotion for award-winning children’s books via JD’s platform. Also, it is an important demonstration of JD Books’ ability to use the Customer-to-Manufacturer (C2M) model to identify market demand, create popular products and pool resources to generate incremental growth for its partners, according to the representative of JD Books.

Founded in 1922, the Newbery Medal was named for British publisher of books John Newbery (July 9, 1713 – December 22, 1767), considered “The Father of Children’s Literature”, who first made children’s literature a sustainable and profitable part of the market. It is awarded annually by the Association for Library Service to Children, a division of the American Library Association, to the author of the most distinguished contribution to American literature for children. It is also known as the Oscar of children’s literature that has been widely welcomed by kids around the world.

 

(vivian.yang@jd.com)

JD.com Operates Automated Warehouses in Europe

by Yuchuan Wang

Stard Huang, head of JD’s international logistics business announced on Apr. 26 that JD has begun operating two highly automated warehouses in Poland and Germany to serve local clients. Both warehouses started trial operations in March.

JD’s warehouse in Poland is located on the border with Germany, only 90 kilometers from Berlin, and is connected to the major highways, airports and ports in Europe. The warehouse in Germany locates in the north of Frankfurt, the largest city in the federated state of Hesse in the south-western part of the country. The two warehouses can cover the whole European area to provide convenient and rapid fulfillment for clients.

The AGV area inside JD's Poland warehouseThe AGV area inside JD’s Poland warehouse

JD also brings its cutting-edge AGV (automated ground vehicle) system to both warehouses. The AGV system transforms the picking process, which traditionally would require workers to shuttle in the racks by bringing shelves to the working station. Implementing AGVs is 2.5 times more efficient than manual picking. They can recognize QR codes on the floor for route planning and automatically obstacle avoidance.

“Through the warehouses in Poland and Germany, we have brought our quality supply chain, logistics and automation technologies to Europe,” said Huang. “The two warehouses will be set as the examples to be further replicated in other places in the region.”

JD's warehouse in Germany

JD’s warehouse in Germany

JD’s international logistics business is committed to promoting the development of global trade and providing integrated supply chain services to industry players. As of the end of 2020, JD operated 32 bonded and overseas warehouses with an approximate aggregated floor area of 440,000 square meters. Through collaboration with international and local partners, JD had established international routes that reach more than 220 countries and regions.

 

(yuchuan.wang@jd.com)