Imported Product Sales Spike on JD during Singles Day Grand Promotion

by Kelly Dawson

 

Thanks to JD Worldwide, JD.com’s platform for imported products, global borders are no barrier for Chinese consumers who want to purchase milk powder from New Zealand, watches from Switzerland, pet food from England and more.

Consumer demand for imported products have skyrocketed, with sales on JD Worldwide during the first 40 minutes of this year’s Singles Day Grand Promotion (November 1st to 11th ) surpassing that of the entire first day of last year’s promotion. On a Super Brand Day several days earlier on October 28th, sales also spiked by an increase of two times for imported beauty and personal care products, food, 3C and other categories.

Thanks to JD Worldwide, JD.com’s platform for imported products, global borders are no barrier for Chinese consumers

Makeup, Pet Food & More

During this year’s Singles Day Grand Promotion period, JD Worldwide is launching more than 500,000 items of imported products from more than 100 countries and regions for consumers.

On the first day of the promotion, November 1st, transaction volume spiked for a range of imported product categories including beauty products, pet food, digital products and more—all of which saw sales jump by more than ten times compared with the same period last year. Sales of imported toys increased by 45 times in the first hour of the day.

Additionally, sales for personal care and makeup products in the first ten minutes of the promotion exceeded the sales volume of the entire first day of last year’s promotion.

As Chinese consumers increasingly devote attention and care to their pets, pet food has gained in popularity. In the first 30 minutes of the promotion, the transaction volume of imported pet food increased by 22 times compared with the previous year.

Sales of imported health products increased by more than five times, a trend that aligns with increased health-consciousness among Chinese consumers following the pandemic.

Sales volume for home furnishings also increased by more than six times YoY, and imported automobile products saw sales increase by nearly five times.

Biscuits, 3C & More

On October 28th, JD Worldwide held a Super Brand Day to highlight exciting deals for a wide range of imported products.

Imported makeup products have always been popular on JD Worldwide, and yet the category was still able to achieve a growth of 126% during the Super Brand Day, when compared to last year. The top three brands in this category were Shiseido, Sulwhasoo and Dr. Jart.

In the imported 3C digital devices category, growth was seen across several areas. Sales for hair curling and straightening devices jumped by nearly 1.7 times compared with the previous year; and hair dryer sales increased by 161%.

Imported milk powder for infants remained popular, with an unexpected spike in milk powder for adults that saw a sales increase of eight times compared to the previous year. Maxigenes milk powder from Australia soared to become the top brand in this category.

The top three pet food products were: Nutro Whole Essentials for Kittens in chicken flavor; Instinct Original grain-free chicken flavor cat food; and Acana Wild Prairie cat food.

Finally, big-name brands like Walmart, Lotte Overseas and Sam’s Club became the top three stores, demonstrating that Chinese consumers continue to be drawn to internationally reputable brands.

JD Worldwide’s expansion

The sales increases demonstrate the strength of JD Worldwide’s home market for imported goods, as the platform continues its expansion plans announced earlier this year.

The platform has already successfully introduced thousands of international brands including Abbott, Mead Johnson, Nestle, DHC and more.

“JD Worldwide is committed to integrating JD’s rich resources and abilities to build a sustainable seller ecosystem,” said Simon Han, vice president of JD.com , earlier this year. “As the fulcrum of the ecosystem, JD Worldwide Alliance will lead its business and the overall China cross-border e-commerce industry into new territories.”

 

(kellydawson@jd.com)

3C Products See Robust Sales Growth On JD

by Martin Li

Computer, communication and consumer electronic products (3C) have witnessed a robust sales growth on JD during the ongoing Singles’ Day shopping festival. Following are data from November 1st .

Smartphone products on JD witnessed a sales growth of 314% in the first half hour , compared with the same period last year.

Leading brands all achieved a robust sales growth within a short time. It took only eight seconds for Apple product sales to exceed RMB100 million yuan. Sales of iPhones and accessories in the first ten minutes grew ten times, compared with the same period last year.

The sales growth was shared by well-known Chinese brands like Xiaomi, Huawei, Honor and OPPO. Honor’s flagship store on JD saw the number of its followers exceed 35 million on November 1st .

The number of people using JD’s smartphone trade-in program jumped by 465%  during the first 30 minutes, compared with the same period last year.

The growth was also seen in JD’s offline computer and electronic product store. Sales in JD’s 639 offline stores in 30 provinces, municipalities and autonomous regions increased by 266% on the day, compared with the same period last year. These stores cover 220 cities nationwide.

Having an omnichannel strength, JD is the first choice for 3C product consumers during the festival, according to the latest industry consumer trend report by Nielsen.

 

(bjlihao3@jd.com)

 

 

JD Health and Eisai China set up a joint venture to Assist Seniors

by Hui Zhang

JD Health and Eisai China announced the establishment of a joint venture Jingyi Weixiang which is committed to creating a one-stop service platform for the elderly on October 27th. The government of the Jing’an District of Shanghai, where the joint venture is located, also reached an agreement with both JD Health and Eisai China to facilitate this business.

The joint venture will focus on the management of Alzheimer’s disease and start from neural field  to gradually expand its area to meet the medical, nursing and pension needs of the elderly and their families. The company will start to serve seniors in the Jing’an District and then the whole country.

JD Health and Eisai China have been carrying out online cooperation as early as March 2019. In June this year, JD Health and Eisai China reached an agreement in Beijing to cooperate in the simplification of medical treatment process, online and offline disease education, healthcare for seniors, public welfare projects, etc., committing to provide patients with more intimate and convenient medical and health services and more efficient and professional solutions.

“Eisai has mature operations and service experience in providing for the elderly, and the model can be used for reference in the Chinese market, especially in the case of Alzheimer’s disease. Eisai has more than 35 years of experience in drug research and development, and there will be more breakthrough products on the market in this field in the future, benefiting more patients and their families,” said Yanhui Feng, senior vice president of Eisai Global and president of Eisai China.

“The establishment of Jingyi Weixiang is the achievement of further deepening cooperation among Shanghai Jing’an District, Eisai China and JD Health. We will combine Eisai’s accumulated international experience, expertise and innovative medical solutions in a variety of diseases with JD’s superior business and core competencies such as pharmaceutical supply chain and internet health care to provide the elderly with a full range of higher-quality online medical and health services,” said Lijun Xin, CEO of JD Health.

At present, China is faced with a rapidly increasing of aging population. Aging leads to the increase of social burden, especially in terms of demand for health care and life services. However, the existing pension service in China is far from being able to meet the increasing needs of the elderly. JD and Eisai are taking a step to address this with their partnership.

 

(zhanghui36@jd.com)

JD Super Extends Efforts in Animal Protection

by Rachel Liu

JD Super, JD’s online supermarket, recently joined hands with pet products brand RAMICAL to donate one month’s worth of pet food to an animal rescue organization in Guangzhou to improve the living standard of the more than 80 dogs and cats that live there.

Every month, the organization requires over RMB 15,000 yuan on pet food to feed the animals, with the money for pet food usually collected from the 900 volunteers who spend their free time taking care of the animals.

JD Super, JD’s online supermarket, recently joined hands with pet products brand RAMICAL

The founder of the rescue organization, Uncle Qiang, as called by the volunteers, expressed gratitude for the donation:“Pet food is what we need the most here. This gift can feed our animals for one month. I usually buy pet food from JD too, because the prices are very competitive and the delivery is fast.”

Additionally, JD Super and JD Logistics also worked with animal protection organizations Animals Asia, AITA Foundation as well as leading pet brands Royal Canin, Mars, Myfoodie, Pro Plan and more to encourage customers to reuse the delivery packages as animal shelters. JD hopes that through this project, more customers can see the importance of protecting animals and learn to recycle used packages.

Customers who buy pet products on JD this Singles Day will have the chance to receive the specially designed delivery packages and change them into animal shelters

Customers who buy pet products on JD this Singles Day will have the chance to receive the specially designed delivery packages and change them into animal shelters. JD will put over 100,000 of these packages into use during the grand promotion. Customers can choose to put the animal shelters in their communities or on the streets to provide shelters for homeless animals.

During the pandemic, JD Super donated 5 tons of animal products to Wuhan and saved over 1,000 animals in the city.

 

(liuchang61@jd.com)

Posted in ESG

Richard Liu: Poverty Alleviation Is A Promise Made on Day One of JD

by Hui Zhang

A few years ago, a farmer named Dire Daha began growing olives in Liangshan Yi Autonomous Prefecture of Sichuan province. Registered as a member of an impoverished household, Daha had hoped that his harvest of the fruit many seemed to regard as “liquid gold” would generate profits—but his business struggled due to poor logistics and unstable marketing channels.

That all changed in 2019, when Liangshan Prefecture signed a poverty alleviation cooperation agreement with JD.com that promised to help local farmers sell olives online.

“With help from JD.com, many farmers have benefited because olives and many other specialties from Liangshan such as walnuts, tartary buckwheat, and fungi can be transported off the mountain and sold through the e-commerce platform, and then be sent to the whole country,” Daha said. “Lives of ordinary people will certainly become better and better.”

Daha’s story is just one of JD’s countless poverty alleviation stories.

In the past few years, JD has rapidly expanded its poverty alleviation efforts across China, with initiatives for industrial support, employment, start-ups, finance, healthcare and more.

“JD has been dedicated to poverty alleviation since the first day of this business,” said Richard Liu, founder and CEO of JD.com.

Poverty Alleviation Fruitful Results

Wuyi County is located in the southeast of Hebei province, with a large number of impoverished people. In 2011, it was recognized as one of the key counties in urgent need of poverty alleviation support. After learning about the situation and visiting the county, JD believed its running chicken initiative, one of the company’s poverty alleviation projects, could help improve local people’s lives. By offering interest-free loans to farmers, the program has helped each family in the area earn at least RMB 3,000 yuan per year, improving their quality of life and delisting Wuyi County from China’s national poverty list. Professional breeders hired by JD take the lead in tending to the chickens, while local farmers are offered part-time jobs maintaining farms and growing vegetables, fruit and grain for chicken feed.

Following the chicken project’s initial success, JD has expanded its philanthropic reach and range of premium produce by launching other similar farm-to-table initiatives, including the “Swimming Duck” project in Jiangsu province and a “Flying Pigeon” initiative in Hebei province.

Since 2012, JD has cooperated with 110 state-level poverty-stricken counties and opened more than 250 Poverty Alleviation Local Specialty Malls on JD.com. The malls help promote and market local agricultural products on a national scale, both benefitting disadvantaged farmers and providing access to more locally-sourced products for consumers.

As of September 30, 2020, JD has sold more than 3 million product items from poor areas across the country and achieved sales of RMB 100 billion yuan, which directly increased the income of more than 1 million poor households. In the past five years, sales of agricultural products accumulated to over RMB 500 billion yuan on JD, making it one of the main channels for agricultural product sales.

Various of Poverty Alleviation Strategies

JD is devoted to poverty alleviation across a wide range of areas, including industrial support. One example of how JD is empowering the whole industry is its cooperation with beekeepers and companies in the honey industry.

Yang Ming is a beekeeper from Qingchuan County, Sichuan province. Because of many uncertainties in the process of beekeeping, Yang Ming’s beekeeping career has been full of twists and turns, including financial losses at the beginning. As a beekeeper, he spent most of his time in remote mountain areas far away from people, sometimes without even a phone signal, making it even more difficult for Yang Ming to build the necessary network and resources for selling the honey.

Yang became a beekeeping contractor of Dengfenglai company, which he believed would help him sell the honey. However, his problems still couldn’t be resolved due to common issues such as a scattered beekeeping model and a lack of supervision in the industry. JD invested money and offered marketing channels to the beekeeping industry, which stimulated the whole industry to improve the product quality and assist beekeepers in sales.

Over the past five years, JD.com ‘s poverty alleviation work has also gone through three stages. In the first stage, the poverty alleviation work mainly made direct donations to the poor with money and materials. In the second stage, JD.com raised the poverty alleviation work from the mode of “blood transfusion” into “hematopoiesis,” or the generation of new blood flow. In the third stage, combined with the current situation of poverty alleviation work and JD’s own comprehensive strength, the company has further improved the poverty alleviation strategy with “branding” as the core, aiming to break poverty alleviation work from the low-value status quo and further enhance the anti-risk ability of products and industries.

In these three stages, JD.com has given full play to its five major capacity advantages, such as supply chain, logistics, technology, finance and services, to promote the construction of industrial chain and supply chain, toward the goal of poverty alleviation.

Sticking to Its Original Belief

Born in a rural village in Suqian, Jiangsu province, Liu is the engine facilitating JD to continuously and actively stay involved in poverty alleviation.

Shortly after Liu started his business in 2003, he and 38 employees of the company went to Jingle County in Shanxi province, a poverty-stricken county, and donated money to 38 children from poor families—one for each member of the company. Eleven years later, when JD was listed on Nasdaq in 2014, Liu told the media that above all he hoped JD’s success would enable him to take care of more people.

JD has been dedicated to poverty alleviation since the first day of this business,” said Richard Liu, founder and CEO of JD.com.

Liu’s style has also influenced JD corporate culture in terms of social responsibility. JD.com released his first Corporate Social Responsibility Report (2004-2013), which summarizes the company’s social responsibility practice and performance over the past decade.

JD currently employs more than 280,000 people. Nearly half of the employees come from lower- or medium-income families and rural areas, with many expressing the desire to make contributions to their own hometowns.

On March 4th, JD.com announced the launch of the Spring Raindrop Plan to allocate RMB 1.5 billion worth of marketing resources to help merchants and brands that have been heavily impacted by the COVID-19 epidemic, and to bring more quality products to nationwide consumers. JD set up special channels for agricultural products to help farmers sell fresh agricultural products.

JD also announced supportive measures for the agricultural industry in poor rural areas to help the industry achieve an output of RMB 1 trillion yuan in the next three years. The company will use its strengths in supply chain, logistics, finance, technology and service to boost performance for the industry.

“The essence of an enterprise is its value to society,” Liu said. “A good enterprise should not only have sustained and excellent performance, but more importantly, it should work hard to win the recognition and respect of the whole society.”

 

(zhanghui36@jd.com)

Posted in ESG

JD Auto Upgrades its Omnichannel Car Maintenance Services

by Vivian Yang

JD Auto announced that it will upgrade its car maintenance products on October 30th, offering more standardized and transparent services for car owners via its ominichannel platform.

High saturation of car ownership in China has propelled the automotive aftermarket to provide more high-value and specialized products and services, said Yan Qing, general manager of JD Auto, at a press conference about the announcement.

At present, JD Auto has opened over 1,000 car maintenance stores that integrate online and offline services in 163 cities across China. Car parts for these stores are supplied from JD’s multi-channel inventories that ensure low purchasing cost and high delivery efficiency for the end-users.

Yan Qing, general manager of JD Auto

Yan Qing, general manager of JD Auto

Meanwhile, thanks to its O2O (online to offline) service model, car owners can order car maintenance products and services on JD.com, such as tires, machine oil, and more, and also visit nearby JD Auto Services stores for offline installation and other services.

The ominichannel model is widely welcomed by JD Auto’s partners. Representatives at the press conference from Continental tires, Tongyi lubricants, and Mahle automotive parts manufacturer all expressed their hope to strengthen collaboration with JD on this front.

“In the future, JD will further open all the services and user’s benefits across our online and offline channels, ensuring consistent offers to our customers,” said Qing Yan.

As measured in September 2020, China has become one of the largest automotive markets in the world with over 275 million cars. The average age of cars in China is about 4.9 years, which is getting closer to the 5 years’ threshold when car maintenance demand will surge, as experience shows from the international market, ushering in the boom of the trillions-of-yuan worth automotive aftermarket.

 

(vivian.yang@jd.com)

AllianzJD Celebrates Two-Year Anniversary

by Ling Cao

AllianzJD, a joint venture between Allianz and JD, celebrated its two-year anniversary last week. As the fastest-growing insurance company in China, AllianzJD has completed 1.05 billion customer interactions, and 36.88 million insurance orders. The company has expanded a range of insurance businesses covering car, health, accident, travel and freight, providing a single and convenient insurance service for clients.

Over the past two years, over 800 partners have cooperated with AllianzJD, serving over 160,000 merchants. Chunjun Xu, CEO of AllianzJD said, “Two years is just a beginning. With all of our efforts, we are confident to achieve our vision for becoming the most trusted digital insurance company based on technology.”

Chunjun Xu, CEO of Allianz JD

The company is also consistently enhancing its service level, with its smart customer service having already served 608,000 people, equal to over 800 people daily. It has also made its insurance claims service flexible, with a small amount of cases handled online directly. In terms of medical insurance, there are over 3,000 online doctors to provide free consultative services.

AllianzJD also prioritizes its social responsibility. Since the outbreak of COVID-19, AllianzJD has provided over 200,000 policies to frontline employees with COVID-19 related insurance. During natural disasters like earthquakes, AllianzJD has also created fast reaction channels.

 

(ling.cao@jd.com)

JD and Kuaishou to Host a 200-Hour Livestream during Singles Day

by Ella Kidron

JD and Kuaishou will partner to bring high quality products to Chinese consumers this Singles Day. From November 1st to 9th, many leading Kuaishou hosts will take turns presenting on a 200-hour (8 days and 8 hours) uninterrupted livestream.

During the livestream, Kuaishou viewers can get a secret code, which can be inputted on the JD app to receive coupons to be used on JD.com. Tied to JD’s Super Category Day promotions, the live broadcasts will cover computer and digital products, mobile phone, home and everyday use, watches and jewelry, makeup and skin care, fresh food and other categories, providing users with high quality yet high value products.

This livestream cooperation is an extension of JD’s existing partnership with Kuaishou, which was announced just ahead of JD’s 618 Grand Promotion earlier this year. Through the partnership, Kuaishou users are able to purchase JD’s first party retail model products without leaving the Kuaishou app, and enjoy fast delivery and high quality after-sales service provided by JD. Overall, JD and Kuaishou are focused on strengthening to quality of products bought through livestreaming, and providing a tool for merchants to reach their target customer bases more effectively. Twenty-two million viewers tuned into the JD-Kuaishou livestream held during 618.

According to news reports, the world record for the longest livestream is currently held by Welsh content creator Reece “Reecesy” at 200 hours 30 minutes 28 seconds. The record was previously held by Twitch streamer Louis “Los PollosTV” Sammartinos, and before that, by video streaming platform Hulu at 161 hours 11 minutes 32 seconds.

 

(ella@jd.com)