Other supplies and 200,000 RMB worth of masks in an hour

Big Shots from Lenovo and JD: One Show, One Hundred Million Yuan

Posted on Jun 3, 2020Sep 25, 2022 by Yuchuan Wang

by Yuchuan Wang

On June 1^st, the first day of JD’s 618 Grand Promotion, JD held an executive livestreaming joined by Liu Jun, Executive Vice President of Lenovo Group and President of Lenovo China, Yan Xiaobing, Senior Vice President of JD.com and President of JD Electronics and Home Appliance and Wang Zijian, a Chinese actor, to promote Lenovo’s products on JD. The livestream attracted over 1.2 million viewers and achieved sales of over RMB 100 million yuan.

During the livestream, both executives turned into professional evaluators and introduced 20 products, including best-selling and new ones, for specific groups of customers including students, gamers and corporate office workers.

Leveraging livestreaming, customers now are able to experience products the same way as in brick and mortar stores, thus greatly improving the communication efficiency between brands and customers, and sales conversion rates.

Liu Jun says, “Livestreaming can not only help boost sales, it also enables us to hear and interact with our customers in real time directly. It is a process of building brand awareness.”

During this year’s 618 promotion, JD will host over 300,000 key livestreams. Last week, JD.com announced a strategic partnership with Kuaishou, China’s leading video sharing and livestreaming platform, to reach new users and push into new scenarios in the emerging e-commerce livestreaming market.

(yuchuan.wang@jd.com)

Sales of Michelin Tires Hit RMB 1 Million Yuan in 5 Minutes on Day 1 of 618

Posted on Jun 3, 2020Nov 23, 2022 by Vivian Yang

by Vivian Yang

Tire consumption soared during the 618 shopping festival. In less than 5 minutes at the launch of the promotion on June 1st, Michelin beat the sales record of RMB 1 million yuan (about US $143,000).

Other famous tire brands also experienced sales surges on the first day of the promotion: Sales of Continental AG rose by 350% compared with the same day last year, while Pirelli’s sales were up by 730%, Bridgestone’s 10 times, Dunlop’s 12 times, Goodyear 14 times, and Hankook’s 14 times. Total sales of tires on JD’s platform on June 1^st alone increased by 231% compared with same day last year.

Demand for auto maintenance products was also up: total auto parts sales increased by 378%, Mobil engine oil up by 108%, Aisin Auto products up by 208%, NGK 165%, Ferodo 180%, and Osram 316%.

The rise of online tire shopping is boosted by the rapid emergence of the “Internet + Service” retail model in China by which customers can order automotive parts online and have them sent directly to designated offline stores for installation and maintenance. Data shows that over 80% tire buyers on JD.com also booked affiliated offline services at the same time as placing the order.

Take Michelin as an example. Based on a strong partnership with JD.com, customers who bought tires on JD’s first-party Michelin flagship store will be provided priority to choose high-end car service networks such as TYREPLUS, enjoying a one-stop premium service experience including tire shopping, delivery, installation and maintenance.

(vivian.yang@jd.com)

In-depth Report: Eight Important Post-Epidemic Trends Revealed on Day 1 of 618

Posted on Jun 2, 2020May 16, 2022 by Ella Kidron

by Ella Kidron and Ling Cao

As of 2:00 pm (Beijing time) on June 1st, the first day of JD’s 618 Grand Promotion, transaction volume had already increased 74% YOY. Growth in consumption has also accelerated recovery for merchants, further demonstrating that 618 is not only a shopping event, but also has a role in post-epidemic consumption. Forty brands individually achieved sales of over RMB 100 million.

Based on JD Big Data report, here are eight important consumption trends based on the first day’s data:

1. “Revenge Consumption”
There has been an all-around increase in electronics products, fresh food and household daily use products. The rebound of large household appliances once affected by the epidemic is quite apparent, among which the trend is most obvious in China’s central and southern provinces. Transaction volume has just about doubled in Guangxi, Jiangxi, Sichuan, Hunan and Hubei provinces.

At the same time, JD’s logistics capabilities have ensured that customers can ensure fast and high quality delivery at peak time. Data shows that as of 2:50 pm on June 1st, outbound orders from JD’s warehouses exceeded that of the whole day last year. This includes JD’s retail orders as well as external orders as JD helps merchants deal with fulfillment challenges during the 618 Grand Promotion.

In the realm of non-standard products and services, the migration of consumption and services to online has been further accelerated. Transaction volume of fresh products in many provinces have increased more than 100% compared with the same period last year, among which durian ranked first with a growth rate of 332%. The central and western regions, as well as lower tier cities, have already become the main driving force of growth.

2. Trade-in highlights “Economic” consumption
JD’s trade-in service (in which users can sell back their old products and get discounts and coupons towards new ones) and its full-price trade-in service (in which users can buy a product now, and trade it in for the newer product at a later date) is increasingly popular. The number of users participating in the program for air conditioners increased 390% YOY, while mobile phone trade-in users increased 170% YOY. More than 80% of consumers who bought iPhone 11 chose JD’s full-price trade-in program.

3. Rapid increase in value-protected goods consumption: Homes, Gold, Moutai
Data indicates consumers are more likely to buy value-protected goods which can “pay for tomorrow”. JD’s new real estate model launched at the end of May, and the associated 1000 properties on offer attracted a lot of attention during 618. Within the first hour of June 1st, there had already been 221 orders. Gold bars and gold jewelry transaction volume on June 1st was 100% that of the same period last year, among which 50-100 grams is the most popular purchase announcement. JD provided Feitian Moutai at a special price for JD PLUS users. Total 118 times more Moutai was sold this year as compared with the same period last year. In addition, the total amount of insurance provided by JD-Allianz exceeded RMB 4.5 billion yuan. The number of people buying insurance services increased by 109% compared with the same period last year, and the number of inquiries increased by 65% compared with the same period last year. A total of 5.64 million goods were insured.

4. Next wave of growth for international brands in China
International brands have actively participated in JD’s 618 Grand Promotion this year. Transaction volume of Apple products in the first hour on June 1st was three times that of the same period last year. In addition, L’Oréal, Lancôme, SK-II and other international brands firmly ranked in the top three on the day. Sales of international watch brands are particularly of note – year-on-year growth increased over 50%, further highlighting the opportunity for brands in China amidst global uncertainties.

5. On the Cusp of a 5G Revolution
This round of economic recovery, there is high optimism towards 5G, big data, and AI seen as representing the “new infrastructure”. 5G base station construction programs have been deployed in various places, and there is increasingly wider acceptance of 5G among consumers. As such, the 5G mobile market has seen significant activity. On Just 1st, sales of 5G mobile phones were 14 times higher than on the first day of the Singles Day (November 11th) shopping festival last year, among sales of which Xiaomi, vivo and other domestic brands were a highlight. Some brands even gave users unlimited 5G insurance coverage packages. Sales volume of 5G network cards has also increased significantly, with the most consumers located in Guangdong, Beijing, Shanghai, Jiangsu, and Shandong provinces.

6. “Hot Sale” of Products Indicate Recovery of Consumer Confidence
COVID-19 has drawn increasing attention to taking care of one’s health. On June 1st, transaction volume of health services increased by 128% compared with the same period last year; physical examination packages increased by 126%; maternity services increased 14-fold; nutrition and health products increased 135%, and cross-border imported health products increased 210%.

7. It’s all about Custom, Less “One Size Fits All”
While the epidemic has accelerated consolidation of production capacity resources in the industry, JD continues to promote customization to help better match consumers and goods. In just four hours on Just 1st, JD Super, JD’s online supermarket, sold more customized goods (defined as JD’s C2M, exclusive brand, new product debut, exclusive distribution and exclusive specifications) than on the whole day in 2019. Transaction volume of notebooks developed through JD’s C2M model increased 141% as compared with the same period last year. JD consumers are also seeking differentiate products. For example, sales of e-Sports displays increased 236% YOY, cooking items such as electric ovens, air fryers, multi-purpose pans and chef-style machines increased by more than 200% compared with the same period last year. Honor’s X1 smart screen TV sales exceeded 100 million yuan.

8. Young Consumers more Mature Post-Epidemic
Data indicates that young consumers are taking on more responsibility post-epidemic. Since the beginning of this year, more than 70% of post-1995 consumers have shifted from “buying only for themselves” to “buying necessities for the whole family”. At the same time, middle-aged and elderly female users have made a significant shift from online to offline. These trends were more pronounced during the 618 period. According to data from JD Super, youth have moved into the kitchen, driving a “kitchen economy” trend. Transaction of kitchen paper towel by young people has doubled compared with the same period last year. Awareness of the need to protect the family has also been strengthened – data shows a 34-hold increase in transaction volume of disposable cleaning products and a 340% increase in sterilization products YOY.

(ella@jd.com; ling.cao@jd.com)

Sales of JD Super Doubled on Day 1 of 618, Year on Year

Posted on Jun 2, 2020Sep 30, 2021 by Rachel Liu

by Tracy Yang and Rachel Liu

On June 1^st , JD.com’s June 18 Anniversary Grand Promotion officially kicked off and the sales of the JD FMCG Omnichannel was impressive, in which sales of JD Super, JD.com’s online supermarket, increased by 100% compared with the same period last year. Sales of JD.com’s 7FRESH increased by more than 140% compared with the same period last year and JD New Markets grew by more than 100% year on year.

Despite the impact of the epidemic, consumers’ pursuit of quality life has not diminished. They not only look at the high quality of the medium-sized products themselves, but also pay more attention to the level of life represented by high-quality products. In the first hour on June 1^st, sales of imported snacks in JD Super were seven times that of the same period last year.

Since the beginning of the epidemic, JD.com has made great efforts to stablize supply in the categories guaranteeing people’s livelihood, and has won the trust of a large number of consumers. Now, during 618, a large number of consumers have shown JD.com is best platform for purchasing daily necessities and hoarding goods. Compare with the same period last year:

On June 1^st, sales of food categories in JD Super was three times.
Sales of baby and maternal categories increased by 100% .
Sales of pants-type sanitary pads in the individual care category and female care increased by 12 times .
Dental patches under the subdivision of oral care increased 19 times .
Sales of smart pet devices increased nearly 7 times
The two-hour sales of toys exceeded the all-day sales of last year.

On June 1st, JD.com’s customized products also witnessed explosive growth including C2M, exclusive brands, first sales of new products, underwriting of tail goods, exclusive specifications, etc., and in only 4 hours exceeded the all-day sales in the same period last year.

JD Super brand merchants and retailers made efforts to reach lower tier market. JD Super got off to a good start for 12 hours on June 1^st. Sales in lower tiers market increased by 160% compared with the same period last year, and the number of users from lower tier markets increased by 83% compared with the same period last year.

(tracy.yang@jd.com; liuchang61@jd.com)

Sales of Luxury Products Increased 400% Y- on- Y in the First Hour of 618

Posted on Jun 2, 2020Oct 18, 2022 by Rachel Liu

by Rachel Liu

Luxury products have seen increasing demand after the epidemic, and sales on June 1^st are a further indication of the trend. Sales of luxury products on JD increased 400% y-o-y. Five hugely popular Delvaux Tempete bags, which need to be reserved offline, were sold in just one hour. Sales of Ferragamo, Hugo Boss, Lancel and miumiu all increased over 300% y-o-y.

Customers can also enjoy the best shopping experience for luxury products on JD during this year’s 618 event. JD’s same-or-next day delivery service can ensure customers receive luxury products at an unparalleled speed. JD Luxury Express, which is also called “white glove delivery”, can extend the premium offline shopping experience to online shopping. JD couriers will wear formal attire, including white gloves, and drive electric cars to deliver products, adding a highly-personalized, intimate and innovative offline element to the e-commerce experience.

June 1^st marks the kick off of JD’s 17^th June 18^th Grand Promotion (“618”), which is also the 17^th anniversary of the company’s founding.

Below are sales highlights.

(liuchang61@jd.com)

JD Provides 50 Billion Supplies to “Spark” Growth of Local Stalls and Small Shops

Posted on Jun 2, 2020Sep 19, 2022 by Yuchuan Wang

by Ella Kidron and Yuchuan Wang

On June 2^nd, JD launched the “Spark” economic support plan for small and medium enterprises, stall owners and shopkeepers. The plan is focused on three areas: ensuring supply, assisting operations and promoting employment. JD will gather approximately 50 billion quality goods, and provide each small shop with a RMB 100,000 yuan interest-free credit to make purchases. The program is expected to service millions of convenience stores and stalls, providing supply chain and service support for the employment of more than 5 million people.

Lei Xu, CEO of JD Retail said: “JD has already comprehensively accumulated rich experience in supporting the ‘stall economy’ and the ‘small shop economy’. The impact of the epidemic will accelerate the digital transformation of the real economy, and stalls and small shops are no exception. JD has both the ability and the responsibility to use digitization to support and make the economy of small stalls and shops more dynamic, helping to further invigorate the overall economy and stabilize employment.”

In terms of supply, JD New Markets, which provides support to offline shop owners in addition to other measures, will play pivotal role of its omnichannel supply capabilities and provide hundreds of millions of yuan in purchase subsidies, and work with nearly 10,000 brand manufacturers and more than 4,000 joint warehouses to provide offline retailers with quality supplies worth more than 50 billion, providing them easy access to low-cost, high-quality supplies.

As far as business support is concerned, JD New Markets will help offline retailers expand their online operations, bring in JD’s own platform traffic and help them break regional and special restrictions, helping them achieve customer flow and acquisition and income increases. At the same time, through financial, data, logistics support and diversified business expansion, provide meaningful support to a large number of small and medium offline players. In order to solve the cash flow problem of small shops, JD New Markets has also worked with JD Digits to provide each small shop with an interest-free credit of up to RMB 100,000 yuan.

In poor regions, JD will provide a number of flexible employment, work-from-home and farm-to-table opportunities including positions such as logistics order collection, warehouse management, inventory management and packaging. To help poor workers who are unable to go out to work, JD will provide work-from-home jobs, such as e-commerce tagging and part-time customer service. JD will also provide a number of start-up projects and support in the fields of catering retail, regional logistics agencies and freight transportation for poor regions. At the same time, JD will drive agricultural sales to help the poor workers increase income through e-commerce livestreaming, farm-to-table green channel programs, and setting up meetings to help match supply and demand.

JD.com has been supporting small and medium-sized enterprises, stall owners and shopkeepers through multiple initiatives. Over 3 years ago, JD began to help small brick-and-mortar stores expand their operations. In 2017, the first JD Convenience Store was opened in Renqiu city, Hebei province. Since then, JD Convenience Stores have sprung up all over the country. Last year, JD New Markets launched the “JD Collection” program – a series of fairs and caravans across villages and towns, helping shopkeepers attract huge traffic and efficiently boost sales. In addition, Jingxi, JD.com’s social e-commerce business, has launched a series of supportive plans to help offline merchants affected by COVID-19, connecting the merchants with consumers and providing them with related resources and omnichannel operations supports.

As of now, JD is not only the largest growth destination for global brands and merchants, it has also become the largest platform for the transformation and upgrading of a large number of small and medium-sized and micro businesses, stall owners and shopkeepers. JD’s data shows that, right before JD’s 618 Grand Promotion this year, the transaction volume of JD New Markets in Beijing, as well as Hubei and Anhui provinces has increased over 5 times. The number of orders placed on the JD Convenience Store Go mini program is over 10 times the previous daily average.

The “Spark” program will become a vigorous driving force in the growth of the consumption market, and will further help stall owners and shopkeepers do better business. The ongoing JD 618 will not only attract the active participation of all online brands and merchants, but will also attract vast number of offline retail entities.

(ella@jd.com; yuchuan.wang@jd.com)

JD.com and ExxonMobil to Deepen Cooperation

Posted on Jun 2, 2020Aug 31, 2021 by Tracy Yang

by Tracy Yang

JD.com and ExxonMobil announced a strategic cooperation in Shanghai on May 29^th, 2020. The two sides will fully integrate in the areas of products, services, marketing and membership to create a new format of car maintenance and service in the digital era, and comprehensively enhance consumers’ experience.

The two sides will adhere to consumer demand-oriented innovation, jointly study and understand the needs of consumers for lubricating oil products, and provide a leading and high-quality product experience for JD’s users. The oil analysis service created by Mobil Laboratory and the new digital membership service platform launched by ExxonMobil will soon be available on JD.com to provide consumers with targeted car maintenance solutions and better membership services.

Chunyang Yue, General Manager and Director of ExxonMobil (China) Investment Co., Ltd., said, “Over the past few years, the cooperation between ExxonMobil and JD.com has gradually deepened. Through this strategic cooperation we achieve a strong combination of the pioneers of two industries. In the future, ExxonMobil will continue to strengthen cooperation with JD.com, integrate the superior resources of both sides, and let consumers enjoy high-quality car maintenance experience and lead the industry and the market to continue to move forward in the digital age. ”

Yanzhong Yao, President of JD Life Services said, “This strategic cooperation with ExxonMobil also enables JD to get involved in the upstream and downstream of supply chain in the automotive aftermarket. Through integrated online and offline operations, omnichannel implementation, and cross-links between the original factory and independent after-sales service system, JD can truly achieve full integration with manufacturers, channels, retailers and service stores. The deep cooperation with ExxonMobil demonstrates JD’s plan in the automotive aftermarket and is a step further into service-oriented consumption scenarios. ”

The full range of ExxonMobil automotive lubricant products are available on JD.com. Sales have reached record highs year after year, and ranked first in the automotive lubricants category from 2018 to 2019. Not long ago, Mobil became the first brand in JD.com’s oil category with more than 2 million followers(京东美孚自营专区).

As an important scenario for JD Life Services under JD Retail, JD Automobile covers the whole industry chain of automobile supplies, automobile aftermarket, vehicle sales and more. Now it has reached cooperation agreements with more than 5000 brands. Relying on the advantages of the platform and powerful data technology, JD Automobile helps brands perceive and predict the diversified needs of consumers, promotes optimization and digital transformation of brands and products, and contributes to the upgrade and transformation of the industry.

(tracy.yang@jd.com)

Vivo Phones can be Delivered within One Hour via JDDJ

Posted on Jun 2, 2020Oct 18, 2022 by Martin Li

by Martin Li

Vivo, one of the leading Chinese smartphone markers, has joined JD Daojia (JDDJ), a local on-demand retail platform on JD.com, to enable customers to receive products within one hour.

JDDJ’s one-hour smartphone delivery service covers over 3,000 smartphone stores in 126 cities, which means buyers of Vivo products can receive parcels within at most one hour.

Since April, JDDJ has provided one-hour delivery service to telecommunications products buyers. Many large brands have a presence on JDDJ’s app and mini-program, including Huawei and Apple.

This is one of the latest collaborations between JD and Vivo to benefit customers during the ongoing 618 Grand Promotion, which started on June 1^st to mark the 17^th birthday of JD.com.

Vivo and its subsidiary brand iQOO gave away RMB 200 million yuan worth of coupons and 10,000 gift boxes to customers on JD.com on June 1^st.

In addition, buyers of Vivo’s 5G smartphones on JD can receive benefits like 30-day refund guarantee and extended warranty.

Sales of both Vivo and iQOO phones witnessed growth of over 200% on June 1^st, compared with the same period of last year. It took only 20 minutes for iQOO to see its 5G model iQOO Z1 exceed 10,000 orders on JD.

JD is the debut platform for Vivo’s 5G smartphones.

(bjlihao3@jd.com)