ReTo Eco-Solutions, Inc. and JD.com Partner in Sustainable Building Push

Posted on by Ling Cao

JD.com, China’s largest retailer, and ReTo Eco-Solutions, a leading provider of comprehensive eco-solutions and one of China’s largest manufacturers of environmentally friendly construction materials, are paving the way for more sustainable development in the country. The partnership announced today comes as the sustainability movement has been picking up steam in China in the last few years, and consumers are increasingly looking for ways to reduce their carbon footprints. Through the purchase of products such as ReTo’s signature eco-friendly paving tiles, businesses and individual customers on JD’s e-commerce platform will be able to minimize carbon emissions and ensure that their buildings are energy efficient.

JD and ReTo will collaborate on a range of strategic initiatives, including eco-friendly construction materials, eco-towns, and smart cities, among others. Working with the China Academy of Building Research, the two companies also committed to establishing a joint research program to develop and promote eco-friendly products and technologies.

“We could not have a better partner than JD in our ambition to ensure that the buildings of the future are more sustainable,” said Hengfang Li, Chairman and CEO of ReTo. “Access to JD’s vast user base of over 300 million customers means we can bring our eco-friendly innovations to more people than ever before. Tapping into JD’s advanced capabilities in AI and robotics will help further our development of ecofriendly building innovations.”

“Our research shows that customers are increasingly looking for ways to decrease their carbon footprint and to live more sustainable lives”, said Lijun Xin, President of JD Home and Life. “This new partnership with ReTo, China’s definitive leader in environmentally friendly manufacturing, allows JD to add significantly to our selection of sustainable products and to further our overall sustainability goals.”

JD has been increasing the range sustainable products available on its platform. Last year, the total volume of green products available on JD increased by over 54% and the total volume of green purchases made on JD increased by 71%, contributing to 15% of total sales on the platform during the same period. In addition, JD has been consistently reducing its own operations’ impact on the environment, initiating a companywide switch to electric logistics vehicles earlier in the year, among a host of other initiatives.

JD.com Launches Global Robotics Challenge

Posted on by Yuchuan Wang

As JD.com increasingly relies on automation to fulfill its promise of same- and next-day delivery to more than 300 million customers, the company is launching a new robotics challenge to find talented roboticists who can help advance the development of global e-commerce and logistics technologies.

With the scale of e-commerce increasing sharply, especially on Chinese shopping festivals such as JD’s 6.18 anniversary sale and Singles’ Day, the logistics industry deals with trillions of packages every year. From robots to drones, unmanned delivery vehicles and fully automated warehouses, JD.com is increasing efficiency and redefining industry standards for delivery times.

For JD, which is China’s largest retailer, online or offline, robots’ contributions in automated warehouses are invaluable. The smart machines quickly, tirelessly and efficiently complete mundane and repetitive tasks, such as picking a product from shelf and placing it in a basket. But it’s not easy. Picking things quickly, accurately and safely involves a complex system of computer perception, mechanical movement and manipulation, as well as AI decision making.

Designing robots that do this better is a priority for JD, and will be integral in the development of global commerce in the future. Worldwide sales of warehousing and logistics robots will reach $22.4 billion, while shipments of robots will reach 620,000 units per year, by 2021, as automation revolutionizes supply chains, according to Tractica Research.

Hosted by JD’s robotics research arm, JD-X, the JD-X Robotics Challenge will ask contestants to design a ‘picking’ robot that can accurately pick selected SKUs from a pool within a limited amount of time. The contest judges—a panel of leading technologists and industry experts, including world-renowned roboticists will focus on the attributes of the robotic arm, computer vision, route planning, and ontology design in evaluating contestants’ robots.

“We are confident the challenge will attract some of the best robotics talent in the world,” said Jun Xiao, head of JD-X. “Building an efficient picking robot is a highly complex problem requiring advanced technology and creative design. It’s a challenge that many robotics inventors are eager to tackle because it calls for the design of a practical robot that solves a real-world problem.”

The JD-X Robotics Challenge is open to university students and startups in China and overseas. The grand prize is RMB 500,000 with total available prizes worth RMB two million, and winners have the opportunity to apply for positions at JD.com, receive investment from JD in their startup, and see their winning robot at work in a real-life logistics scenario.

Anyone who wants to participate in the Challenge can contact jrc@jd.com to register. The entry form can be downloaded here.

JD Expands “Retail as a Service” Efforts with Better Life Initiative

Posted on by Yuchuan Wang

JD has announced a new initiative with Chinese retailer Better Life as part of the company’s Retail as a Service strategy. The cooperation further speeds up delivery for customers and integrates inventory across the two retailers by using technology to identify the most efficient way to source orders on JD.com, be that from JD’s own warehouses, or from Better Life stores.

Products sourced from Better Life will be delivered in less than an hour by Dada, China’s leading crowdsourcing delivery company. The efforts follow a cooperation with Walmart that uses a similar strategy of supply chain integration to increase overall efficiency and improve user experience.

“JD is uniquely able to improve our overall inventory management and reach a wider swath of customers more efficiently,” said Kevin Liu, Grocery Merchandising Director of Better Life. “As the retail landscape is rapidly changing, we see this initiative as a prime example of how offline retailers can not only remain relevant, but actually become even more relevant.”

“This marks another step forward in our Retail as a Service efforts, which leverage our vast resources to help traditional companies excel in a changing environment,” said Ting Qi, Director of User Experience, JD FMCG and Foods. “We are pleased that our customers will be able to get an even better shopping experience through this initiative with Better Life.”

The benefits for the customer, offline stores and JD of inventory integration are clear: increased sales, faster inventory turnover, improved cash flow and even faster delivery. JD is also exploring the option of integrating its online membership program with offline partner stores, so that offline stores can enjoy even more benefits from their partnerships with JD.

JD.com 6.18 Anniversary Sale Transaction Volume Reaches Record $24.7 Billion

Posted on by Ling Cao

Transaction volume on JD.com reached a record high of $24.7 billion this year during the 18-day June anniversary sales event. This marked the first major “6.18” anniversary sale in which the e-commerce giant combined online, offline and virtual shopping for a ‘boundaryless retail’ experience.

Tens of millions of consumers visited JD pop-up stores and experience centers around China over the 18-day sales period, sampling snack foods, testing home appliances and trying on clothes. The pop-ups gave 1,400 brands a space to showcase their products and interact with Chinese shoppers for feedback, fueling excitement for 6.18, now one of the biggest shopping events in the world.

The pop-up shops, which spanned 30 cities and received over 43 million visits, boosted sales for participating brands as well. After participating, Ocean Spray Cranberries Inc. sold 400% more bags of cranberries during the sale than during the same period a month earlier.

Through JD’s crowdsourced delivery affiliate JD Daojia, shoppers were also able to buy products from offline stores for delivery to their homes. Orders via JD Daojia from Walmart, JD’s strategic partner, quadrupled during the 6.18 sales period from the same period a year earlier. Sales from another JD partner, Century Mart, were seven times the amount last year.

Meanwhile, JD’s augmented reality technology also provided a better experience for shoppers who chose to stay at home. Data from the sale showed 70% of consumers who purchased color lenses first used JD’s AR Styling Station, a function in the JD mobile app, to test the look on their own faces. JD sold 52,000 boxes of Johnson & Johnson’s 1 Day Acuvue Moist lenses in only one day of the sale.

The mix of new online, offline and virtual shopping experiences are part of JD’s broader strategy to leverage its smart supply chain and advanced technologies to build a sustainable future for the retail industry. They complemented another booming sales period for JD, as products including giant TVs, mattresses, designer jeans and fresh crabs sold in record numbers—with many selling out just minutes after the sale began.

With more than 300 million customers, JD is China’s largest retailer, online or offline, and has already changed shopping habits in the world’s most populous country. It is the only e-commerce company in the world to operate a nationwide logistics network in-house, which can deliver over 90% of orders on the same or next day—including during this year’s sale, despite the massive increase in order volume. Following its recent international expansion, JD also worked with over 110 warehouses outside of China during this year’s sale.

For more data on the 6.18 sale, please refer to the graphic below:

Transaction volume on JD.com reached a record high of $24.7 billion this year during the 18-day June anniversary sales event.

* Transaction volume is calculated to include total value of all orders for products and services placed in the company’s online platform, regardless of whether the goods are sold or delivered or whether the goods are returned and shipping charges paid by buyers to sellers, and excludes products or services with list prices above RMB100,000 as well as transactions conducted by buyers who make purchases exceeding RMB1,000,000 in the aggregate in a single day (similar to the company’s major industry peer GMV definition)

Exclusive G-Star RAW (x) JDX Jeans Sell Out in Three Minutes

Posted on by Ling Cao

JDX, JD.com’s crossover fashion project, is making a push into sustainable fashion, reinforcing its overall commitment to sustainable retail. With its June 18 anniversary just around the corner, the e-commerce giant has teamed up with popular Dutch denim label G-Star RAW to launch a limited-edition pair of sustainably produced jeans on JD.com. Only 50 pairs of the jeans will be available – and each pair comes packaged with G-Star RAW (x) JDX T-shirt and canvas bag, as well as G-Star RAW Bluetooth speakers. The jeans went on sale at midnight today and sold out in three minutes.

With environmentally friendly fashion becoming increasingly popular globally, the JDX and G-Star RAW crossover project seeks to address the waste of resources typically involved in producing jeans. From cotton production to the washing process, a normal pair of jeans will consume more than 3,480 liters of water throughout its lifetime, with over 2,500 different chemicals used for dyeing and processing.

By minimizing water waste and pollution at every step of the manufacturing process, the G-Star RAW (x) JDX jeans project seeks to provide a new model for sustainably produced denim. The jeans, which boast a unique “patch panel” design, were awarded gold star certification by the Cradle to Cradle Products Innovation Institute, an international institute that focuses on certifying environmentally friendly designs.

Rachel Jiang, G-Star RAW’s general manager of Asia Pacific said, “As a leading international denim brand since 1989, G-Star RAW is thrilled to be working on this important project with JD.com, China’s largest online retailer. By combining our unique, youthful designs with future-looking sustainable production methods, we believe this partnership with JDX will set an important precedent for the future of sustainable fashion and online retail.”

“G-Star RAW is an ideal partner for our first sustainable fashion collaboration,” said Cici Chen, general manager of JD Fashion Designer Services Department. “Responsible and environmentally friendly business is top of mind for us, and we’re delighted to work with a partner who shares our vision. This collaboration combines the best of unique street style and environmental consciousness and is sure to resonate with our shoppers.”

The limited edition G-Star RAW (x) JDX jeans package will include an environmentally friendly canvas bag. The bag is made of recycled cotton cloth printed with food-grade soy ink, making it entirely biodegradable and recyclable. With the use of these environmentally friendly fabrics, consumers can know their purchase has involved minimal carbon emissions, thus contributing to cleaner air, water and soil.

JD Partners with Mead Johnson on Market Strategy for Emerging Urban Areas

Posted on by Yuchuan Wang

JD.com has partnered with the world’s leading international pediatric nutrition company, Mead Johnson, on a new market development strategy to bring a wide range of infant formulas to consumers in the nation’s emerging urban areas. A response to the shift in consumption habits of Chinese consumers for maternal and baby products to focus on product quality, the new collaboration announced today will make it even easier for maternal and baby store owners in China’s growing smaller cities to supply their consumers with high-quality infant formula from Mead Johnson Nutrition’s world-leading brands.

To facilitate this partnership, JD has developed an easy-to-use mobile internet program through which store owners can place orders for Mead Johnson products. Maternal and baby goods will be delivered within 48 hours directly from JD’s warehouses via the company’s in-house nationwide logistics network. The vertical integration will significantly shorten the delivery lead time and help store owners better manage their inventory. In addition to making it easier for brands to supply their stores, Mead Johnson can analyze the data from the platform to better understand consumption trends for their products and ultimately their end consumers, long a challenge for traditional chain stores. Mead Johnson will also be able to leverage the platform to engage in direct marketing activities and offer shop owners coupons and special promotions.

“With the help of JD’s innovative smart supply chain and in-house logistics resources, a greater number of consumers in China’s emerging urban areas will have more reliable access to our high-quality products,” said Enda Ryan, CEO of Greater China of Mead Johnson. “This cooperation will also help us gain a better understanding of the needs and behaviors of our consumers throughout China.”

“This is a great opportunity for us to deepen our cooperation with Mead Johnson,” said Xiaosong Wang, President of JD Fast Moving Consumer Goods and Foods. “Leveraging our resources to bring high-quality brands like the Mead Johnson family of products to consumers across China is at the heart of our Retail as a Service vision. With growing demand for these products as Chinese parents are having more children, we look forward to deploying the full range of JD’s strengths in technology, marketing and logistics to help our partners meet this demand.”

Going forward, JD will work on providing partnering offline stores with a powerful and convenient inventory management system, while Mead Johnson will ramp up its presence in China’s emerging urban areas by employing professional promoters to help local store owners make the most of the partnership.

JD.com’s AI Writing Robot Improves Online Shopping Content

Posted on by Yuchuan Wang

One of E-commerce giant JD.com’s most productive employees is a prolific writer who can create product descriptions and tailored shopping guides in mere seconds. And he’s not human.

Powered by AI-based natural language generation (NLG) technology, JD’s writing robot Li Bai draws on the company’s massive trove of customer reviews and content from the internet to generate product descriptions and tailored shopping guides. He can generate more than a thousand pieces of content per day for JD’s app.

If Li Bai’s descriptions read as if they were written by an individual who has personally tested the products, it’s because they are the result of the collective knowledge of JD customers. His description for a pair of Adidas shoes, for example, reads:

These shoes have highly wear-resistant soles and are made of breathable material for a cool and comfortable fit even in the most sultry weather, allowing you extra energy on the field. They are designed to more precisely mold to your feet, with a high-top design and soft fit to protect you from sports injuries.

From clothing to kitchenware to mobile phones, Li Bai can come up with a detailed description within seconds. If you are interested in a certain dress, he can tell you details about its design, including the length of its sleeves and whether it is a mini, midi or maxi silhouette.

Li Bai, who gets his name from a legendary Tang Dynasty poet, can do more than write descriptions. He can discuss a wide range of topics with literary flair. When asked about “wedding rings” recently, he wrote, “When the vow has been sealed, the wedding ring symbolizing holy matrimony drops from the sky.” Still, once in a while, his descriptions include odd cultural references that may raise some eyebrows, like his description of clothing that “befits a mature woman, exhibiting a unique Eastern glamour.”

When asked to evaluate his writing skills, the JD public relations team said it was “impressive… but we’ll keep writing our own blog posts for now.”

Li Bai will continue to expand his capabilities. The JD research team is training him to recognize images. With his skills improving by the day, he will continue to help JD’s talented team of writers, freeing them up for more complex writing tasks and enabling even faster generation of more high-quality content for users.

MUJI to Launch Flagship Store on JD.com

Posted on by Ling Cao

Over the past several years, Japanese apparel and household goods retailer MUJI has taken China by storm, making big inroads with consumers, and taking premium spots in trendy shopping locations. Now MUJI will be able to target consumers where they increasingly shop: online, through JD.com.

With the launch of the MUJI flagship store on JD, online consumers will have easy access to MUJI’s high-quality goods across its full range of product categories, including clothing, household goods, home furnishing, and even food, with the added benefit of JD’s same-day delivery and efficient customer service.

The June 1 opening of MUJI’s online store will mark the beginning of JD’s anniversary sale, a major shopping event culminating in June 18, one of JD’s biggest sales days of the year. During the event, JD and MUJI will also embark on an offline cooperation to raise awareness of the new partnership, with MUJI displaying posters in 231 of its stores throughout the country announcing the launch of the new flagship store.

“We are very excited to announce the opening of our store in JD.com, following the cooperation with JD Logistics, which began in September 2017,” said Naoyuki Yamamoto, president of MUJI (Shanghai) Company Limited. “We look forward to bringing our vision of a simple, pleasant life to people, as well as contributing to society, through this partnership with JD.”

“We look forward to helping MUJI take their hugely popular brand to new levels through this cooperation,” said Lijun Xin, president of JD Home and Life. “Known worldwide for its simple aesthetic and well-designed products, MUJI has garnered a loyal fanbase of quality-conscious customers. With our commitment to delivering authentic products with world-class service, JD is the perfect home for MUJI’s premium wares.”

MUJI was founded in Japan in 1980 with an eye toward creating simple, low-cost, high-quality products. It is known for its streamlined manufacturing process that produces simple products that are both durable and pleasing to the eye. There are over 800 MUJI stores around the world, carrying more than 7,000 items ranging from clothing and household goods to food.

During the second half of 2018, MUJI and JD plan to deepen their partnership, with expanded cooperation on comprehensive omnichannel integration covering membership programs, products and more.