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JD Health Celebrates Traditional Chinese Medicine Day

Posted on by Yuchuan Wang

by Yuchuan Wang

JD Health’s Traditional Chinese Medicine（TCM）Center launched free online consultation services today, to celebrate Traditional Chinese Medicine Day, which falls on Mar. 17 of every year since 1929, to promote the heritage of TCM globally.

In addition, Mengqiang Ren, deputy chief physician of acupuncture from Beijing Hospital of Integrated Traditional Chinese and Western Medicine, will do a livestream to share TCM knowledge on healthcare in springtime for JD Health’s users.

With the convergence of new technologies such as big data, cloud computing, IoT, AI and 5G, online TCM consultations are being accepted by an increasing group of people. For example, as an important TCM method to determine a patient’s physical condition, tongue diagnosis can be easily conducted online by having the patient upload a photo of his or her tongue.

So far, over 9,000 TCM doctors have joined JD Health, including seven TCM masters and nine distinguished veteran doctors.

Apart from consulting online, getting prescriptions, herbal decoctions and receiving medicine deliveries at customers’ doorsteps are becoming a new normal for JD Health users. “As soon as a patient gets the prescription from our doctors, the platform can provide immediate herbal decoctions or prepare decoction pieces and deliver to the user as fast as in 24 hours, thanks to JD.com’s nationwide logistics infrastructure,” said Chunye Wang, a TCM doctor at JD Health.

“On the annual TCM Day, JD Health hopes to further promote the development of TCM and guard the health of Chinese people through high-quality and comprehensive internet-based TCM services,” said Ximu Li, director of JD Health’s TCM Center.

 

(yuchuan.wang@jd.com)

In-depth Report: The Future of Digital Currency and the Role of JD

Posted on by Ling Cao

by Ling Cao

Digital Currency, or DC/EP (Digital Currency/Electronic Payment), was a hot topic during the latest annual sessions of China’s National People’s Congress and Chinese People’s Political Consultative Conference (CPPCC) held during Mar. 5 to 11 in Beijing. Many deputies and members shared their plans for promoting the program, which is viewed as one of the key driving forces of building China’s digital economy.

As development continues, JD Technology will continue to support these efforts with integrated technology and services, after enabling China’s very first online order by DC/EP via JD’s ecommerce platform in 2020.

Cash-on-delivery services provided by JD for customers via DC/EP

Fuwen Gong, member of the National Committee of the CPPCC, and associate chief judge of Shaanxi Higher People’s Court, recommended, “The trial of DC/EP should concentrate on three aspects: holding top-level design, confirming its status as lawful currency, and amending descriptions in some of the rules to include DC/EP, in addition to paper money and coin, as a lawful form of RMB in China. The other two aspects are taking importance of the currency’s inclusiveness and risk control.”

 

Rapid mobile payment development in China

In China, the internet development has seen rapid growth over the past years, with over 989 million netizens as of December 2020, according to China Internet Network Information Center, with penetration rate over 70%. Residents have also gotten used to cashless payment anywhere, either online or offline, with the rise of mobile payment platforms such as WeChat Pay.

The digital environment forms a good foundation to incubate the nation’s own digital currency, the DC/EP. Dr. Jianguang Shen, Chief Economist at JD Technology said, “The rapid development of mobile payment in China has accelerated the country to promote the digital currency trial in a relatively early time compared with countries worldwide.”

 

Open attitude from PBOC

DC/EP first emerged in 2014, when the PBOC (the People’s Bank of China) formed a special team to research the lawful digital currency, and in January 2017, the bank formally established the Digital Currency Institute to promote the development of DC/EP.

After several years of development, 2020 marks a trial application milestone for China’s DC/EP landscape, with several cities facilitating the trial programs. Among them, Shenzhen was the first city to conduct a trial in October 2020, supporting the transaction in offline stores.

Two months later, JD Technology joined the initiative by supporting Suzhou, the second city to conduct a trial. Utilizing JD Technology’s integrated technology and service solutions, the city issued RMB 20 million DC/EP consumption red envelopes to residents. As part of this program, JD Technology also supported China’s first online order by DC/EP via JD’s platform. Suzhou recently conducted a second trial, also supported by JD.

The DC/EP payment solution in offline scenarios

According to Changchun Mu, Director of Digital Currency Research Institute of PBOC, the bank always holds an open and neutral attitude for DC/EP in order to create an inclusive digital ecosystem. “The DC/EP’s exchange service will be provided by designated institutions, while the circulation service can be done by third party payment institutions and other business banks,” Mu said. “These banks and institutions will also be responsible for the retail management, including payment product design and innovation, application expanding, market promotion, R&D, as well as maintenance.”

The positive government environment has stimulated the market vitality, with many enterprises also participating to make their contribution, such as JD.com, Meituan, Didi and more.

 

JD: providing technology and services

Among enterprises, JD Technology was in the first group of technology companies to test the DC/EP in China with state owned banks and connected with online scenarios. It has already supported DC/EP’s four test runs in Suzhou, Beijing and Chengdu, which have gained experience in operations and solutions, as well as offering new shopping scenarios for customers. JD has now cooperated with six state-owned banks and connected with online scenarios. It has also helped merchants upgrade their cashier machines and connect them with their stores’ ERP (Enterprise Resource Planning) system, improving efficiency and experience.

Fei Peng, head of the DCEP program at JD Technology said, “By using frontier technologies such as AI, big data, cloud computing, and through omnichannel, stable customer service capabilities, as well as application experience, JD Technology aims to contribute its efforts in the DC/EP’s wallet ecosystem building, supporting local governments’ test runs, and exploring more real scenarios.”

Local residents are enthusiastic about the new programs. Data showed that during Suzhou’s Double 12 (Dec. 12) Shopping Festival in 2020, JD’s online platform received nearly 20,000 orders by DC/EP in the first 24 hours, among them the largest online payment was over RMB 10,000 yuan. JD data also showed that 41.7% of people using DC/EP envelopes were born post-1980s, and 37.4% were born post-1990s. Over half of the customers placed orders within one hour after the festival kicked off.

In March, the first DC/EP consumption envelope test run in western China has been facilitated in Chengdu, with 4.2 million applicants registered for the program, showing residents’ willingness to embrace the test.

 

Inclusiveness of DC/EP

As a new project, people are not obligated to integrate DC/EP into daily payments. Mu shared, “The government won’t force the distribution of DC/EP; it should be issued according to people’s need in the way of marketization. DC/EP and the paper money will exist together for a long time.”

Issued by PBOC, DC/EP is legal tender, and is the digital version of cash. It supports controllable anonymous payment, and offline payment in an environment when two parties are both having no access to internet.

Residents can simply make transactions by downloading a DC/EP app, and six state-owned banks support exchange services.

One customer shows the red envelop page from her cellphone

On why China needs DC/EP, Mu explained in his public lecture on the Dedao platform, “First, it can protect our monetary sovereignty and legal currency status. We need to prepare in advance. Second, paper money is an expensive process that requires anti-counterfeiting technology, and more and more people are reluctant to carry cash now. Additionally, the current internet payments are normally connected with a bank account, which aren’t anonymous, and thus cannot support some of the private payment purposes.”

Dr. Shen from JD commented, “DC/EP is a new area which may break the current mobile payment layout in China. It is not just a currency, but a way of payment, which is of great significance.”

In fact, the DC/EP’s development is still in an early stage. Enterprises and institutions will continue to support under PBOC’s pace, promoting the digital transformation of China’s economy, especially by making it more user-friendly to avoid creating a digital gap. Mu said, “We want to include people from developing areas who lack experience in digitalization, so we will work to make DC/EP more inclusive. For example, we are developing tailored products for people who do not have smart devices.”

As digital currency continues to grow in importance for China’s economy, JD Technology is committed to supporting its development. Fei Peng from JD shared, “JD has over 471 million annual active users, and nationwide logistics services, as well as omnichannel operations, and these advantages will help promote the building of the DC/EP ecosystem.”

 

(ling.cao@jd.com)

JD Awarded by Beijing Government for Poverty Alleviation Efforts

Posted on by Ling Cao

by Ling Cao

JD has received the Poverty Alleviation Collaboration Award from Beijing Municipal Government, as announced at a ceremony on Mar. 15.

Poverty Alleviation Collaboration Award from Beijing Municipal Government issued to JD.com

Since 2017, JD has helped 90 counties in Qinghai, Inner Mongolia, Hebei, Hubei and other provinces eliminate poverty.

Using JD’s in-house logistics network, especially its cold chain logistics and e-commerce capabilities, JD has helped bring local fresh produce to cities around China.

Individual customers can search for the local specialties via a flagship store on JD, while institutions and enterprises can purchase the products via a digital procurement platform built by JD, making the process easier and more convenient.

Zhuxi in Hubei province, which is known for konjac, a plant commonly found in East and Southeast Asia, is one of the counties supported by the Beijing Municipal Government. The county chief Zunyong Ke said, “Konjac is the main focus of our main poverty alleviation efforts. By combining e-commerce, partners and local farmers together, we helped 35,000 farmers increase their revenues to RMB 5,000 each on average.”

JD has supported the program with fulfillment services, as well as marketing, partnering with several local major companies. The konjac has also been developed into 30 foods to be sold on JD, such as ready-to-cook food and konjac noodles. As a result, the konjac is increasing in popularity on JD and e-commerce has become a key sales channel for Zhuxi.

“Going forward, JD will continue to help with rural revitalization via supply chain, logistics, technology and financial support, promoting the development of the countryside economy,” said a JD representative.

 

(ling.cao@jd.com)

Posted in ESG

JD and Sony Jointly Launch Customized Gaming TV

Posted on by Rachel Liu

by Rachel Liu

JD.com has put the Sony X91J 4K Smart Gaming TV on pre-sale. This is the new product customized for JD customers and JD is the only platform to sell the product in China. This is one of several products launched in which JD has worked closely with Sony to ensure enhanced customer satisfaction.

JD has launched gaming laptops and gaming phones with leading brands thanks to being able to anticipate demand for these products before they even exist. Last year, seeing indications of the gaming TV trends, JD and Sony launched their first customized product with great sales performance. The X91J is an upgrade model based on JD’s big data and customer feedback.

The X91J has a “gaming mode” specially developed for game lovers. It can reduce the input delay and optimize the display of games. The new TV also upgraded its hardware to provide more rapid feedback, making the gaming experience more immersive and enjoyable.

“We observed that the target customers for TVs have changed, and their demands for functions on TVs have also changed. As more customers are using TVs to play games, this is the perfect time for us to launch gaming TV with our long-time partner,” said a spokesperson of JD Home Appliance. “JD provides support for brands covering the entire supply chain including product design, pricing, purchasing and fulfillment to help them upgrade the product.”

Sony has extensive cooperation with JD in multiple categories. Its full-screen AI eye protection TV, which is also a C2M product and was developed in response to customers’ concern that children’s eyesight will be compromised by too much screen time, saw great sales increases on JD. Last September, JD held a Super Brand Day for Sony and sales surpassed RMB 10 million yuan just six seconds after kicking off.

 

(liuchang61@jd.com)

 

 

 

JD Property Obtains US$700 Million Series A Financing

Posted on by Yuchuan Wang

by Tou Guan

On Mar. 10, 2021, JD Property entered into agreements for the non-redeemable series A preferred share financing with co-lead investors Hillhouse Capital and Warburg Pincus as well as other investors. The total amount expected to be raised is approximately US$700 million. Upon completion of the transaction, JD.com will remain the majority shareholder of JD Property which will be another unicorn incubated by JD.

JD Property is a subsidiary of JD.com which focuses on infrastructure asset management and comprehensive property services. It provides integrated solutions for modernized high standard warehousing, intelligent industrial parks, IDCs (intelligent data centers), and more for partners from various industries.

Its strategy is committed to serving the digital intelligent social supply chain, by investing, developing and managing logistics infrastructures, manufacturing parks, data centers, scientific innovation offices across China, including 29 core regions. Extensive geographical reach and remarkable product development capability enable JD Property to facilitate the development of the real economy by constructing advanced manufacturing, medical, urban services, commercial and digital technology facilities.

JD Property has formed a business loop of infrastructure development, asset management and capital operation. Its end-to-end integrated suite has enabled endogenous growth with high turnover rate, return and efficiency. For example, supported by its industrial park projects, JD Property is enabling enterprises through the opening up of its industrial services in quality selected locations. Meanwhile, JD Property also leverages a broad range of funds and investment vehicles with world-leading capital partners, contributing to a fund platform with AUM (asset under management) of over RMB 19 billion yuan.

The overseas market has become a new area of growth for JD Property. Deeply collaborating with local partners, it is developing logistics and industrial infrastructure in Southeast Asia and Europe, to help Chinese clients and local enterprises expanding their businesses.

By leveraging Warburg Pincus and Hillhouse Capital’s industry expertise and resources, JD Property will further strengthen its infrastructure property management capabilities and its position as a leading player in high-quality infrastructure properties development and operations.

 

(press@jd.com)

Dr. Bowen Zhou: Promoting Industrial Intelligence and Digitalization via Trustworthy AI

Posted on by Ling Cao

by Ling Cao

“In the next ten years, we hope to become an enabler with our partners to promote the industrial intelligence and digitalization via Trustworthy AI,” Dr. Bowen Zhou, Chairman of JD Technology Committee shared during the virtual annual conference held by MIT CHIEF (MIT-China Innovation and Entrepreneurship Forum) on Mar. 12.

Dr. Zhou said, “Technological progress is the underlying driving force of industrial revolution.” He added that technology progress will continue to expand industries’ boundaries, and create new industries. “And vice versa –industry needs will promote technology development.”

Dr. Zhou shared examples from enterprise perspective. In China, enterprises pioneering in digital transformation (which is defined as in the past three years, new business revenues accounted for over 50% of its total revenues) have benefited an average revenue CAGR（Compound Annual Growth Rate）which is 5.5 times that of other enterprises.

Zhou explained that apart from operational efficiency improvements, people tend to overlook other benefits for digitalization, such as making the whole organization more agile and flexible, which creates huge growth potential.

Zhou also shared how JD has applied AI areas from in manufacturing to consumption, in order to connect and integrate the whole circulation process via technology. For example, JD is using AI in C2M (Consumer-to-Manufacturer), as well as to help with writing product introductions, marketing content and more for its e-commerce platform. In addition, JD is using AI for automated product quality inspection. The service is SaaS based, and allows manufacturers to pay for it on a scaling basis according to its effectiveness.

While digitalization for all industries are still in early stages, in face of the challenges, Zhou said: “JD is fully embracing Trustworthy AI. There are two aspects, one is solving technology challenges: robustness, reproducibility and explainability. Second is showing human social responsibility and value, ensuring fairness, value alignment and accountability.”

Founded in 2011, MIT-CHIEF is committed to promoting intellectual exchanges and collaborations between China and the United States in technology, innovation and entrepreneurship.

 

(ling.cao@jd.com)

Two Thirds of Customers Prefer Omnichannel Approach for Electric Appliances

Posted on by Kelly Dawson

by Kelly Dawson

Two thirds of consumers prefer a combination of online and offline methods when purchasing electric appliances, according to the 2021 Electric Appliance Consumption Satisfaction Report released on Mar. 13 by market research firm Digital 100.  Among customers who purchase electric appliances, JD.com leads the field based on its commitment to 100% authentic products and an advanced omnichannel approach, both essential for consumer satisfaction when it comes to big-ticket purchases like electric appliances.

According to the report, 17% of customers prefer to first view and test the product in an offline store, before eventually purchasing online—which allows for further research and comparison before making a final decision; and 22% do online research first to select potential products of interest, and then visit an offline store to test the product in person, before eventually purchasing the product online. Customers can also choose whether they prefer to pick up a purchase at an offline store, or have it delivered directly to their homes, providing additional options for convenience and peace of mind.

As customers’ needs evolve, JD’s recognition of the need for online-offline integration will be the key to future success, said David Roth, chairman of BrandZ and CEO of The Store WPP EMEA and Asia. “JD is one of the leaders in understanding this strategic challenge.”

JD’s omnichannel approach extends across multiple categories and industries, with its over 12,000 offline home appliance experience stores across China serving as a clear example of how offline stores can add value for consumers.

Visitors to JD E-Space, JD’s 50,000 square-meter experience store in Chongqing, have free rein to try anything in the store. Customers debating between washing machines are encouraged to take them for a ‘spin’; participate in baking tutorials, and more.

The company plans to open 20 JD E-Space experience stores in first-tier cities across China by 2025. These offline stores play an important role in the company’s expansion into lower-tier markets, where customers are still acclimating to online shopping. Customers can also access post-sales services at the offline stores.

JD’s omnichannel strategy has also been a key factor in ensuring ever faster delivery. While the traditional retail model (still prevalent in many countries including the US) relies on a few major warehouses, JD’s extensive network of offline stores combined with advanced logistics have drastically shortened delivery time to consumers.

JD Retail CEO Lei Xu has said that omnichannel will remain a key strategy for the company.

“The significance of JD’s omnichannel strategy is to improve overall retail efficiency in a wider range of new formats and scenarios, meet consumers’ diversified and instant purchases of goods and services, and create value for merchants and consumers. We believe that the penetration rate of omnichannel and instant consumption models in different industries will continue to increase in the future. The industry space is huge.”

 

(kellydawson@jd.com)

 

Photo Gallery: This Week at JD (Mar. 8 – Mar. 12)

Posted on by Yuchuan Wang

Dr. Dacheng Tao, an internationally recognized scholar in the field of AI and information sciences, has been appointed the director of JD Explore Academy, where he will lead the team to explore innovative artificial intelligence applications that drives JD.com’s business in the future. Recently he won the IEEE 2021 Computer Society Edward J. McCluskey Technical Achievement Award, which honors people who have made outstanding innovative contributions in the field of computer information science and engineering over the past decade.

 

Xiazhuang, a small village isolated by cliffs that is 437 kilometers away from central Chongqing, received the first e-commerce parcel delivered by JD Logistics on Mar. 8. JD is proactively penetrating China’s rural market, connecting rural areas with e-commerce and logistics services. The company has built out logistics facilities in more than 700 remote villages and townships.

 

New York fashion brand APEDE MOD launched a flagship store on JD.com on Mar. 8 to present its latest series of bags to Chinese consumers. To mark the store’s opening, APEDE MOD brings its classic Froggy bag, Le Book, and Deco Line, as well as its new series of gradient color bags.