In-depth Report: JD Worldwide Six Years and Going: Bridging Brands and Customers

by Rachel Liu, Ling Cao and Hui Zhang

On JD Worldwide’s sixth anniversary on Apr. 15, customers showed enthusiasm in purchasing various products sourced from around the world, with data showing that beauty and health supplements are the best-selling categories among imported products, including brands like Ryo, Swisse and Move Free.

Since 2014, the Chinese government has issued a series of policies to support the cross-border e-commerce model. During this time, retailers, e-commerce platforms and logistics providers have all started to enter the field, making it one of the important windows for the global economy and trade. In November 2020, the Regional Comprehensive Economic Partnership (RCEP) was signed, initiating a large-scale free trade agreement and encouraging more brands to explore China’s massive market. Chinese consumers are also getting more familiar with imported products and showed increasing demand. Data shows that in the recent three years (2017-2019), consumption made during overseas travelling of Chinese people surpassed RMB 1 trillion yuan.

Yunpeng Wang, general manager of JD Worldwide shared, “We saw increasing demand from customers pursuing tailored and high-quality products, and with the support from the macro environment and related policies, the whole imported products industry saw rapid growth.”

 

The Leading Imported Platform

“JD Worldwide not only gained a leading position on market share, brand value and customer recognition in the industry, but also showed social responsibility during the pandemic last year,” said Wang. “Our strong supply chain allowed us to keep providing imported products that customers need during the pandemic, especially during the first few months of 2020, when global supply chain was heavily affected.” JD Worldwide’s strong supply chain and first-party model ensured that it was one of the few platforms that was able to provide service down to the last mile during that time.

Established in April 2015, JD Worldwide has become a trusted platform for Chinese customers to shop for imported products online and offline, which offers over 10 million SKUs (stock keeping units) of imported products from 20,000 brands and 100 countries, covering categories including maternal and baby, fashion, beauty, electronics, food, health supplements and more

Under the increasing demand of Chinese customers for overseas products, JD Worldwide also witnessed a fast growth rate, especially in the past two years since JD put international business as one of the top priorities for the company and provided a wide range of support for the imported business. It is now among the top three e-commerce platforms for imported products in the industry.

JD Worldwide is a platform to help brands step up and grow in the Chinese market.

JD Worldwide has a strong focus on first-party business, which means it works closely with brand partners and purchases products directly from them to store in JD’s own overseas warehouses, which ensures fast delivery and the authenticity and inventory size of the products. Its growing third-party business ecosystem allows brands to open their own store on the platform, providing another choice to work with JD.  It has 32 bonded warehouse and overseas warehouses, covering 440 thousand square meters. Over 220 countries and regions can be reached by JD’s international logistics routes.

JD Worldwide is a platform to help brands step up and grow in the Chinese market. Many brands and third-party partners grew together with JD Worldwide from the beginning of its launching, such as Swisse.

 

An Integrated One-Stop Platform

JD Worldwide has joined the first group of players in the cross-border business, and made great efforts to optimize customer experience. “One of our biggest milestones in the past six years is that in November 2019, we made an important decision to upgrade our business from a cross-border platform to a comprehensive imported products platform, aiming to create a one-stop platform between international brands with customers,” said Wang.

On the one hand, JD has integrated all the imported products in one place, including cross-border business and general trade business, which now includes duty-free business after the opening of a duty-free store in Hainan. On the other hand, JD has upgraded its infrastructure to match the business development, from warehousing, product quality management, delivery to after-sales. Wang shared, “It’s all about consistently improving experience. We want to achieve an idea that when customers visit JD Worldwide, they are immersing themselves in a super imported mall experience. After the upgrade, we can see customer’s satisfaction rate has steadily increased.”

Under the program, JD will also create innovative marketing ways to attract customers, such as inviting celebrities to open stores, participate in livestreams and other social e-commerce initiatives. By working with Wanda Group, JD Worldwide invited celebrities to recommend products in the Wanda Group flagship store to attract customers. In the first three months of its opening, the store attracted over 1 million followers, about 30% faster than average. In product quality and services, JD will provide special refund policies, and provide more benefits for its PLUS members. JD has also continuously been making the entry process easier for overseas merchants, by opening national pavilions for different countries and regions. JD aims to work with more and more overseas brands and sellers to introduce global specialties to Chinese customers. On April 15, JD Worldwide just formed partnership with Taihe Music Group (TMG) to have TMG stars promote quality imported goods, expanding the program to more entertainment celebrities.

JD Worldwide just formed partnership with Taihe Music Group (TMG)

To add more choices for customers and provide more overseas brands a seamless way to enter the Chinese market, JD Worldwide began to source products directly from international shopping malls and e-commerce platforms since last November. It works directly with the partners to launch the latest products from their stores or online platforms simultaneously on JD Worldwide. It will transfer the orders to the partners for them to send products to customers directly from overseas, without third-party transit.

For partners, this not only adds a new sales channel in China with lower logistics and warehouse cost, but also help them test the Chinese market and cultivate best-selling products in a convenient way. JD Worldwide can also offer richer imported product choices for customers through this project, especially non-standardized and high-value products like fashion and electronics.

A series of international malls and offline stores including Rakuten, Kintetsu, AUTOBACS, SOLETRADER, Muller, AKPLAZA, LUXBOY, Tiendas Agatha, Qoo10 and PG Mall have joined the project.

Wang emphasized JD Worldwide’s open attitude. “Offering a comprehensive imported products platform, we hope JD Worldwide forms a prosperous multiple-model ecosystem. Further, we hope that by using omni-channel operation to connect online and offline, such as our duty-free and cross-border stores recently opened in Sanya, Hainan province, brands will find that business is more sustainable.”

 

Entry to Blue Ocean: Duty-Free Business

Last year, JD Worldwide made a big move to enter the duty-free business by opening a store through partnering with Hainan Tourism and Investment Development Co.. The decision echoes recent preferential policies initiated as part of China’s plan to build a high-quality free trade port in the province. According to the plan, Hainan will establish a basic free trade port policy system with a key focus on helping free trade and investment by 2025.

JD Worldwide made a big move to enter the duty-free business by opening a store 

With such a high potential market, and a long growth trajectory, many companies are interested in getting in on the action. JD’s supply chain advantages, technology strength and in-depth market insights give the company a unique position to provide consumers new value. Unlike traditional duty-free stores focusing on fashion, luxury, cosmetics, and even alcohol and cigarettes, JD’s duty-free store in Hainan has gone in an entirely different direction, equipping the store with consumer electronics and small appliances, such as hair dryers, speakers, and coffee machines, aiming to provide consumers with a wider range of affordable products than was available previously and attract a larger variety of consumers to duty free shopping.

“In the past, duty free stores could not engage with their potential consumers through multiple ways. They had no idea why many consumers visited the store, but didn’t buy anything. JD’s market insights will be of great help to them,” said Mark Ma, head of operations for duty free business at JD Worldwide.

“We’re not only consolidating our own strength, but also looking forward to facilitating the digitalization of the duty-free industry,” said Ma. “We are preparing to launch an online duty-free JD mini program this year to enhance an omni-channel shopping experience for customers.”

 

The Vision and Future of JD Worldwide

With trade across countries steadily returning to normal as the pandemic stabilizes and consumers’ demands for international products increasing, JD Worldwide is committed to becoming a platform which can effectively connect both consumers and brands.

JD Worldwide is endeavoring to pave the way for international brands to not only survive but also flourish in the competitive Chinese market. “It’s only our first step to bring in overseas brands to JD. What’s most important for us is to help the brands take root in the Chinese market,” said Wang. “Brands recruitment and empowerment through JD’s various strengths are what we are doing right now, and will continue to do in the future.”

Of course, the customer experience will always be the top priority for JD Worldwide. For Wang, there is a lot to be improved and needs long-time efforts. “We will enlarge our partnership pool with international brands, and improve experience in delivery speed, supply chain efficiency, as well as more convenient and flexible after-sale services.”

 

(liuchang61@jd.com; ling.cao@jd.com; zhanghui36@jd.com)

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In-Depth Report: JD Health Reshapes Service for China’s Seniors  

by Vivian Yang

JD Health opened the specialized care center for seniors on Mar. 26. The center will focus on using digitalized and intelligent technologies to tackle the pain points and difficulties that China’s geriatric services are facing, said JD Health’s CEO Lijun Xin.

As of the end of 2020, China has about 260 million people aged above 60, accounting for over 18% of the overall population and the number will continue to grow to over 300 million by 2025, rapidly turning the country into an aging society. How to ensure enough quality healthcare services for this population has become a prominent topic for the government, hospitals, businesses and society.

Telemedicine has been playing an increasingly important role in increasing access to doctors and reducing elderly people’s hassles when visiting the hospital.

JD Health’s seniors-centric care center aims to tackle more underlying symptoms that have caused inadequacy and unbalanced distribution of healthcare support in China.

 

A Full Life Cycle Service

By addressing and preventing the root causes of illness, not just focusing on treatment and cure, JD Health’s platform has been investing its online traffic and big data resources in the areas of health knowledge and management education and early screening of diseases.

On the center’s front web page, users can easily find a variety of knowledge sharing from renowned doctors from specific medical fields. They give useful and tailored advice for elderly people on the prevention and self-examination for COVID-19, anemia, tumors, heart failure, and more.

“Don’t follow hearsay blindly and take unreliable drugs,” wrote Haimei Qi, director of the geriatrics department of Beijing Hospital in her post on the JD Health platform. Dr. Qi is China’s top expert on geriatrics. She summarized 10 important pieces of advice for patients with cardiovascular diseases during COVID-19 and provided a further detailed explanation in three long posts on JD Health. “Learn to manage your blood pressure and measure it from time to time. Don’t suddenly stop taking your antihypertensive drugs. Seek help from your family, friends or community to fetch the drugs for you from hospitals,” she continued.

JD’s trust-based brand identity is an essential reason for many doctors like Dr. Qi to cooperate with the platform. It also gives people confidence to seek credible health-related content. In 2020, active users on JD Health increased by 33.7 million a total of nearly 90 million, achieving 60% growth in the COVID-affected year.

“Thanks for sending me the pill refill reminder every time. This is a very responsible attitude!” a patient with Parkinson’s disease commented on JD Health’s page. In addition to pill refill and reexamination follow-ups, JD Health also extends post-diagnosis support to the services such as pharmaceutical products ordering and delivery, rehabilitation plan development, and providing intelligent health monitoring devices.

A closed-loop service from early warnings for health problems, disease prevention, and medical consultation, all the way down to rehabilitation and nursing service is what JD Health is committed to developing. To realize this, as the vice president of Beijing Hospital, Heng Xi said at the center’s establishment ceremony that JD Health not only needs to play an active role in promoting the “prevention first” concept, but also transcend its role from an e-commerce provider to join forces with all stakeholders including government, medical experts, pharmaceutical manufactures and more to complete an all-embracing service model for seniors.

 

Customer-centric Treatment

“I posted a question at midnight. Dr. Pan, an attending doctor of neurology at the Third People’s Hospital of the Yichun, Jiangxi province, responded almost immediately and gave me some medical advice,” a user commented on Dr. Laisheng Pan’s main page on JD Health, “I’ve got much better now after using the medicines.” Another user wrote that “[after consulting Dr. Pan online] he followed up on my mother’s illness, with his considerate assistance. I believe my mother will get better very soon.”

Dr. Pan is among over 9,000 doctors in China who have been providing online medical consultations on JD Health. Their active online engagement helps to tackle three issues. First, patients can receive a doctor’s timely responses whenever they need help. The fact is that many doctors from smaller hospitals are not as preoccupied as their peers in the top-tier hospitals, so the internet platform helps gather them online to provide medical services diverting pressures for offline resources to some extent. Meanwhile, JD Health’s in-house full-time doctors can always fill in to ensure timely responses.

Secondly, compared to the doctor visit experience in big hospitals in China which are often crowded and time-pressed, doctors and patients can have more patience to communicate in details online. On JD Health, users have at least 30 minutes to interact with a doctor via text, images, phone calls or video, gaining ample time and attention to address their health concerns.

Thirdly and most importantly, JD Health creates digital health records for users which help doctors to get a fuller picture of their patient’s health status, and make a quick judgment to give precise advice and monitor treatment effectiveness.

“Doctors need to understand and continually track the overall situation of a patient in the aspects of health history, genetic condition, living environment and habits to give more personalized guidance,” Dr. Qi said, raising the importance of the internet in supporting precision medicine.

Jianye Wang, director of China’s national geriatrics center and president of Beijing Hospital also pointed out that mental health is an important factor in measuring senior people’s overall health condition. This is where JD Health’s “Family Doctor” program can play a role. The program is a customized health management service product targeted to family users. With it, doctors can not only maintain regular contact with senior patients but also talk to their adult children for a better assessment of the patient’s overall living condition and work together with them to create a long-term personalized health management plan.

 

Preparing Talent in Geriatrics

Every time JD Health decides to establish a new specialized medical center, it will go for the country’s top hospitals or experts as its partner or chief academic leader. The reason is that, beyond providing medical services to patients, the platform also sees itself as an accelerator for public health development through doctor-to-doctor communication.

Beijing Hospital is home to China’s only national-level research institute for geriatrics. Its leading experts in this field Dr. Wang and Dr. Qi are both invited as director and executive director of JD Health’s care center for seniors. At the same time, nearly 60 geriatrics experts in the areas of cardiovascular and cerebrovascular diseases, orthopedics, urinary diseases and other chronic diseases form the core team of the specialized care center for seniors.

“We are facing a growing supply gap of geriatric doctors and institutions,” said Dr. Wang. “Geriatrics will develop from being a marginal discipline to becoming a pillar in the future.” According to China’s public health statistical communiqué, as of the end of 2019, there are 3,459  hospitals with geriatrics departments in China, which only account for less than 1% of more than 1 million medical institutions in this country (compared with about 25% in the U.S.), far from enough to catch up with the growing demand.

Dr. Qi recalled that in her early days as a doctor, one patient with minor heart disease symptoms suddenly fell into a fatal situation. Doctors found out later that it was actually the hidden kidney failure that triggered the heart attack.

“There is still a big cognition gap in geriatrics,” Dr. Qi added. “Senior people’s illnesses often have complicated courses and the risk to trigger a domino effect is high. The center will work on cross-disciplinary collaboration, specialist training and standardization to help them prevent and treat these diseases.”

Jianbo Xiao, general manager of the internet hospital of JD Health introduced that JD Health’s care center for seniors will provide resources to support different levels of geriatrics professionals on their career development. Medical school students can find authoritative documentation regarding these disciplines for study; attending doctors can look for medication guidelines and treatment plans on this platform; and experts can arrange medical referrals, conduct case analysis, enhance their influence among their peers and patients via JD Health’s platform.

At the same time, rehabilitation and nursing services are also part of the problem and solution to taking good care of senior people. Xiao said that for the next step, JD Health will also reach out to cooperate with offline nursing houses and communities. With its digitalization capacities and supply chain advantage, the company will continue to integrate online and offline services that can cover all healthcare scenarios for senior people in China, concluded Lijun Xin.

 

(vivian.yang@jd.com)

 

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JD Books Report: Impact of COVID-19, Gen Z and Lower-tier Markets in China

by Vivian Yang

In the face of COVID-19, Chinese people spent more time reading in 2020, with a prominent increase of interest in health-related books. Meanwhile, young people from lower-tier cities demonstrated strong consumption potential in the book market, according to the 2020 China Book Market Report co-produced by JD Books and iResearch and released on Apr. 14.

The report shows that 46.1% of survey respondents increased the time reading paper books, 59.6% increased their e-book reading time and 58.8% increased their time listening to audiobooks.

The report shows that 46.1% of survey respondents increased the time reading paper books, 59.6% increased their e-book reading time and 58.8% increased their time listening to audiobooks

The number of buyers of all three types of books achieved 40% YOY growth, and overall consumers are spending more on books. The majority of respondents to the survey in the report spent RMB 200-500 yuan on books in 2020, accounting for 43.6% of overall book buyers. And the number of users who spent over RMB 500 yuan on book shopping increased by 6.1% compared with 2019. The per capita book spending in 2020 rose by 3.3% compared with 2018.

The pandemic contributed to a 45.4% sales boost on medical and healthcare books. Sales of books on preventative medicine and hygienic topics reached 5 times YOY growth.

“People’s reading media become more diversified and integrated,” said Daisy Wen, senior consulting manager of iResearch. “Not only do they spend more time on reading in general, but the time difference that they spent among paper, digital and audiobooks is narrowing.”

The rise of Gen Y and Z’s spending power in the book market, especially those from China’s lower-tier cities, is a key finding of the report. Book buyers on JD Books under 25 years old have increased from 16.4% in 2018 to 17.6% in 2020, with per-item spending going up by 10% from 2018.

Book buyers on JD Books under 25 years old have increased from 16.4% in 2018 to 17.6% in 2020, with per-item spending going up by 10% from 2018.

At the same time, the number of this group of young users from sixth-tier cities has increased 24% more than their peers from first-tier cities, driving the growth rates of the fifth to sixth-tier cities versus the first to second-tier cities to widen from 4 to 8.6% in a year.

he growth rates of the fifth to sixth-tier cities versus the first to second-tier cities to widen from 4 to 8.6% in a year.

In terms of purchase channels, the report shows that online and physical book stores account for 79% and 21% of book retailing sales respectively, meaning that online book shopping has become the mainstream. But this does not mean a conflict— rather instead, a growing book shopping experience that combines both online and offline resources.

“66.5% of online book buyers still express their willingness to go to offline book stores to enjoy an immersive reading experience. And 96.4% users said they will consult book recommendation lists online when purchasing books offline,” Wen added.

96.4% users said they will consult book recommendation lists online when purchasing books offline,” Wen added.

To adapt to these trends, JD.com will continue to develop its omni-channel platforms to satisfy customers’ needs with services including one-hour fast book delivery service, supply chain support via various terminals to small book store owners, livestreaming programs to promote interactions between authors and readers, according to Min Lei, general manager of JD Books, Culture, Education and Entertainment.

 

(vivian.yang@jd.com)

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JD Worldwide and TMG Announce Cooperation

by Martin Li

JD Worldwide and Taihe Music Group (TMG), a music label and service provider in China, announced a cooperation based on JD Worldwide Star Selection’ project on Apr. 15.

TMG opened an international store on JD’s “Star Selection” project is aimed at connecting foreign brands with entertainment celebrities and KOLs to develop a new retail ecosystem.JD Worldwide on Apr. 15, which marked the sixth anniversary of JD Worldwide. Based on the store, TMG’s stars will promote quality imported goods. Consumers can also have access to coupons and tickets to music festivals organized by TMG.

Han Rui (left), vice president of JD.com and head of JD’s V business group, signed a partnership agreement with Wang Fan(right), vice president of Taihe Music Group at JD Headquarters today

Han Rui (left), vice president of JD.com and head of JD’s V business group, signed a partnership agreement with Wang Fan(right), vice president of Taihe Music Group at JD Headquarters today

JD Worldwide announced in March that it planned to cooperate with 160 entertainment celebrities or IPs in 2021 based on the “Star Selection” project.

Rapper Lil Milk performs at the Live Show held by JD and Taihe Music Group

Rapper Lil Milk performs at the Live Show held by JD and Taihe Music Group

Based on the cooperation, JD Worldwide and TMG will work together to explore a new commercial cooperation model of music products and services on the JD Worldwide e-commerce platform.

“Joining JD Worldwide’s ‘Star Selection’ project will bring us long-term benefits,” said Hu Yiyou, vice president of TMG.  He added: “TMG will explore new channels and create a new lifestyle combing e-commerce and music by involving stars, performances, livestreams and brands. In the future, we can further tap into more commercial value.”

Han Rui makes a speech during the Live Show

Han Rui makes a speech during the Live Show

“Since its establishment, JD Worldwide has been exploring new possibilities for e-commerce of imported goods. ‘Star Selection’ project is one of these important explorations,” said Han Rui, vice president of JD.com.

 

(bjlihao3@jd.com)

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China’s Wellness Industry is Thriving: McKinsey Report

by Kelly Dawson

Consumers worldwide overwhelmingly indicate a growing preference for natural and clean products, particularly in China, according to a report released on April 9 from global consultancy and market research firm McKinsey. The report, which surveyed 7,500 respondents in six countries including China, also found that consumers in China reported the highest share of wellness spending online, followed by those in Japan.

The rise in the global wellness economy has been accelerated by the pandemic, with McKinsey estimating the value of the global wellness market at more than $1.5 trillion, with annual growth of 5 to 10 percent.

Consumers everywhere are increasingly viewing wellness through a broader lens that encompasses not only products but also services, including telemedicine appointments like those offered by JD’s healthcare arm, JD Health. In 2020 the company’s annual active user accounts reached 89.9 million, an increase of 33.7 million YOY; and average daily consultations exceeded 100,000, which is more than 5 times that of 2019, according to the company’s recent release of financial results in 2020.

More than 50 percent of Chinese respondents to McKinsey’s survey indicated that they would spend more on service categories in the coming year, twice that of respondents in Western countries. “We’ll definitely see accelerated growth in the demand for wellness services,” said McKinsey analyst Eric He, in comments accompanying the report.

China is leading the market in terms of pioneering new technologies related to the wellness industry, according to the McKinsey report, helped in great part due to an advanced e-commerce infrastructure and high technology adoption rates among new consumers.

China is a “testing ground for new products, new consumer-engagement models, and even new business models,” said He. “Building a digital-led business is more likely here in China than anywhere else globally. We have the highest e-commerce adoption ratio and a very sophisticated digital ecosystem that covers almost every aspect of Chinese daily life.”

Also reflecting the growth of the wellness industry is a spike in sales for products in the health, wellness and self-care categories. For example: During JD Worldwide’s Black Friday shopping festival in 2020, sales of self-care products increased YOY by over 180%.

While consumers are increasingly focused on health and wellness, their assessment of their own improvements in wellness levels have simultaneously fallen behind their hopes and expectations in every country except China and Brazil, according to the report, perhaps indicating that Chinese consumers are more satisfied with market offerings.

The wellness industry is “here to stay,” the report concludes.  “If the pandemic has taught us one thing, it’s that physical and mental health will remain a priority for millions of people across the globe for a long time to come.”

 

(kellydawson@jd.com)

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3M Works with JD to Accelerate Digitalization

by Ling Cao

JD has worked with American industrial products giant 3M to accelerate its digital transformation. Deming Ding, general manager of JD Industrial Technology shared on April 15, “Sales of the 3M store surged since its opening, and the partnership has enabled both of our clients to enjoy one-stop procurement and training services.”

In September 2020, 3M opened a flagship store on the JD Industrial Technology e-commerce platform, a department under JD.com that specializes in industrial maintenance, repair and operations (“MRO”) products and services, and provides an intelligent purchasing platform and supply chain solutions for corporate customers.

3M’s online store on JD is aimed at providing enterprises with an efficient procurement channel for industrial products by combining 3M’s quality supplies and JD’s experience in e-commerce operations and understanding of enterprise consumers. Additionally, clients can arrange for onsite training from 3M’s professional engineers, resulting in improved operation efficiency, as part of 3M’s omni-channel business development plan. By working with JD, both parties connect 3M’s factories with brands’ authorized service centers across China, which enables clients to enjoy worry-free integrated services.

Boping Huang, e-commerce general manager for 3M’s safety and industrial products in the greater China region said, “The last two years has marked an important time for our industry, with new investment entering into the whole industry, and e-commerce infrastructure of industrial products becoming more and more comprehensive.”

One example of why Huang believes this is the industry’s increasing standardization. One of the challenges faced by the industry is a mass amount of non-standard row materials. To solve this issue, JD Industrial Technology has introduced a product pool, which uses JD’s AI and big data, and experience from leading brands such as 3M, so that clients can easily find and purchase specific products on JD. For instance, a very specialized screw.

Huang said, “3M will work with platforms including JD to accelerate the industry development, providing value for all clients.”

 

(ling.cao@jd.com)

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JD Data: Health and Wellness in the Spotlight

by Ella Kidron

With spring in full bloom, so are Chinese consumers’ health and wellness goals, according to a report by the JD Big Data Research Institute released on Apr. 14.

In the month of March, the keyword “low sugar” was searched over 10 times more than the same period last year. “Weight loss and fat reduction” was searched over 10 million times. Searches for cordless jump ropes, which have become highly popular as an at home workout option, increased more than 640%. Looking at purchasing habits, affordability of healthy habits is a commonality across food, exercise and supplement choices.

Low calorie beverages, dark chocolate, low sugar cake, low calorie cereal and low sugar coffee have become popular food choices for consumers looking to make healthier choices. This makes items like soda water, black sesame powder, barley and oat cookies, black wheat whole wheat meal replacement toast, Oolong tea hot commodities in the Chinese market.

Consumers aren’t only looking for options to be healthy but also for them to be convenient. Sales of low calorie convenience foods have increased 432% since the previous period, while low sugar grains and low sugar coffee and milk tea have increased 222% and 100% respectively. From an age group perspective, Post ‘95s consumers are the heavyweights for the low sugar coffee and milk tea market, while post ‘85s eye fat-free and low fat milk as well as Oolong tea, and post ‘75s want dark chocolate.

Nutritional supplements are also sizzling. In March, the sales volume of probiotics, protein supplements, fitness powders, enzymes and bone health related products increased 768%, 766%, 684%, 466%, and 357% respectively.

Ye Yang, head of the health supplements division at JD Health, explained: We hope to use the JD Health platform to provide Chinese consumers with abundant, high quality health products that meet the physical needs and habits of Chinese consumers.” She added that supplementing a weight and fat loss reduction plan with the JD Health platform’s nutrition and medical consulting services will make the process more scientific and effective.

Consumers are also vying to exercise more outdoors. In March, sales volume of exercise-related items from ice sports gear to swimwear increased 461% and 349% respectively. Broken down by age group, consumers born after 1995 are mainly buying exercise apparel, consumers born after 1985 are looking to go for a dip in the pool, and those born after 1975 are hitting the slopes.

It is said that most things come in 3s. In this case, healthy food and nutrition supplements, activity and smart equipment are a triple threat. According to the data report, in the smart health equipment realm, the proportion of electronic scales with health monitoring capabilities sold reached over 90% while sales of heartrate monitors and watches with blood oxygen meters are up 170% YOY. Consumer attention to watches with electrocardiogram (ECG) functions increased over 10 times in the same period.

Many consumers have placed a renewed focus on their health and wellness since COVID-19 broke out. Ms. Wu, a regular JD customer explained, “Before the pandemic, I didn’t really workout or watch what I ate, but now I have been reminded of the fact that we all have just one life to live, and am doing my best to keep up a good nutrition and exercise routine.” She regularly buys supplements such as probiotics on JD, and invested in a smart hula hoop that can count the number of rotations completed and calculate estimated number of calories burned.

 

(ella@jd.com)

 

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JD Worldwide Upgrades National Pavilion Program: Open, Diverse and Customized

by Ling Cao and Rachel Liu

JD Worldwide is upgrading its national pavilion program to provide more value for both merchants and customers. Announced on Apr. 15, which is the sixth anniversary for JD Worldwide, JD aims to introduce open, diverse and customized solutions for its partners. The upgrade includes a shift from primary focus on sales to integrating more cultural elements from the various countries involved in the pavilions project.

The pandemic has changed how institutions and merchants view e-commerce platforms. Luke Liu, general manager of business development under JD Worldwide said, “Previously our national pavilion mainly focused on selling products, while now we are including more cultural elements as continued requirements to support needs such as increased tourism between the two countries. For example, including a country’s travel guide, as well as information about its history and geography.”

JD will tailor the solutions for each pavilion, making it not only a sales channel, but also an integrated exhibition platform. For example, JD launched the Peru National Pavilion last November, which not only brings various iconic local products to Chinese consumers such as quinoa, alpaca gloves and health supplements, but also introduces the geography and culture of the country. JD Worldwide has also welcomed the Sri Lanka, Chile, Singapore national pavilions in the past year.

In addition, as part of the upgrading program, JD is planning to create a non-stop online world fair this year by organizing a series of such pavilions, enabling customers in China to buy whatever they want, wherever and whenever they want it.

Liu shared, “With years of operation, we have gained expertise in e-commerce, logistics and marketing for serving merchants all around the globe. The program shows our ambition to create a better environment for them, and we hope more and more partners will work with us. Together, we can improve the shopping experience for customers.”

The national pavilion program is also an easier way to help overseas SMEs enter the Chinese market, especially during COVID-19. Compared with opening a store selling a few vertical products, SMEs can use the stronger platform to display their products, while the pavilion can gradually be expanded to become a one-stop channel for customers.

Liu also shared that JD will expand the scale of the business according to consumer demand.  Prioritized categories to explore will include luxury, cookies of local specialties and more. JD will also look to directly source products from popular retail platforms such as PG Mall in Malaysia.

JD Worldwide’s National Pavilions project first began in 2015 to introduce a range of high-quality products from a given country, spanning multiple brands, providing best-in-class products sourced from around the world.

 

(ling.cao@jd.com; liuchang61@jd.com)

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