Sales of JD Super Increase 128% YOY during 9.9 Shopping Festival

by Rachel Liu

JD Super, JD’s online supermarket, saw a 128% YOY increase in during the 9.9 Shopping Festival held on September 9th, a special sales event for the supermarket category. Sales of food, maternal & baby products, liquors, fresh food pet products and more all saw strong increases.

JD Super sold over 300 million pieces of diapers, over 30,000 tons of milk, over 5.85 million hairy crabs during the festival. Among all of the FMCG brands, Chinese dairy giant Yili became the best-selling brand, following by popular liquor brand Moutai and dairy giant Mengniu. The top three most popular products are Wuliangye baijiu(52% alcohol), Mengniu Deluxe Milk and hairy crab from the brand Gu Su Yu Ge (姑苏渔歌).

JD Super, JD’s online supermarket, saw a 128% YOY increase in during the 9.9 Shopping Festival

During the promotion, popular Chinese singer and celebrity Da Zhang Wei (大张伟) joined a livestream show on JD Super and attracted over 1.94 million viewers. Kwai, a popular Chinese short video platform, also joined the 9.9 Shopping Festival and launched special livestreams for the event. Followers of JD Super’s Kwai account increased 2800% and the account received over 506,000 orders.

JD Super also leveraged its omnichannel marketing ability to improve the recognition of the 9.9 Shopping Festival among customers. Over 3,000 offline stores from 16 brands joined the marketing promotion, including JD’s 7FRESH stores, JD New Markets stores, and JD GO convenient stores.

On September 17th, JD Super also announced its plans to support the development of time-honored brands on JD through marketing, logistics and big data. “We hope to help time-honored brands to achieve sustainable growth through JD’s comprehensive support. We believe the brands will become more high quality and more popular among the rising young generation,” said Xiaojun Wang, general manager of packaged food, JD Super.

 

(liuchang61@jd.com)

JD and Kimberly-Clark to Develop New Supplies Solution for the Workplace

by Ella Kidron

JD MRO, the maintenance, repair and operations business under JD.com and Kimberly-Clark Professional, the workplace solutions provider under Kimberly-Clark, announced plans to deepen their partnership. The new partnership will find the parties taking a long term approach to providing cleaning products and protective supplies solutions for enterprises across multiple scenarios. It was announced at the ongoing 22nd China International Industry Fair (CIIF) in Shanghai.

At the beginning of 2020, facing a shortage of protective supplies and supply chain disruptions, leading American personal care corporation, Kimberly-Clark played an important role in realizing the “Safe Return to Work Guarantee Plan” launched by JD MRO and partners. The plan served over a total of 1.31 million customers from a range of industries, helping them to get back to work and implement the necessary measures to protect workers from COVID-19. Leveraging its supply chain advantages JD was able to provide a total of 9.8 million items of supplies such as medical masks, personal protective equipment (PPE), safety goggles and more.

Kimberly-Clark Professional leveraged its global supply chain to provide more than 8 million items of products such as hand sanitizer, PPE, cleaning towels, gloves and  safety goggles to JD MRO, to support large enterprises like the China Academy of Engineering Physics  and SANLI (东方电气) get back to work safely. Kimberly-Clark professional also supported JD donate to 100,000 items of cleaning supplies to the Wuhan railway bureau, Wuhan airport and other public transportation and service units.

Wu Bei, general manager of Kimberly-Clark Professional China, said “In the stage of normalized epidemic prevention and control, doing a good job in enterprises cleaning and prevention and control not only helps fight the epidemic but also protects the economy. He added that Kimberly-Clark will continue to deepen its cooperation with JD MRO and take an integrated approach covering production to consumption to provide cleaning and protective services for more enterprises.

JD and Kimberly-Clark plan to develop or upgrade enterprise epidemic prevention and control solutions based on data and openness. Leveraging both parties’ accumulated experience in this space, the two companies plan to implement their solutions in more enterprise cleaning scenarios, such as a contactless bathroom, one stop laboratory for cleaning and protective supplies and more.

Even as epidemic prevention and control reaches a stage of normalization in China, COVID-19 has drastically changed people’s hygiene habits. For example, people have gone from washing their hands just three times per day to more than 10 times per day. As such, the demand for cleaning and protective supplies, particularly in the workplace remains high.

 

(ella@jd.com)

JD’s Photovoltaic Power Generation System to Reduce Carbon Emissions

by Yuchuan Wang

JD.com announced that its logistics parks will generate 160 million kilowatt-hour (kWh) of electricity annually by 2021, reducing annual carbon dioxide emissions by 136,000 tons— equivalent to saving 52,000 tons of coal. This clean energy will be generated through photovoltaic power generation systems in JD’s more than 10 Asia No.1 logistics parks across China.

Earlier this year the Global Footprint Network announced that humanity is currently consuming planet resources 1.75 times faster than the earth can regenerate; and that figure will increase to 3 by year 2030. Additionally, the UN Environment Programme-led Inclusive Wealth Index reported that between 1992 and 2014, 140 countries lost natural capital, which is defined as the world’s stocks of natural assets, as GDP and human capital increased.

In recognition of this urgency, JD launched the “Green Stream Initiative” in 2017, a joint green supply chain campaign with the goal of improving the utilization rate of supply chain resources and reducing carbon emissions.

Under this initiative, JD began to utilize photovoltaic power generation systems in its logistics parks in 2018. For reference, the Shanghai Asia No. 1 logistics park’s power system features 8,600 monocrystalline silicon solar modules that can generate 2.3 million kWh electricity annually. This clean energy is being used for 60 production scenarios covering a 100,000 square meter area including warehouse lighting, new energy vehicle charging, automated picking, sorting and packaging.

During the 618 Grand Promotion this year, JD Logistics also introduced 78 “dark warehouses”, in which highly automated smart logistics facilities work in the dark—saving 1,572,480 kWh electricity in total.

Another way in which the company is cutting down on waste is by applying algorithms to recommend packaging materials. To put it simply, when warehouse employees choose packaging materials by hand they are inevitably prone to human error, occasionally using mis-sized packaging that results in unnecessary waste. The algorithm powers a fully automated packaging system that ensures a more precise use of packaging materials.

In 2019, JD Logistics, as China’s first logistics company, joined the Science Based Targets initiative (SBTi), an ambitious global campaign aimed at driving corporate action on climate change.

 

(yuchuan.wang@jd.com)

Posted in ESG

JD Brings London Fashion Week Digital to China Exclusively

by Rachel Liu

JD is collaborating with the British Fashion Council (BFC) this month to launch digital London Fashion Week (LFW) exclusively in China. LFW September 2020 will run from September 17th to 22nd, with both digital and physical events. This initiative follows the partnership with LFW in June, and marks a deepened partnership between JD and the BFC.

JD will become the official digital hub of the LFW digital platform in China. All content will be available for free.  Designers on the LFW schedule whose products are available on JD will see their content launched on the JD platform simultaneously with the schedule. Brands that will showcase their runway highlights on JD include Christopher Kane, Erdem, Vivienne Westwood and more. Customers will also be able to shop the collections on JD while watching the digital content.

JD will become the official digital hub of the LFW digital platform in China.

“Many fashion brands and events in the industry are looking for digital transformation this year due to the impact of COVID-19. Since the beginning of 2020, we have welcomed many brands to launch stores on JD to expand their online presence. We are pleased to deepen our partnership with the BFC to provide more diversified solutions for international designers and brands to reach Chinese consumers,” said Kevin Jiang, president of International Business, JD Fashion and Lifestyle.

Following a successful collaboration during LFW in June, LFW Ambassador Mr. Hu Bing will again create three films to highlight key British brands with flagship stores on JD, including Anya Hindmarch, Church’s and Preen by Thornton Bregazzi. In the films, Hu Bing discusses with the designers the inspiration for their new collections, practical styling tips and their experience during COVID-19.

Successful British brands that have already launched on JD, including A-COLD-WALL*, Pringle of Scotland, Kent & Curwen, Gieves & Hawkes, Mulberry, Paul Smith, Aquascutum, Christopher Kane and Smythson will be shown on the LFW page on JD with links to their JD flagship stores.

JD has been working with the BFC to support the British designers and fashion industry. This June, JD invited three iconic British brands, A-COLD-WALL*, Paul Smith, and SMYTHSON, who all have flagship stores on JD, to have conversations with Hu, and launched the videos on JD to increase the brands’ exposure in China. This May, JD participated in the judging for the recipients of the “BFC Foundation Fashion Fund for the Covid Crisis”, to support creative fashion businesses and individuals during the COVID-19 pandemic.

 

(liuchang61@jd.com)

Sales of Electronic Products Triple on JD’s Super Brand Day

by Hui Zhang

Sales of home appliances, mobile phones, computers and other electronic products increased by more than 200% on JD.com’s electronics Super Brand Day held on Sept. 15th. Among them, sales of Consumer-to-Manufacturer (C2M) products in the home appliances, mobile phones, computers and other electronic products sub-categories increased by over 300% compared with the same period last year.

Sales of massagers and massage chairs increased by more than 200% compared with the same period last year. Sales of electronic toothbrush and flosser increased by more than 300%, and that of air fryers and ovens increased by over 260%. Sales of 5G mobile phones increased over 100% year-on-year. Home projector sales increased more than 6 times year-on-year, and drones increased 9 times year-on-year.

Major domestic and abroad brands also saw sales surge on the super brand day. Sales of Apple, Huawei, Honor, Lenovo, Xiaomi, Haier, Asus and Midea all exceeded RMB 100 million yuan.

JD’s high-quality service, including free returns service, one-hour delivery service for mobile phones and replacement services also attracted many customers on the Super Brand Day. According to JD’s data, the number of consumers who selected one-hour mobile phone delivery services increased by more than 100%, and that of consumers who enjoyed the one-stop replacement services also increased by more than 70%.

Live streaming also contributed to the business surge. According to JD’s data, sales resulting from livestreams on September 15th reached to RMB 140 million yuan.

A key driver of these sales results is JD’s constant innovation in the electronics industry. As a leading platform for electronics, JD.com released a white paper on the 2020 refrigerator and washing machine industry. The findings in the paper indicate consumers on JD.com are more willing to select high-end products from major brands.

 

(zhanghui36@jd.com)

JD.com’s “Green Stream Initiative” Wins WRC’s Award

by Yuchuan Wang

JD.com’s Green Stream Initiative won the “Sustainable Retailing Initiative of the Year” award, announced by World Retail Congress (WRC) on September 17th during its virtual conference WRC Connected. The WRC, also known as the “Retail Davos”, is a key global retail industry organization designed to bring together a broad group of industry stakeholders to encourage innovation.

JD.com’s Green Stream Initiative won the “Sustainable Retailing Initiative of the Year

Launched in 2007, the World Retail Awards have been recognizing the leading retailers and retail initiatives across a range of categories. This is the first time that WRC awards sustainable retailing, with a focus on the genuine innovations and strategic solutions being developed by retailers that are starting to deliver positive and significant environmental and/or social gains and improvements.

World Retail Awards judges commented that JD’s Green Stream Initiative is “actionable, scalable, measurable and demonstrating meaningful outcomes. This submission demonstrates that organizations can make meaningful change by making wise decisions, collaboration and focus.”

The Green Stream Initiative is JD.com’s key sustainability strategy. Through the initiative, over 5,000 new energy vehicles are currently in use to transport goods, recyclable boxes have been used 160 million times in over 30 cities, and disposable packaging has been reduced by nearly 67,000 tons.

 

(yuchuan.wang@jd.com)

Posted in ESG

JD Digits’ Merchant and Enterprise Solutions Contribute over Half of Revenue

by Ella Kidron

According to JD Digits’ prospectus for its planned IPO on the Science and Technology Innovation Board of the Shanghai Stock Exchange, the company’s digital solutions for merchants and enterprises accounted for 52.37% of revenue as of June 2020. Solutions for financial institutions accounted for 41.48% of revenue, while government and other clients made up 5.57%, and other business made up 0.57%. Benefitting from growth in smart marketing and smart city, the company’s government and other client digitization solutions grew 437.23%. Revenue CAGR for the past three years was 239.05%.

JD Digits is focused on aggregating its products and capabilities, the needs of external customers and the capacity of its third party ecosystem partners to build a unique, full-service “Technology + Industry + Ecosystem” model. The company currently has 600 financial institution clients including commercial banks, insurance companies, funds, trusts and securities companies. It has served one million small and micro enterprises, 200,000 small and medium-size enterprises and 700 large business centers with its business and technology solutions. In terms of government and other client services, JDD has served more than 40 urban public service organizations with the smart city operating system as its core product. It has a huge IoT marketing platform with over 15 million self-operated and alliance media points, covering more than 300 cities and more than 600 million people.

JD Digits has gone through three stages of development, from being a digital finance provider from 2013-2015, to a financial technology provider from 2015-2018, to its current role as a digital technology player. It has already pioneered a new model of merchant and enterprise service-driven digital technology company. Backed by the support of JD.com, JD Digits has built a solid ecosystem, which consists of all kinds of clients in the JD.com ecosystem, as well as clients in the financial institutions, merchants and enterprises, government and more based on its own digital technology capabilities.

 

(ella@jd.com)

JD, Dada and Yunyingbao to jointly Build Omnichannel Ecosystem

by Rachel Liu

JD announced that it will expand its partnership with Dada Group, JD’s joint venture for local on-demand retail and delivery, and work with Yunyingbao, a Chinese e-commerce service provider, to build an omnichannel ecosystem for electronics and other products, providing faster, more convenient service for Chinese consumers.

JD currently has over 400 JD Computer and Digits offline stores around China, as part of its omnichannel expansion to integrate offline and online services. Dada Group will help launch more of these stores on JDDJ, the on-demand retail platform under Dada group, leveraging its coverage of over 1,000 cities and counties across China to provide one-hour delivery service.

JD announced that it will expand its partnership with Dada Group, JD’s joint venture for local on-demand retail and delivery,

Previously, one-hour delivery service was mostly seen in food, grocery and consumer products, but is now expanding to include more electronics products. When the Lenovo Y7000P and HP OMEN6 were launched earlier this year, Dada Group and JD Computer and Digits stores worked closely to offer one-hour delivery to customers.

Additionally, Yunyingbao will help the offline stores digitalize their products and services, and assist the stores with supply chain management, market research, product management and store operations to help stores improve online performance.

JD, Dada Group and Yunyingbao will expand on-demand delivery service to more categories, and open the ability to partners to improve the efficiency of retail industry.

 

(liuchang61@jd.com)