Nov 12, 2018|
Shoppers Snap Up Quality and Imported Products on JD.com for Record-Breaking Singles Day Festival
Transaction volume on JD.com reached a record RMB 159.8 billion (approximately US$23 billion) from November 1-11, during its Singles Day Shopping Festival – the first in which the e-commerce giant worked closely with brick-and-mortar retail partners, helping them join in on the shopping extravaganza.
This year shoppers flocked to JD.com for the broad range of goods available in virtually every category. For example, during the sales period, global brands such as Apple, Dell, Dyson, L’Oréal, SK-II, Pampers, and many others saw impressive sales performance. Products from the U.S., Japan, Germany, the Netherlands, and South Korea proved especially popular.
“There is a noticeable shift in China toward quality over price, which we see in the growing numbers of consumers who are willing to pay more for branded and imported goods,” said Lei Xu, CMO of JD.com and CEO of JD Mall.
“By establishing trust with consumers and brands, thanks to our zero-tolerance policy toward fakes and our innovations in areas such as blockchain traceability for product safety, JD is in a unique position to meet that demand.”
During the period, JD sold more than 400 million items offered by its Fast Moving Consumer Goods and Foods business group. The amount of imported fresh food sold doubled versus the same period last year, with customers buying more than 29,500 tons of items such as meat, vegetables, fruit, and seafood, including some 12 tons of live Canadian lobsters. Premium smartphones from domestic and international brands were once again popular, with some brands seeing sales double compared with the same period last year. Customers also purchased more than 25 million products from the home and life category, which includes home furnishings, cookware, decorative products and many other related items. Consumer electronics, home appliances, and mobile phones continued to see strong customer demand.
In addition to deals on everything from fresh seafood to the latest streetwear brands on JD.com, JD’s partnerships with other retailers are further examples of the company’s Retail as a Service (RaaS) strategy to open its technology and infrastructure to other retailers and industries. More than 600,000 offline stores are using JD technology and infrastructure to attract customers to their own Singles Day promotions. JD developed an innovative new game, for example, to help brick-and-mortar players attract more traffic to stores via WeChat’s mini-program platform. In the game, users are granted points based on the number of steps they take, and by visiting offline stores they can get additional steps that can be exchanged for products and prizes. More than 200,000 stores and 200 brands took part during the sales period.
JD also opened its largest 7FRESH store to date in Langfang, Hebei Province, on Singles Day. 7FRESH is JD’s offline fresh food supermarket. The new store received more than 10,000 customers within a single hour on November 11. In addition to 7FRESH, JD’s portfolio of offline stores includes unmanned convenience stores and JD Retail Experience Shops among many other store formats.
“After more than a decade of building out technology and infrastructure for our own retail business, we will spend the next decade extending our capabilities to enable and empower both online and offline retail innovators,” said Dr. Jianwen Liao, Chief Strategy Officer, JD.com.
“We see the future of retail as one without boundaries, and we are working to bring consumers true boundaryless retail, where they can buy whatever they want, whenever and wherever they want it.”
For more highlights from JD.com’s Singles Day Shopping Festival this year, see the infographic below:
* 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)