JD Courier Helps Customer to Make Mission Impossible Possible

by Ling Cao

On July 22nd noon, Keci Ning, a JD courier who is responsible for JD Luxury Express,the white glove delivery service in Beijing, picked up an unknown call from a customer who was anxiously asking JD to help him hand deliver a very important file from Beijing to a recipient in Zhuhai, Guangdong province. He said, “I desperately need someone to help me. I’m willing to cover the airplane tickets, meal and delivery fee, and many delivery companies rejected me.”

It’s over 2,000 kilometers between the two cities. Ning had never received such kind of a request and the task is beyond his normal duty. Touched by the customer’s anxiety, however, he quickly coordinated internally to make it happen. After five minutes, he called the customer back with the good news that JD can help him deliver this parcel, and has made special arrangements to make sure it arrives on time.

Ning picked up the parcel from the customer immediately and booked the earliest flight out that day, 4:00 pm. Once he landed, Ning called a taxi from the airport in Zhuhai to the delivery destination, ultimately delivering the parcel at 8:30 pm that same night.

“Thank you very much! I will only use JD to send parcels going forward. Your service is fast and great!” said the customer.

Smiling, Ning said, “I was excited during the journey. It’s not just because the experience is special, but more importantly, I helped the customer solve a problem when he was really in need.”

A representative from JD Express North Region said, “We appreciate customers’ trust in us. We will continue to provide high quality service to our customers, becoming a long-term and trustworthy partner for them.”

 

(ling.cao@jd.com)

JD Provides Logistics Technology Jobs, Matching Most Popular Majors Searched during “Gaokao”

by Ling Cao

“I was unclear about future when I just graduated from university. I joined JD because I learned they are hiring smart device managers,” Gan Gao, head of the Automated Storage  Retrieval System (AS/RS) at JD’s Asia No.1 logistics park in Langfang, Hebei province, told Chinese National TV. With only a year of work, he is already an expert in his field.

I joined JD because I learned they are hiring smart device managers,” Gan Gao,

Gan’s experience indicates a direction for students who have finished China’s national college entrance exam early this month, the “Gaokao”, and are now selecting majors. According to industry data, the talent gap in the robotics field alone has reached more than one million, due to technology development in latest decade. While JD also needs talent in this area.

Blockchain engineering is also a new job position to emerge as a result of technology digitization. Guowei Hao, who is now head of Blockchain Products at JD’s Logistics R&D Development is responsible for the digital logistics sheet signature using blockchain, which is paperless and traceable.

Talent is the core driving force for technology innovation. JD Logistics has cooperated with universities such as University of Science & Technology Beijing and Beijing University of Posts and Telecommunications to apply scientific research achievements in logistics. Going forward, JD Logistics will continue to work with the nation’s leading universities to build research institutions and cultivate talent, promoting industry development.

 

(ling.cao@jd.com)

JD Business Empowers SPD Bank’s Credit Exchange Service

by Yuchuan Wang

Recently, China’s SPD Bank joined hands with JD Business, JD.com’s enterprise procurement business, to leverage the e-commerce giant’s intelligent digital procurement system to provide an enhanced credit exchange experience to the bank’s over 32 million credit card users.

JD Business connects SPD Bank with JD’s product pool, enabling credit card users to exchange their points for merchandise through the SPD Bank app and enjoy JD’s fast delivery and quality after-sales service.

JD Business connects SPD Bank with JD’s product pool

The product pool now covers over 380,000 items from 33 categories including office supplies, home products, beauty products, and food and beverages. In addition, JD’s big data and AI technologies enables personalized recommendation of products. The partnership helps SPD Bank greatly enlarge its product offering and improve the customer experience.

According to China Banking Association, transaction volume of credit cards in China has increased rapidly in the past few years (RMB 19.7 trillion yuan in 2014, RMB 38.2 trillion yuan in 2018). While only 21% of points earned are redeemed by users.

“As a world’s leading e-commerce company, JD has extensive online operations experience, merchandise resources, and a nationwide logistics network and service system. JD’s capabilities enable us to accurately meet the needs of 32 million credit card users. This is the primary reason we have chosen to partner,” said an SPD Bank representative.

“With the impact of the epidemic, digitization of financial services has become a clear trend. JD.com will continue to leverage its technology and retail capabilities to facilitate the digitization of the financial industry. The partnership with SPD Bank will bring even higher quality services to its users.”

 

(yuchuan.wang@jd.com)

Government’s Policy Support Unleashes JD Health’s Potential

by Vivian Yang

“The constant introduction of government’s new policies on promoting internet healthcare provides strong support and direction guidance for us to accelerate the development of internet medical services, “a spokesperson from JD Health commented today on recent guidelines concerning the internet healthcare industry issued by China’s central government.

On July 21st, the Chinese government issued a guideline to further relax limitations on internet medical services. The guideline mentions that on the premise of ensuring medical safety and quality, qualified internet medical services will be included in the national medical insurance scheme. In the meantime, China will publish national examination and approval standards for internet medical services, and accelerate the evaluation and approval process of clinical applications of innovative medical devices.

One week earlier on July 15th, China’s National Development and Reform Commission issued a separate guideline to promote the development of new business models, including internet hospitals.

Internet medical services is a “blue ocean” in China that is gaining more attention as with the pandemic situation and governmental policy supports. Being a leader in this emerging market, JD Health has even broader prospects for development. The platform, which is a subsidiary of JD.com, has reached unicorn status after closing a $1 billion funding round in 2019.

“Under the impact of the pandemic, more and more people have recognized the role and value of internet medical services,” said Lijun Xin, CEO of JD Heath. During the lockdown, people turn to online medical consultations in lieu of going to offline hospitals and exposing themselves to cross-infection risks. Since the launch of online medical consultation on January 26th, the average number of consultations on JD Health has surpassed 150,000 per day during the lockdown. From its launch in February till the end of March, JD Health’s free online drug sourcing platform for patients with chronic diseases in Hubei province received over 20,000 inquires, among which, over 96% of drug supply needs were solved.

With the pandemic situation gradually getting under control, people’s awareness of healthcare has grown even stronger with increasing reliance on online medical services. Sales of pharmaceutical products on JD Health have continued to increase since February. On June 18th during JD’s Grand Promotion, the transaction volume of medicine for chronic diseases grew by 270% year-on-year.

So far JD Health has deployed the most complete “internet + healthcare” model in the industry, with its businesses covering pharmaceutical e-commerce, online medical consultation, smart internet solutions for hospitals and healthcare services including specialized medical services such as chronic disease management and other medical services such as health check-ups, aesthetic medicine, dental and more.

In recent years, internet medical services have been deployed in many aspects of healthcare, such as online consultation for common ailments, online revisits for chronic diseases, contract service for family doctors, drug distribution from online to offline, and online payment of medical insurance. Combined with advanced technologies including 5G, AI, and IoT, and increased collaboration with local governments and hospitals, there is much to expect for the future of China’s internet medical services.

 

(vivian.yang@jd.com)

China’s Largest Gaming Convention Joins Hands with JD PLUS

by Yuchuan Wang

The China Digital Entertainment Expo & Conference, also known as ChinaJoy, has partnered with JD PLUS, JD.com’s premium membership program, to provide a virtual online experience for nationwide fans. As China’s largest gaming convention, the 2020 ChinaJoy event will be held from July 31 to August 3 at the Shanghai New International Expo Center.

“The name of JD’s mascot dog is also JOY. It’s so pleasant for JD to join hands with ChinaJoy,” said a spokesperson of JD.com.

Under the partnership, JD will become one of the official online entrances of ChinaJoy Plus, the virtual version of the event, where exhibitors can conduct livestreaming, online press conference, product showcases and more. In addition, JD PLUS members will have the opportunity to get free tickets to the offline event through the JD app.

Introduced by JD.com in 2015, JD PLUS is China’s first paid membership ecosystem. It now has over 15 million members. The per capita spending of JD PLUS members is nine times that of ordinary members.

 

Introduced by JD.com in 2015, JD PLUS is China’s first paid membership ecosystem

(yuchuan.wang@jd.com)

Yohji Yamamoto Launches Its Flagship Store in China on JD

by Rachel Liu

On July 21st, Yohji Yamamoto chose JD to be its first online platform for cooperation, and launched its first online official flagship store in China on JD.

Yohji Yamamoto was founded by Japanese fashion designer Yohji Yamamoto(Oct. 3, 1943- ), who is credited as the “poet of black”. The avant-garde spirit of his designs has become very popular among Chinese consumers. The Yohji Yamamoto store on JD focuses on introducing the brand’s Y’s collection, which features functional and dignified everyday wear.

Yohji Yamamoto chose JD to be its first online platform for cooperation, and launched its first online official flagship store in China on JD.

“JD‘s unique model for luxury brands provides a guarantee of authenticity,” said a Yohji Yamamoto’s spokesperson. “Furthermore, JD’s digital abilities empower the unique ‘experiential’ requirements of luxury brands, something that is especially attractive with the rise of the new middle class in China. JD Luxury Express provides a highly personalized and intimate service to luxury consumers. This is what led us to choose JD.com as our only e-commerce platform in China.”

 

(liuchang61@jd.com)

In-Depth Report: JD.com: Building Resilience through the “Product + Service” Model

by Vivian Yang

Although China is leading the world in economic recovery from the COVID-19 pandemic, a full recovery in consumption will likely take time. At the same time, in a world where lockdowns and restrictions in movement have become the norm in many places across the globe, the consumption of not only products, but services – from online medical consultations to at-home installation services – are front and center. Amidst this rebound, JD.com is stepping up efforts to strengthen its services offering as greater and more adaptive services are of critical importance to enhancing customers’ experience in the post-COVID era.

As China’s largest online and offline retailer, JD.com is committed to providing trusted products and services to its customers. From services for consumption of products to consumption of actual services, the coronavirus outbreak has accelerated JD’s innovative “product + service” model. In the first half of 2020, JD identified three main trends in this model that have brought resilience and new growth opportunities for the company and the industry.

 

Connecting Online and Offline via Services

To mitigate the impact of the lockdown on traditional offline businesses, JD has been utilizing and leveraging its platform to improve its online-to-offline (O2O) services.

During the lockdown period, as people moved online to seek medical advice and purchase products, the surging popularity of telemedicine generated booming demand for drug delivery. In response, JD quickly enhanced its collaboration with more than 200,000 offline pharmacies across over 200 cities in China. Online customers in service-covered cities can select nearby pharmacies and place orders that will be delivered to their doorsteps within 30 minutes. Due to the speed, ease and safety of this service, called O2O, it took off immediately after following its roll-out earlier this year. Its popularity continues to grow. For this year’s 618 Grand Promotion, the first nationwide sales promotion event in China after the lockdown, the transaction volume of  fast drug delivery service offered by JD Health on a single day, June 18, was 492 times greater than the same day last year.

JD has been utilizing and leveraging its platform to improve its online-to-offline (O2O) services.

Home buying might be the last thing people think about when it comes to online shopping. But when combining its superior service with real estate at a time of social distancing, JD provides buyers with  confidence to finalize deals before they even visit the property in person. During 618, JD Real Estate introduced an RMB 6.18 yuan (about US $1) “Five Benefits Service Package”, comprised of housing selection assistance, exclusive offers, price protection, “cancel for any reason” insurance, and online reservations. Over 500,000 home-buying orders were made with these standard benefits on JD.com.

The strength of JD’s O2O platform is that premium services and omnichannel solutions ensure that customers are always in good hands. Michelin is a prime example for the automotive market. Through the company’s strong partnership with JD.com, customers who purchase tires from JD’s first-party Michelin flagship store will be offered priority to choose high-end car service networks such as TYREPLUS. There, they can enjoy a one-stop premium service experience, including tire shopping, delivery, installation and maintenance. During the 618 , over 80% of those who purchased tires on JD’s selected platform were offered offline car repair services. The transaction volume of car maintenance services on JD increased 293% YoY.

 

Standardized Services

JD’s standardized services have been popular throughout the pandemic not only because they are transparent, efficient and quality-controlled, but also because they are always available to meet customers’ needs wherever they are and whenever they want.

Take fresh flower delivery service as an example. Flower delivery service has long been beset by problems such as decentralized planting, a long supply chain, high risk of packaging damage, and inconsistent service quality. To remedy these challenges, JD brought in its cold chain logistics and Allianz insurance services (JD has a 30% stake in Allianz China)to its flower booking and delivery service. This allowed JD to standardize its products and services, such as one-hour flash delivery. The transaction volume of flower sales on JD’s platform increased by 150% during the 618 shopping festival alone.

The “one-hour delivery circle” is part of JD’s omnichannel fulfillment supply chain innovation program. By strengthening collaboration with Dada Group (JD’s joint venture for local on-demand retail and delivery platform), JD’s online supermarket business JD Super has connected over 10,000 bricks-and-mortar stores in 100 cities with 3 million products that can be delivered to people’s homes within one hour. A number of supermarkets, FMCG companies and consumer electronics brands have participated in this program and more partners are continuing to join, providing multi-category choices and a convenient shopping experience for thousands of housebound customers.

Beyond last mile delivery, JD ensures its “last mile services”, or after-sale services. JD Service Plus is the new frontier on this effort. Currently, customers can find over 6,000 service products in 37 service categories on JD, such as installation, repair and cleaning for electronic products, home appliances, and furniture; maintenance for bags, shoes and clocks; eliminating dust mites; air quality tests and air purifying services and much more. Using JD Logistics’ nationwide network, customers can enjoy these services conveniently by ordering services to their home, sending products to JD Service Plus or visiting JD’s offline service stations in person, with rapid response, transparent pricing, trained professionals and guaranteed quality.

JD Service Plus

JD Service Plus

 

Building Customized Services

Consumers’ increasingly diversified consumption needs are propelling JD to create  more customized services.

Data from the 618 shows that the transaction volume of motorcycles and bicycles increased by 61.1% and 57.6% respectively, while retro motorcycles increased 500% year-on-year. As travel restrictions loosen, many young customers are turning to JD to buy more personalized and fashionable cycling gear. To cater to their needs, JD has taken a number of steps, including collaborating with bicycle makers to produce more customized products, utilizing the so-called Customer to Manufacturer (C2M) model. With the C2M model, JD can better understand customers’ preferences so as to organize cycling activities and offer more tailor-made after-sales services online or offline to increase customers’ engagement with the platform.

Online auctions are another service gaining traction. During 618, JD put a wide array of items up for auction, including residential properties, jewelry, luxury goods, ceramics, art collections, handicrafts, tea and wine, automobiles,etc. An online auction of old coins has been viewed more than 1.21 million times and an auction of Pu-erh tea cake has been viewed over 270,000 times.

JD also introduced an exclusive iPhone full-price trade-in plan for Apple fans during the 618. With this special offer, if a customer purchases an iPhone 11 during the month of June, they can exchange it for the iPhone 12 once it is released later this year and only pay the price difference between the two phones. This way, customers won’t have to worry about the depreciated value of their iPhone 11 and miss the chance to try out the iPhone 12.

 

JD Auction Page during the 618 Grand Promotion

JD Auction Page during the 618 Grand Promotion

According to China’s National Statistics Bureau, service consumption expenditures in 2019 accounted for 45.9% of all household consumption expenditures per capita—1.7 % higher than in 2018. This steady growth is mainly attributed to the country’s rapid urbanization and widespread increase in consumption. When compared with developed economies like the U.S. and Japan, where service consumption expenditures account for over 60 percent of household consumption expenditures, China has significant potential to continue developing in this area.

Under the backdrop of the post-COVID economic recovery, JD continues to innovate in the service consumption area using the solid infrastructure it has developed over the years in technology, supply chain, and logistics. Through integrating online and offline, physical and virtual, , JD is prepared to succeed in the new normal of the economy and surge in growth after the pandemic. But most of all, the trust that JD has built with its customers, partners and merchants is what makes it possible to bring more breakthroughs in its service offerings.

 

(vivian.yang@jd.com)

JD Supports Digital Transformation of Liquor Industry

by Rachel Liu

On July 16th, Lester Liu, General Manager of JD FMCG was elected as one of the vice presidents of the China Alcoholic Drinks Association (CADA). This is the first time for CADA to have a vice president from the e-commerce industry.

In 2019, CADA has signed a strategic partnership with JD Super, JD’s online supermarket. CADA has held two Wine Tasting and Evaluation Conference events with JD, and worked with JD on big data, technology, promotion of wine regions and more, to support the liquor brands and the healthy development of the liquor industry in China.

With the development of the digital economy, more consumers are gravitating online in a wide range of categories, including liquor. From June 1st -20th, during JD’s 618 Grand Promotion, the company sold over five million bottles of baijiu and 35,000 tons of beer. In only 30 minutes on June 18th, sales of JD Liquor increased 200% YOY. For liquor brands, digital transformation and innovation has become a key trend, and JD’s participation will greatly help brands in this area.

During COVID-19, JD partnered with popular Chinese baijiu brand Wuliangye on a digital supply chain initiative. The program uses JD’s nationwide logistics network to provide last mile delivery service to customers and supply chain solutions to brands’ offline stores, including the stores in lower-tier markets and remote areas, building a smart, efficient and digital supply chain for Wuliangye. Addition to supply chain digitalization, JD can also assist brands with Customer Relationship Management (CRM) through digitalization, increasing customer loyalty.

 

(liuchang61@jd.com)