JD Logistics Accelerates Global Expansion with New Express Delivery Service to North America and Europe

Posted on by Yuchuan Wang

December 15, 2023 – JD Logistics, the logistics arm of JD.com and a global leader in integrated supply chain and logistics solutions, today announced the launch of its international express delivery service. The new service marks a significant milestone for JD Logistics, representing both an expansion of its renowned logistics services to the global stage and a key phase in the company’s broader international market expansion.

Currently available for individuals in Shenzhen and Guangzhou, the express delivery service will initially cover 23 countries across North America and Europe, facilitating one-way deliveries from China. Looking ahead, JD Logistics plans to extend the reach of this service, expanding its availability throughout China.

Leveraging the company’s robust express delivery network, customers in China can book doorstep pick-ups through the JD Express mini program on WeChat and expect one-hour pick-up by JD’s in-house couriers, a testament to the company’s dedication to efficiency and customer satisfaction. Moreover, real-time parcel tracking provides customers with transparency and peace of mind throughout the delivery process.

JD.com is actively expanding its international supply chain and logistics capabilities. In a strategic collaboration with Geopost earlier this year, JD Logistics developed comprehensive shipping solutions for consumers and businesses between China and Europe. Additionally, the company is adapting its highly efficient warehousing model, proven successful in China, to meet industry demands in Europe, North America, the Middle East, Australia, and Southeast Asia. Notably, JD Logistics’ overseas warehousing operations already offer same-day fulfillment services in key European markets, including Germany, the Netherlands, France, the U.K., Spain, and Poland, while ensuring rapid two-to-three-day delivery across 90% of regions in the United States.

JD Logistics’ venture into international express delivery is a natural extension of its existing capabilities. Over the past decade, the company has transformed the delivery landscape in China by pioneering same- and next-day delivery, setting a new standard of service for hundreds of millions of consumers. This achievement was made possible through JD Logistics’ six highly synergized logistics networks, encompassing warehousing, line-haul transportation, last-mile delivery, bulky item delivery, cold chain logistics, and cross-border logistics.

 

(yuchuan.wang@jd.com)

JD Worldwide Launches the “Bayern Pavilion” in Cross-Border E-Commerce Initiative

Posted on by Vivian Yang

On December 8th, 2023, JD Worldwide, the cross-border e-commerce platform under JD.com, announced a new collaboration with the city of Munich, Bavaria (Bayern in German), and digital marketing agency Hylink to introduce the “Bayern Selectives Pavilion.” This themed flagship store is designed to provide Chinese consumers with a convenient one-stop online shopping experience to discover and purchase a variety of Bavarian products and cultural items.

The inaugural brands launched in the store include Roeckl, Die Rockmacherin, Werner Christ, and Online pens, featuring a diverse range of categories such as apparel, accessories, food and beverages, and stationery. In response to evolving consumer preferences, the Pavilion intends to expand its product range by offering skincare and beauty brands, delicacies, and many more.

During the pavilion’s opening ceremony, key partners from the state of Bavaria, including Clemens Baumgärtner, Head of Munich’s Department of Labour and Economic Development; Helmut Käs, Head of BMW Group Classic and Managing Director of Munich Tourism Promoting Association; Michael Käfer, CEO of Käfer; Caroline Lauenstein, founder of Die Rockmacherin; Alexandra and Thomas Batsch; and Alexander Apfel, founders and CEO of ONLINE, recorded video messages expressing their enthusiasm and support for the Bayern Select Pavilion, emphasizing its role in extending the reach and accessibility of premium Bavarian products to the Chinese market.

Tong Defa, Consul General of the Chinese Consulate in Munich, highlighted the significance of this collaboration as a milestone in Sino-German trade relations. In his remarks, he noted that “China is the world’s largest import market of cross-border e-commerce. JD Worldwide’s expansion will create increasing global opportunities, benefiting more countries and regions like Germany and the state of Bavaria.”

Luke Liu, Head of KA, duty-free and global sourcing in Europe of JD Worldwide, said, “We are thrilled to seamlessly integrate Bavaria’s premium brands and products, JD’s highly efficient sales channels, and the aspirations of Chinese consumers for high-quality goods through the establishment of the Bayern Selectives Pavilion. We strive to enhance services across consumer scenarios, marketing, quality of products and customer services, and merchant recruitment to become the preferred gateway for international brands entering the Chinese market.”

Wenjing Wang, Managing Director of Hylink Germany, which is the operator of the pavilion, said, “Hylink is dedicated to building communication bridges for premium brands between China and the world. Starting with the Bayern Selectives Pavilion project, we aim to collaborate closely with the Munich city to curate distinctive local products, inviting Chinese consumers to appreciate the craftsmanship, culture, and history of Bavaria.”

Imported European products, particularly those from Germany, have consistently found favor among Chinese consumers on JD.com. According to the “2023 Report on European Imported Product Consumption Trends” by JD’s Consumption and Industry Development Research Institute, young consumers aged 26 to 35 account for 45% of European product purchases. Furthermore, there is a growing interest in European products among consumers in rural and county markets in China, with a high appreciation for goods made in Germany.

 

(vivian.yang@jd.com)

JD Technology’s Supply Chain Financing Extends to Third-Party Warehouses

Posted on by Yuchuan Wang

JD Technology, the technology services arm of JD.com, recently announced the opening of its supply chain finance services to third-party warehouses. In collaboration with Deppon Express, JD Technology now provides warehousing operations + mortgage financing solutions to clients in sectors ranging from home appliances to wine & spirits industries.

Since 2014, JD Technology has been at the forefront of offering logistics financing solutions tailored to industry needs. At present, JD’s mortgage financing offers loans secured against stored goods. This innovative platform supports real-time, automated management of collateral, enabling around-the-clock repayment options. For merchants selling through JD.com’s retail business, JD Retail, credit lines of up to RMB 10 million can be approved automatically, with funds made available instantly. This contrasts with traditional financial institutions, as non-JD Retail merchants benefit from simpler document submission requirements and a more efficient due diligence process.

Deppon Express operates in more than 60 cities and has 1.3 million square meters of warehouse space. It provides customized solutions for large and delicate items such as home appliances, furniture, and wine & spirits, and enhances JD’s supply chain financing in monitoring and managing goods in warehouses. JD Technology’s expertise in supply chain financing is anchored by three core capabilities: the efficient management of goods, accurate valuation of goods, and a robust network for goods disposal. Specifically, in terms of product admission and valuation, JD Technology can integrate online sales data to systematically and dynamically estimate the value of goods. This approach considers various factors, including historical transaction data, product price trends, and projected market demand, and more.

JD Technology’s logistics financing solutions are making a significant impact across nine key industries, ranging from home appliances to spirits, and encompassing sectors like computer and office supplies, mobile phones, as well as baby and maternal products. The scale of its operations is vast, having overseen more than 2,000 warehouses and managing an inventory valued at over 20 billion yuan.

 

(yuchuan.wang@jd.com)

JD.com Celebrates the Launch of Slovak National Pavilion

Posted on by Vivian Yang

by Vivian Yang

On December 5th, JD.com announced the grand opening of the National Pavilion of Slovakia at the residence of Ambassador of the Slovak Republic to China Peter Lizák,  The event marked a significant moment, as Slovakia, famously known as the “Country of Castles,” became the 20th European country to launch a country-themed flagship store on JD.com.

Ambassador Lizák expressed in his opening remarks, “This project marks a significant milestone for Slovak enterprises and Chinese customers. It brings new potential into our bilateral cooperation.”

The Pavilion showcases a range of Slovak specialties, including the internationally acclaimed LYRA ruby milk chocolates, wine collections from 400-year-old Modra wine cellars, and exquisite RONA glassware. These specialties are now readily accessible to Chinese consumers via the JD app, offering them the ease of shopping with competitive pricing and JD’s efficient delivery services.

“This is just the beginning. More Slovak products will soon be added,” said Ambassador Lizák, revealing a number of Slovak premium dairy brands are on the way to meet Chinese consumers. Moreover, Ambassador Lizák noted the growing opportunities in tourism, especially with Slovakia’s recent inclusion on China’s overseas group tours destination list, which could attract Chinese visitors to Slovakia’s scenic landscapes and historic landmarks.

Yusuf Ma, head of JD Super’s National Pavilion program, part of the JD Retail division, said, ‘We are excited about the prospect of deepening our collaborations with additional Slovak brand partners and suppliers. This initiative is a reflection of JD’s commitment to enriching the Chinese market with a diverse assortment of high-quality products. Moreover, through our support of global brands in their journey into the Chinese market, the National Pavilion program becomes a vital link for cultural engagement and a dynamic platform for promoting tourism.” With over 50 brands achieving annual sales exceeding 1 billion RMB and more than 500 brands surpassing 100 million RMB in annual sales, JD Super has solidified its position as the go-to online store for Chinese consumers in supermarket categories, serving as a significant sales growth platform for numerous brands.

King Wang, chairman of CLIBIZ Holding Ltd., the store operator of the National Pavilion of Slovakia stated that “As the link between the embassy and JD.com, we aim to seamlessly introduce Slovak products to JD. Drawing on our expertise in online operations, we’ll focus on product curating, positioning, marketing, customer service, and more aspects for a smooth shopping experience.”

JD.com’s National Pavilion program now features over 110 pavilions, offering nearly ten thousand specialty products from almost 60 countries. The recent Singles’ Day Grand Promotion saw a remarkable 700% year-on-year growth in Gross Merchandise Volume (GMV) within the first 10 minutes, reflecting strong consumer interest in international products.

JD.com remains dedicated to fostering global trade and cultural exchange. The launch of the Slovak National Pavilion is a prime example of JD’s commitment to bridging the gap between Chinese consumers and the wider world, supported by its robust logistics and customer service expertise.

 

(vivian.yang@jd.com)

Empowering Beauty Retail: JD Worldwide Introduces Incentives and Solutions in Cross-Border E-Commerce

Posted on by Vivian Yang

by Vivian Yang

JD Worldwide, JD.com’s one-stop shopping platform for both imported and exported goods, recently hosted a merchant recruitment event in Shenzhen, focusing on beauty and skincare categories. Held on November 30th, the event showcased JD’s innovative cross-border e-commerce solutions, highlighting our integrated supply chain capabilities, and introduced various incentives for new merchants joining the platform.

Emerging Consumer Trends and Market Leadership

“The Gen Z demographic, primarily consisting of individuals born after the year 2000, has emerged as a major driving force in the consumption of imported beauty and skincare products. Since 2023, this group has shown an extraordinary growth of more than 250% year-on-year on JD.com,” shared the category manager of JD Worldwide. “Moreover, JD Worldwide continues to lead in engaging users from China’s smaller cities in this market segment, further establishing our platform as the go-to site for imported goods.”

JD Worldwide introduced bespoke incentive policies tailored for beauty and skincare merchants at the event, including JD’s “Spring Dawn” initiative, specifically designed to support small businesses and individual entrepreneurs in kick-starting their journey on the platform. Merchants can also benefit from substantial premiums of up to 5% of their annual sales. Additionally, we introduced specialized incentives for newcomers in categories such as perfumes and cosmetics, ranging from reduced quality assurance deposits to commission rebates.

Rising Demand for Imported Goods

The demand for imported goods in China is on an upward trajectory, fueled by increased availability, enhanced service efficiency, and a gradual reduction in prices. The “2023 Report on European Imported Product Consumption Trends,” published by JD’s Consumption and Industry Development Research Institute, reveals a 79% rise in users purchasing European imports. Notably, there’s been a 312% increase in users below 25 years and a 207% rise in transactions in county and rural markets.

During this year’s Singles’ Day Grand Promotion, JD Worldwide experienced a significant 100% year-on-year increase in transaction volume across more than 350 cross-border imported product categories. Particularly noteworthy is the 20-fold growth in our Korean direct procurement business within the beauty category.

Continued Innovation and Consumer Appeal

JD Worldwide is relentlessly innovating, evident in our consumer-favorite models like global buyers’ stores, National Pavilions, Global Supermarket, and the “just-in-time inventory from official brand sites” program. By leveraging JD’s advanced supply chain capabilities, we’re continuously refining and expanding our ecosystem. Our focus spans enhancing consumption scenarios, devising impactful marketing strategies, ensuring product and service quality, and intensifying merchant recruitment. Our goal is unwavering – to equip brand merchants with the tools and support necessary to thrive in the Chinese market.

Discover more about the opportunities and growth potential with JD Worldwide.

 

(vivian.yang@jd.com)

JD Logistics Reports 70% Increase in Overseas Outbound Orders During Black Friday

Posted on by Yuchuan Wang

During this year’s Black Friday, JD Logistics witnessed a 70% surge in overseas outbound orders, a significant increase from the same period last year. The company attributes the increase in large part to the implementation of automation technology and advanced AI algorithms, which have been instrumental in helping merchants accurately forecast sales and prepare inventory. Notably, JD Logistics’ forecasting accuracy rate exceeded 95% during Black Friday.

JD Logistics’ self-developed international warehouse management system (iWMS) played a crucial role. This cutting-edge system schedules a variety of intelligent devices, resulting in a more than threefold increase in the operational efficiency of overseas warehouses. The iWMS is a boon for local vendors, enabling them to manage a large number of SKUs effectively and allocate products to warehouses closest to consumers in advance. This foresight significantly reduces order fulfillment times from 7 days to just 2-3 days in overseas markets.

JD Logistics’ technological advancements extend to its overseas warehouses across Europe, North America, and other regions, where the company has deployed nearly one thousand pieces of automation equipment, including Automated Guided Vehicles (AGVs), Container Transport Units (CTUs), sorting robots, and sorting conveyor equipment. Utilizing these advanced automation technologies, JD Logistics has developed an innovative Power-Sorting-Picking (PSP) model, significantly boosting picking and sorting efficiency—achieving more than a threefold increase compared to traditional manual methods.

“JD Logistics’ advanced automation and intelligent strategies are transforming the global logistics ecosystem,” said Tian He, Chief Technology Officer at JD Logistics (including Europe). “Our cutting-edge solutions are markedly reducing international fulfillment times, which is essential for elevating consumer satisfaction. We are committed to continuously advancing our automation and intelligence technologies, aiming to set an even higher standard of excellence in the international logistics arena.”

On the merchant front, JD Logistics developed the international order fulfillment platform (iFOP). This platform enables vendors to connect with major e-commerce marketplaces and independent sites with one click, facilitating the fulfillment of orders from various channels through an integrated inventory system.

Addressing the challenges in after-sales and reverse supply chain logistics, JD Logistics has established multiple reverse maintenance centers in Europe and North America, providing services such as acceptance inspection, refurbishment, and environmentally friendly disposal.

In China, JD Logistics operates over 1,600 warehouses and continues to expand its footprint. Its international operations include nearly 90 bonded warehouses, international direct mail warehouses, and overseas warehouses globally, covering a total gross floor area of approximately 900,000 square meters. This extensive network underscores JD Logistics’ commitment to enhancing global supply chain solutions through innovative and efficient logistics services.

 

(yuchuan.wang@jd.com)

JD.com Recognized on FORTUNE China’s Most Admired Companies 2023 List

Posted on by Vivian Yang

by Vivian Yang

FORTUNE Magazine unveiled the China’s Most Admired Companies 2023 list on November 21st. In recognition of its business excellence and industry leadership, JD.com proudly secured the 21st position on the Top 50 All-Stars List.

FORTUNE’s Chinese edition, in detailing the criteria for this ranking, emphasized the importance of a company’s “soft power,” encompassing not only operational effectiveness but also management acumen,, sustainability initiatives, and social responsibility. This year’s list highlighted companies that demonstrated exceptional adaptability and resilience in an increasingly complex and uncertain global business landscape.

JD.com distinguished itself in several key areas of “soft power” in 2023, garnering accolades for its initiatives in job creation, employee inclusiveness, and gender diversity. These commendable efforts include:

  • Employment Growth: As China’s premier private technology company, JD.com boasts a workforce of over 560,000 employees, demonstrating its leading position in generating employment opportunities.
  • Inclusive Employment Initiatives: The company’s “Sunshine Angels” program, aimed at offering online customer service positions to individuals with disabilities, received acclaim from the APEC Women Leadership Forum for its innovative approach to women’s empowerment in 2023. Women constitute 70% of the core roles in this program.
  • Gender Diversity: JD’s commitment to gender equality is evident in its workforce composition and leadership. Women represent a significant 46% of JD’s office workforce. Additionally, the company’s 2022 ESG report highlights its dedication to gender diversity, with women occupying nearly 43% of its board positions.

FORTUNE’s Chinese edition also shed light on the rigorous selection process for the ranking, involving comprehensive surveys of over 39,255 business executives across China.  The evaluation criteria spanned a broad range of aspects, including management quality, talent attraction and retention, excellence in products and services, and commitments to social and environmental responsibility.

(vivian.yang@jd.com)

Posted in ESG

JD.com Announces Third Quarter 2023 Results

Posted on by Yuchuan Wang

JD.com, Inc. (NASDAQ: JD and HKEX: 9618 (HKD counter) and 89618 (RMB counter)), a leading supply chain-based technology and service provider, today announced its unaudited financial results for the three months ended September 30, 2023. Below is an infographic with the key highlights. The full release can be found: https://ir.jd.com/news-releases/news-release-details/jdcom-announces-third-quarter-2023-results