JD to Deliver Admission Notices for 100+ Colleges

by Yuchuan Wang

Marking the second year for JD Logistics to ensure the delivery of college admission notices, this year the company has collaborated with over 100 universities and is expected to deliver more than 100,000 notices to students.

As of now, the first batch of 1,613 notices from a Nanjing-based university has already been delivered by JD.

Zhang Zhong, is one of the students received his notice from this university on August 9th. “I jumped for joy when I received the call from a JD courier,” said Zhang.

JD Logistics has made a special plan for the delivery of admission notices. Each package attaches a unique label of “university document”, and the whole delivery process is transparent and can be traced. Customized waterproof packaging also ensures the secure delivery of every single admissions notice.

This year, China kicked off the National College Entrance Examination (NCEE), commonly known as the “Gaokao” (高考) on July 7th.

 

(yuchuan.wang@jd.com)

JD Health Launches Oral Care Center with “Internet+Healthcare” Model

by Vivian Yang

On August 10th, JD Health launched its oral care center in Beijing. At the press conference, China’s renowned oral care expert Dr. Songling Wang accepted JD’s invitation to be the chief scientist of the center. And JD Health and Yantai Hospital of Stomatology of Shangdong province signed a cooperation agreement in which the latter will officially move all of its online services onto JD’s platform.

The establishment of the oral care center is one more addition to JD Health’s internet exploration in specialized medical services. JD Health has established 14 specialized medical service centers dedicated to specific diseases, such as the Traditional Chinese Medicine Consultation Center, Heart Diseases Center, and Diabetes Center.

Dr. Songling Wang is an academician of the Chinese Academy of Sciences, current vice-dean of Capital Medical University, and vice-president of the Chinese Stomatological Association. In his speech at the press conference, Dr. Wang stressed the importance of education and prevention regarding oral health and highly recognized JD Health’s “internet+healthcare” model.

Dr. Wang stressed the importance of education and prevention regarding oral health and highly recognized JD Health’s “internet+healthcare” model.

Dr. Songling Wang

“The diagnosis and treatment model that JD Health introduced is efficient, fast and convenient. The platform’s advantages will help promote the popularization of oral health knowledge, the training of grassroots doctors, the sharing of clinical information by big data and the change of diagnosis and treatment mechanism, providing more premier medical resources and services for a wide range of patients,” said Dr. Wang. Besides Dr. Wang, a number of top oral experts are invited to provide consultation and services through the oral care center.

“The diagnosis and treatment model that JD Health introduced is efficient, fast and convenient

Lijun Xin (left), Prof. Xin Xu (center) and Prof. Yanheng Zhou (right)

Offline oral care medical institutions’ participation is key to the success of building a fully integrated new medical consultation experience for patients. In addition to the cooperation with Yantai Hospital of Stomatology, JD Health also reached agreements with another five oral care companies, namely Taikang Bybo Dental, LinkedCare, Sunny Dental, Fuessen Technology, and Myour Dental.

As of today, JD Health’s oral care services have covered over 2,000 offline clinics in more than 160 cities across China.

Oral health is an essential part of overall health and chronic disease control. There’s still a lot of work to do in China in the field of oral disease prevention and management. Over 95% of Chinese people are faced with oral or dental problems. According to the results of the 4th National Oral Health Survey in the mainland of China, the incidence of tooth decay in permanent teeth among 12-year-old children in China is 34.5%, an increase of 7.8% compared with ten years ago.

This present situation is coupled with the scarcity of oral experts – there is only one dentist available for every 3,000-4,000 Chinese people. The industry is in urgent need to improve the uneven medical resources situation and work on more accurate matching of hierarchical diagnosis, treatment, and doctor-patient resources.

Lijun Xin, CEO of JD Health

Lijun Xin, CEO of JD Health

“Under such circumstances, JD Health has leveraged the platform’s unique strength to quickly connect and gather top medical resources in the online oral care center,” said Lijun Xin, CEO of JD Health. “The oral care center will further integrate online and offline oral health services, continue linking medical services resources online and looping in more top medical institutions offline to provide more standardized and high quality oral medical services.

 

(vivian.yang@jd.com)

Walmart, JD and Tencent See Double-Digits Sales Increase during Omnichannel Shopping Festival

by Rachel Liu

Walmart, JD and Tencent announced that the 8.8 (August 8th) Omnichannel Shopping Festival (July 16th to August 15th), jointly launched by the three companies, has seen double-digits y-o-y sales increases in its “on-demand” business. On the day, the average number of “on-demand” orders of each Walmart store surpassed 1,000.

The Walmart stores on JD also saw great performance. Sales of Walmart’s flagship store on JD increased 180% y-o-y on July 16th, the first day of the 8.8 Shopping Festival. Sales of personal care, wine, and maternal & baby products all achieved double digits’ increases. Sales of food and beverage products through Walmart cross-border flagship store on JD Worldwide increased over 260% y-o-y. Walmart flagship store members increased by 650,000 during the shopping festival, and followers of the store has now reached nearly 10 million.

This year, with the impact of COVID-19, customers’ demand for online shopping and on-demand delivery is growing. JD and Walmart have worked together to launch an on-demand delivery service to provide next-day delivery to the customers who shop from the Walmart flagship store on JD, aiming to improve customer experience and optimize supply chain efficiency. If customers order products via the online flagship store, and the products are available in a nearby Walmart store, the order will be sourced from the store, and delivered directly to the customer, rather than having to come from a warehouse.  During the 8.8 shopping festival, the service covered 83 cities around China.

Since forming a strategic partnership in 2016, JD and Walmart have been exploring omnichannel development. In 2017, the two sides initiated the 8.8 shopping festival, and successfully integrated online and offline users, and piloted an inventory integration project in Shenzhen.

Customers are also able to shop on the Walmart WeChat mini-program powered by Tencent. There are over 7 million registered users on the mini-program, which ranks No.1 in the retail industry. It’s also the fastest growing mini-program on WeChat.

 

(liuchang61@jd.com)

JD Eyes 20 E-space, 300 Flagship and 5000 Township Stores by 2025

by Martin Li

JD.com plans to open 20 JD E-Space experience stores in first tier cities by 2025, Yan Xiaobing, Senior Vice President of JD.com and President of JD Electronics and Home Appliance, announced at the press conference on Aug.12th.

The press conference was held to mark JD’s official ownership of home appliance chain store 5Star. JD completed the acquisition of the remaining 54% of equity in 5STAR.combining with the previous 46% stake, this acquisition makes 5Star a wholly-owned subsidiary of JD.com.

“JD will also open 300 home appliance flagship stores in second and third tier cities on a one-city-one-store basis and 5,000 stores in towns and villages by 2025,” said Yan.

“All of these new stores, combined with the existing 15,000 JD Home Appliance Stores, will create a new offline JD (in terms of electronics and home appliance business),” he added. The 15,000 stores have covered 25,000 townships and 600,000 villages.

Yan Xiaobing speaks at the ceremony on Aug.12th.

Yan Xiaobing speaks at the ceremony on Aug.12th.

The 20 new E-Space stores will be 50,000 and 100,000 square meters in size. JD’s E-Space, which made its debut on Singles Day (November 11th) 2019 in Chongqing, enables consumers to try virtually anything within the store, and provides experiences from driving go-karts, to taking baking classes and even taking washing machines for a spin with real clothes.

Each of the 300 offline home appliance stores will be 10,000 to 20,000 square meters in size. These stores are expected to complete the offline network of JD’s direct-to-consumer home appliance business.

The acquisition of the remaining shares of 5Star is expected to further optimize JD’s electronics and home appliances supply chain, and improve its omnichannel capabilities.

5Star will be renamed JD 5STAR Group Limited and maintain independent operation.

5Star’s subsidiary stores will gradually carry the new name and undergo digital upgrade to function as product demonstration, customer experience and membership service centers.

5Star was established in 1998 and has annual sales over RMB 18 billion yuan. It is the third largest home appliance chain-store in China, only after Suning and Gome. The company owns more than 1,000 stores.

All 5Star stores have primarily achieved integration of offline and online products. 40% of the sales at stores come from online traffic, according to Pan Yiqing, president of the new company.

JD led in omnichannel sales of home appliances in China in the first half of this year, according to the report by China Electronics and Information Industry Development Research Institute.

“The COVID-19 pandemic took its toll on the home appliance industry in the first of this year. JD’s acquisition of 5Star could play a key role in driving the industry’s transformation,” said Jiang Feng, director of China Household Electrical Appliances Association.

 

(bjlihao3@jd.com)

 

ExxonMobil Introduced “China VI” Standard Products on JD’s “Super Brand Day”

by Vivian Yang

ExxonMobil held its “Super Brand Day” on JD.com on August 11th, during which the famous lubricant brand introduced several engine oil products that meet the China VI emission standard as well as rich marketing activities to ignite people’s passion for driving in this summer.

The China VI emission standard (国六) is a new national standard aimed at dramatically cutting emissions from the country’s vehicles of all types. It is one of the world’s most stringent emission standards. Due to the outbreak of COVID-19, the new standard has been postponed to take effect nationwide beginning in January 2021.

In the face of the upcoming standard upgrade, the automotive industry is gearing up with more complicated engineering and higher engine performance. This makes the protective effect of lubricant on the engine all the more important. For this reason, ExxonMobil launched a product line for Chinese car owners that meets API SP standards, which is the newest API (American Petroleum Institute) gasoline-engine oil standard. These products have been improved in many aspects, such as low-speed early combustion, high-temperature viscosity thickening control, fuel economy, cleaning performance, wear-resistance and more. The SP standard engine oil is compatible with all car models meeting the China VI standard and below.

The automotive aftermarket is also actively preparing for the arrival of the new standard.  Based on JD’s “Product+Service” model, customers buying ExxonMobil lubricant products via JD’s first-party online store can enjoy seamless maintenance services offered by JD Auto Service, the offline car service chain stores.

On the “Super Brand Day”, in addition to the livestreaming, gaming and substantial sales promotions, the brand also invited CBA stars to share useful knowledge about car maintenance and environmentally-friendly lifestyles.

The event is one of the milestones under the cooperation between JD Auto and ExxonMobil. The two sides announced a strategic cooperation in Shanghai in May to fully integrate in the areas of products, services, marketing, and membership and create a new format of car maintenance and service in the digital era so as to comprehensively enhance consumers’ experience.

 

(vivian.yang@jd.com)

JD.com Invests in Fook to Bring More Convenience to Consumers

by Yuchuan Wang

On August 11th, JD.com officially completed its investment in China’s fourth largest convenience store chain, Xiamen Fook Chain Store Management Limited Company (Fook Convenience Store), representing JD.com’s first investment in the chain convenience store industry.

Fujian province-based Fook Convenience Store was established in 2006. It currently operates 1,700 convenience store outlets. Thanks to industry-leading warehousing and supply chain abilities, the company has established its own self-built fresh food factories and logistics centers.

Leveraging the investment in Fook, JD will further expand the omnichannel strategy for its supermarket business. Fook will supplement JD.com’s online retail business, improve last-mile delivery, and increase user loyalty. The two parties will explore “e-commerce + convenience store” model initiatives, such as social group buying, O2O, omnichannel fulfillment and more.

JD.com is already the largest retailer of many well-known international FMCG brands including P&G, Unilever, Nestlé, Mars, Wyeth and more. Its business covers 1 million offline stores. The company has partnered with more than half of the country’s top 100 chain supermarkets in more than 200 cities.

“JD.com will leverage its strong capabilities in supply chain, data, technology and marketing to promote the branding, chain development and intelligent nature of convenience stores, to better serve consumers and facilitate consumption growth,” said a JD representative.

Since 2019, JD.com has completed a series of investments in market leaders such as 5Star, Gome and D.Phone in the electronics and home appliances industries. Ahead of this year’s 618 Grand Promotion, JD also partnered with Kuaishou to provide its supply chain abilities to the leading live streaming platform.

 

(yuchuan.wang@jd.com)

CKGSB Works with JD on Charity Livestream

by Ling Cao

Earlier this month, nearly 100 influential entrepreneurs who studied at Cheung Kung Graduate School of Business (CKGSB) joined a livestream at JD, helping sell local food from all over China to consumers. In just one hour, nearly five tons of products were sold. All of the proceeds from the sales will be donated to an institution in Shanghai to help visually impaired people. The initiative is an example of how livestreaming can be combined with farmer support and charity programs. The entrepreneurs are primarily from companies such as Xiuzheng Pharmaceutical Group and ZTE software.

During the livestream, entrepreneurs introduced many high quality seasonal fresh items carefully selected by JD, such as mangos from Panzhihua, Sichuan province, apples from Shaanxi, red apricots from Xinjiang Uygur Autonomous Region, pumpkins from Gansu, sweet potatoes and more. JD’s logistics capabilities ensure that the produce can arrive at customers’ homes quickly and unscathed. In order to ensure the effectiveness of the livestream, JD provided marketing resources and support. The event received positive feedback from attendees. One viewer “liked” the event 60 times.

The initiative has also been supported by thousands of JD and the visiting companies’ employee’ families as well as JD’s customers, and benefitted over 300 local farmers in expanding their e-commerce sales channels.

 

(ling.cao@jd.com)

Posted in ESG

China Market Lifted P&G’s Strong Annual Earnings Results

by Ella Kidron

JD’s long-time strategic partner P&G recently released its fourth quarter and full-year 2020 earnings results. For the fiscal year 2020 which ends on June 30th, the company reported net sales of US$71 billion, an increase of 5% versus the prior year, and net profit of US$13.1 billion, an increase of 230% YOY, as well as fourth quarter net profit of $2.8 billion. Among several factors driving the results was increased consumer demand for household cleaning, personal health and cleansing products, particularly in North America and China, related to COVID-19.

As P&G’s second largest market globally, Chinese families’ demand for cleaning and personal health products become one of the consumer goods giant’s key growth engines. P&G’s fabric and home care segment, which includes Tide and Comet cleaning products, saw organic sales rise 14% in the quarter. Behind P&G’s strong results are changing consumer habits under COVI9-19 on the one hand and the company’s strong partnerships with leading channels on the other hand.

JD Super, JD’s online supermarket, is P&G’s largest detail channel and strategic partner. Since the beginning of their partnership, JD and P&G have collaborated deeply in personal health and home cleaning products. Several of the flagship brands under the P&G umbrella enthusiastically participate in JD’s 618 Grand Promotion, Singles Day (November 11th) and other key sales events.

Under COVID-19, JD fully opened up its supply chain capabilities to expand cooperation with P&G across businesses such as enterprise procurement, JD New Markets, JD Daojia, and more. As a leading partner of JD Super, P&G and JD have continued to invest and co-create in new projects such as JD’s Omnichannel Innovation. JD Super also treated the 618 Grand Promotion as an opportunity to provide a strong driving force for P&G’s sales growth in the fourth quarter (April to June) of 2020.

Nielsen market data shows that online has become a key source of growth for brands. This year, with the rise of what the “stay-at-home” economy, a large number of traditional offline high frequency consumer categories have seen significant growth online. More consumers are buying comparatively high quality, time-sensitive categories online, representing a clear change in consumers’ shopping patterns. With this trend in mind, JD will further enhance cooperation with P&G, exploring joint-marketing innovation, data-based C2M initiatives, omnichannel, supply chain efficiency and more.

At the beginning of July, JD & P&G Beauty jointly launched a new sustainability project, timed with JD’s inaugural Green Stream Initiative (GSI) Day. The recycling program encourages customers to use green boxes and participate in charity programs more easily. To join the program, customers in selected cities like Shanghai and Guangzhou can buy products on JD from P&G’s brands such as Head & Shoulders, Pantene and Herbal Essences, and opt to use JD’s reusable “green box” on the checkout page. Traditionally, when customers participate in the green box program, JD couriers will take the empty box back from the customer. With this program, however, customers can keep the box and package toys or plastic bottles in the green box, and scan a QR code on its surface and have the donated items delivered to a sorting location. The materials will then be sorted, professionally cleaned, and ultimately used to make products like tables, chairs.

 

(ella@jd.com)