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JD Eases Gift Procurement before Spring Festival

Posted on by Kelly Dawson

by Kelly Dawson

Ahead of Chinese New Year, many enterprises are beginning to prepare stock for a ramping up of gift purchases. For one Shanghai-based gift procurement company, working with JD.com has streamlined the process and significantly decreased stress and inefficiency, according to employee Gong Xuan.

Xuan, who heads the company’s purchasing division, handles a high volume of procurement needs from enterprises. When she first started working for the company, much of the procurement took place offline, seen at the time as the fastest, most reliable method of procurement. She recalled one urgent order received from a customer that needed specific models of mobile phones for gifts. As was standard at the time, Xuan set out on foot and by taxi to find the phones from nearby mobile shops. Upon arriving at the first shop, she discovered that the store was out of stock, and unable to check on other locations. Xuan had no choice—she checked every store in the area, one by one, until she found the necessary cell phones at a shop 30 kilometers away from the store.

On another occasion, Xuan’s manager requested that she purchase a batch of laptops for gift distribution. She managed to find the laptops, but the supplier notified her that as the devices were for goods transfer, they would need to be opened and activated before purchase. Xuan declined on the spot—as gift purchases, they could not be opened.

After considering her options, Xuan called JD.com’s customer service, and explained the urgency of her request. She purchased the laptops, and they arrived by courier the next day.

Xuan was becoming more and more certain that online procurement was the best method—but her manager wasn’t convinced. Then, in 2018, Xuan’s company received an order for 600 rice cookers to be used for an employee lottery by a large real estate firm. As “Murphy’s Law” states, everything that could go wrong went wrong in the worst way. Two days before the event, the supplier notified her that poor logistics at the turn of the year would prevent the rice cookers from being delivered on time.

“When I heard the news, I really thought I would need to start looking for a new job,” Xuan recalled. If they failed to deliver the rice cookers to the client, Xuan’s company would need to pay a breach of contract fee. She would most certainly be held responsible. After receiving the news, Xuan stood outside and cried. When she was done, she gathered herself and tackled the problem, assessing the available e-commerce platforms.

After speaking with a JD customer service representative, she placed the order. The following day, all 600 rice cookers arrived.

Following this near-disaster, Xuan convinced her manager to transition the company’s procurement services entirely online. Not only would JD’s services be reliable and fast, the company could also enjoy better prices as a member of JD’s corporate membership program. “Many of the products are cheaper online than in stores—over the years, it’s a lot of money saved,” Xuan said.

At present, nearly 100,000 products on JD offer exclusive corporate prices, and corporate exclusive prices can be combined with discount coupons, full discount promotions, and gifts.

 

 

(kellydawson@jd.com)

JD Health Strengthens Goods Supply Channels and Free Online Consultation in Hebei

Posted on by Vivian Yang

by Vivian Yang

As COVID-19 cases spike in Beijing’s neighboring Hebei province, JD Medicine Procurement, the B2B wholesales platform under JD Health, has set up a dedicated online portal for anti-virus goods supplies. At the same time, the platform works closely with pharmaceutical manufacturers to ensure the increasing demand for medical supplies can be sufficiently met, with items including masks, thermometers, hand sanitizers and alcohol wipes.

JD Medicine Procurement is currently cooperating with nearly 18,000 retail pharmacy stores in Hebei province. Additionally, there are 11 of JD Pharmacy’s alliance drug stores based in the new epicenter in China. These drug stores have been requested by the platform to upgrade their anti-virus measures such as protection measures for store staff, mandatory registration on all visitors entering the store, applying more than 1-meter social distancing rule inside the store, and more.

“The virus protection guidance provided by JD Medicine Procurement is comprehensive, concrete and thoughtful for both store staff and consumers,” said Jinbin Liu, an employee of Kangyu chain drug store in Langfang city of Hebei. “Many measures are particularly helpful to apply in the areas that are prone to be neglected in our actual drug store operations.”

Customers’ demand for anti-virus goods has seen a surge in recent weeks due to the drastic temperature drops and repeated occurrences of infection cases. Many people still prefer the convenience of going to nearby drug stores to stock up on masks and other anti-virus goods, according to Jing Zhang, a staff of Likang chain drug store in Qinghe county of Xingtai city, Hebei province.

Thanks to JD Medicine Procurement’s stable pharmaceutical supplies, with a dozen upstream local suppliers in Hebei and a vast network of warehouses across 11 counties of the region, “everyone has peace of mind,” said Zhang. “Knowing that there are abundant protection supplies, with no shortage or cut-off supplies, we have confidence that this round of infections will soon be controlled.”

Moreover, JD Health has also opened its free online medical consultation service platform during the outbreak. People in the virus-affected regions can reach doctors via JD Health’s app for respiratory, internal medicine and other medical experts, reducing their cross-infection risk and anxieties.

 

(vivian.yang@jd.com)

Posted in ESG

JDC One of 3 Leading Forces in Online Retail in Thailand: Bangkok Post Article

Posted on by Martin Li

by Martin Li

JD Central (JDC) will be one of the major players to lead online retail in Thailand as online shopping is expected to retain momentum, according to a recent report by the leading English-language newspaper Bangkok Post in Thailand.

JDC is the e-commerce joint venture of JD in Thailand, in partnership with Thai retail giant Central Group.

Online will become a major channel for shopping in Thailand in 2021, with e-commerce giants JD, Shopee and Lazada dominating the segment, according to the report.

“In 2021, the online channel will play a crucial role in the country’s economy,” the report quoted local e-commerce pundit Pawoot Pongvitayapanu, CEO of e-commerce platform Tarad.com. “The pandemic has totally changed Thais’ behaviors towards online shopping,” he said that online platforms have become crucial for many Thais shopping in various product categories.

According to Pongvitayapanu, the three leaders will dominate online retail for a wide assortment of products and see Thais spending in major shopping festival events, such as Double 11(Nov 11) and Double 12(Dec 12).

JDC achieved a 550% growth in the gross merchandise value (GMV) of its e-commerce platform in its first two years in Thailand, after starting operations on September 28, 2018.

The full article by Bangkok Post can be read Here.

 

(bjlihao3@jd.com)

 

JD’s Global Sales Eyes More Partners in Hong Kong

Posted on by Martin Li

by Martin Li

JD’s outbound e-commerce platform, Global Sales, looks forward to working with more partners in Hong Kong to improve its localization strategy and provide quality products and services to the market, Chris Choi, General Manager of Global Sales, said in a recent feature article published on the website of InvestHK, the department of the Hong Kong SAR government responsible for foreign direct investment(FDI), supporting overseas, Mainland and Taiwanese businesses to set up and expand in Hong Kong.

Chris Choi, GM of JD Global Sales.

Adhering to the “customer first” motto, JD.com is dedicated to bringing an excellent shopping experience to Hong Kong consumers with multichannel after-sales service and logistics offerings.

“We hope to combine the best of human and AI-powered service for a seamless customer service experience,” said Choi.

“Our turnover in Hong Kong has increased by 2.5 times on a year-on-year basis, while active users nearly doubled. We have recently launched JD’s first local co-branded credit cards in Hong Kong and Macao respectively, providing more convenient payment options for consumers. We have also joined hands with JD Health to launch a medical consultation platform for Hong Kong, Macao, Taiwan and overseas customers to receive medical advice from renowned doctors. We hope to construct a richer shopping experience through cross sector collaboration,” added Choi.

Read the full feature article on InvestHK’s website Here

 

(bjlihao3@jd.com)

 

 

JD Partners with Lenovo Image in Lower-Tier Markets

Posted on by Kelly Dawson

by Kelly Dawson

JD.com’s omnichannel JD Computer and Digital Products franchise stores are partnering with Lenovo Image to offer printer products and services to customers of the offline stores. Combining JD’s quality assurance and advanced supply chain with Lenovo Image’s high-quality products and comprehensive customer service experience, the partnership will offer customers on-site consultation, extended warranty and after-sales maintenance services, technical support, and one-hour express service delivery in some cities.

Additionally, staff at the stores will receive Lenovo Image’s service training and guidance to ensure the best possible customer experience.

Eighty percent of JD Computer and Digital Products stores are located in third- to sixth-tier cities, where consumers have been slower to warm to an online-only model for electronic devices, preferring to test products first before purchase.

JD opened the first computer and digital products experience store in 2018. Today, there are around 700 such JD stores across China, with 90 offline stores opened in April alone. Of these stores, 533 are in 3rd to 6th-tier cities, covering 30 provinces，municipalities and autonomous regions.

JD has previously partnered with Lenovo on C2M initiatives, including customized products for series including Lenovo’s AIO business-integrated desktop PCs.

Weichang Li, general manager of Lenovo’s PC consumption department, said that Lenovo’s cooperation with JD felt significantly more hands-on than with some previous partners.

“What we talked about the most with foreign supply chain partners was just the price, while the cooperation between JD and Lenovo has always focused on consumers’ demands,” Li said.

 

 

(kellydawson@jd.com)

 

JD News Roundup 2021 – Vol. 4 (Mar. 1-12, 2021)

Posted on by Ella Kidron

If you have any questions or topics you are hoping we will explore, please email ella@jd.com. 

Earnings

JD.com reported fourth quarter and full year 2020 earnings on Mar. 11. Among the financial highlights, the company saw accelerated user and topline growth. Accelerated user and topline growth: Annual active customers of 471.9 million, an increase of 30.3% from FY2019. Full-year net revenue of RMB745.8 billion (US$114.3 billion), an increase of 29.3% from FY2019. Net service revenues for the full year of RMB93.9 billion (US$14.4 billion) an increase of 42% from FY2019. Read the full release: https://ir.jd.com/news-releases/news-release-details/jdcom-announces-fourth-quarter-and-full-year-2020-results

Below is a quick snapshot of highlights:

JD Retail will continue focusing on the enhancement of its integrated supply chain and technology capabilities, ominichannel and online market ecosystem expansion, CEO Lei Xu shared during the call to discuss the earnings results. “What JD aspires to is a middle platform ability that can be applied in more diverse use cases and channels. With this goal in mind, we have been investing unswervingly in supply chain and technologies to help merchants – both online and offline, big and small, including brands and factories – to improve their operations efficiency, to enhance their customers’ experience, and to improve their risk-resistance capacity,” said Xu. Read more: https://jdcorporateblog.com/jd-retail-ceo-supply-chain-omni-channel-and-ecosystem-are-three-key-strategies/ 

BUSINESS HIGHLIGHTS

Retail

JD Super, JD’s online supermarket, is going to build an end-to-end, integrated supply chain for agricultural products from the initial planting stage, through transportation and sales.

JD’s third E-Space store will open in Xi’an, following the opening of the Chongqing store in 2019 and the Hefei store planned to open this year. The store’s claim to fame is the ability to experience virtually every product or service, making it not only a socializing destination but also a “third place” of sorts.

JD continues to build out its roster of brands on the platform. Recently APEDE MOD, a New York fashion brand which has gained traction in China recently, opened a flagship store on JD.

Health

JD Pharmacy, the pharmaceutical business under JD Health, has started providing O2O services for a new rare disease medication under Novartis, MAYZNT, which treats multiple sclerosis (MS). JD is the first online partner of the medicine. The news comes after JD Health launched its rare disease center at the end of February. The center provides rare disease patients all over China with access to a wide range of resources, including being able to consult medical professionals online thanks to telemedicine. This is an area JD Health will continue to develop.

Tech

JD welcomed two respected IEEE Fellows to its roster of tech talent. Dr. He Tian joins JD has vice president and the head of JD Logistics AI and Data Science, in charge of smart logistics algorithms, data products and map services. Dr. He’s team will build dedicated, intelligent algorithms and systems for supply chain and logistics scenarios. In addition, Dr. Dacheng Tao has been appointed the director of JD Explore Academy where he will lead the team to explore innovative AI applications which might drive JD’s business in the future. Dr. Tao is an internationally-recognized scholar in the field of AI and information sciences with a focus on machine learning, deep learning, computer vision and image processing. His papers have been cited nearly 60,000 times – a demonstration of how essential his research is to the field of AI. The addition of these Dr. He and Dr. Tao adds to JD’s growing list of IEEE fellows and reinforces the company’s commitment to tech innovation.

JD has launched a test run of DCEP, or the e-CNY, in Chengdu – the third city the company has participated in the rollout of the digital RMB for. Over 4.2 million customers participated in the lottery, of which there were over 203,060 lucky winners who received either RMB 178 yuan or RMB 238 yuan.

Logistics

Located in the southeast of Shenyang, Maizitun (literally means Village of Wheat) is a fast-growing logistics hub. After JD.com launched one of its “Asia No.1” logistics parks in 2010, a project aiming to build the largest scale and most advanced network of e-commerce logistics centers in Asia, more and more logistics companies have established their businesses in Maizitun. The area has become the logistics hub for the southern Shenyang area. Read more: https://jdcorporateblog.com/jds-asia-no-1-boosts-economic-development-of-rural-area/

As China’s homegrown COVID-19 vaccines require two to three doses per person, the country has seen a demand for transporting 2.8 to 4.2 billion doses on the market. The enormous demand for the vaccine is accelerating the development of global cold chain logistics, especially in China where the infrastructure has relatively lagged behind developed countries. Read about JD’s work to transport the vaccine leveraging its cold chain logistics infrastructure: https://jdcorporateblog.com/in-depth-report-the-developing-cold-chain-capabilities-of-jd-logistics/

International Business

JD CENTRAL is developing its business by adhering to three core characteristics: quality, price and service (QPS). Its recently announced QPS benchmark will help merchants on the platform continue to leverage JDC resources to improve their level of service, and contribute to the rising prominence of e-commerce in China. Read more here: https://jdcorporateblog.com/jd-central-in-thailand-sticks-to-doing-the-right-things/

Have a bit more time? Check out some of these reads:

The secret ingredient behind JD supermarket SEVEN FRESH’s menu? A world-class chef who previously cooked for Queen Elizabeth herself. Read his story here: https://jdcorporateblog.com/in-depth-report-seven-freshs-secret-ingredient-a-chef-with-royal-experience/

Periods should not be a financial burden. JD’s social e-commerce platform Jingxi plans to work with manufacturers to provide an economical feminine hygiene option without sacrificing quality. https://jdcorporateblog.com/periods-shouldnt-be-a-financial-burden-heres-how-one-retailer-is-helping/

When Qinran Liang joined JD Logistics 13 years ago, he was brand new to the industry. Since then, he’s grown a lot—and so has the company, which at the time was a traditional logistics player in service of JD’s retail business. “The company has transformed, step by step, day by day,” he said. Read his story here: https://jdcorporateblog.com/in-depth-report-the-meaning-of-a-jder-in-the-eyes-of-a-long-serving-employee/

 

 

(ella@jd.com)

 

Read past JD News Roundups below

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Continue reading “JD News Roundup 2021 – Vol. 4 (Mar. 1-12, 2021)”

JD Opens Self-built Pharmaceutical Warehouse in Shenyang

Posted on by Yuchuan Wang

by Yuchuan Wang

JD has built a dedicated warehouse in Shenyang, Liaoning province to meet the increasing demand for the transportation of pharmaceutical products in the industry.

The 10,000-square-meter warehouse provides outsource operational logistics services (3PL or third party logistics services) for medicine and medical apparatus and instruments. It is equipped with multi-layer storage temperature conditions including cool, room temperature, refrigerator and frozen for various drug requirements.

According to the China Pharmaceutical Logistics Development Report released by China Federation of Logistics & Purchasing (CFLP), the market for pharmaceutical products circulation is growing rapidly at a rate of 8% and is believed to have surpassed RMB 4,000 billion yuan in 2020. Meanwhile, the industry still faces problems of high costs and lagging digitalization, with much room for development.

“Leveraging JD’s capacities in logistics infrastructure, technology and ecosystems, we hope to build a professional and wide-coverage pharmaceutical logistics network,” said a JD Logistics representative, “to continuously contribute to the optimization of the pharmaceutical supply chain.”

 

(yuchuan.wang@jd.com)

Photo Gallery: This Week at JD (January 1 – January 8)

Posted on by Yuchuan Wang

To celebrate the coming of 2021, JD Logistics partnered with Chinese movie “Warm Hug” to release special delivery boxes with its theme and set up a pop-up store in Beijing to bring the warm-hearted story to consumers. Each of the special designed delivery boxes can stretch out small hands to make a hug.

 

JD partnered with Sesame Studios to celebrate the coming of the New Year. The two parties released a video titled Joyous Surprise, which carries the theme of kindness and friendliness. JD and the studio also worked with Lego and Pop Mart to customize diversified Sesame Street-themed products like bags, yoga pads, mixed nuts, pullovers and mysterious gift boxes. In an offline campaign, JD has decorated the Light Rail No.2 in the mountain city of Chongqing in southwest China with images of Sesame Street characters and Joy, adding a festive touch to the city.

 

SEVEN FRESH, JD’s offline fresh produce supermarket chain, opened a new store in the Fangzhuang area of Beijing on Jan. 1, reaching many old residential compounds and elderly people. It can solve the problem by providing tailored services, such as doorstep delivery in as fast as 30 minutes, a special service section for elderly people inside the store, as well as teaching them to place orders online at their compounds.

 

JD.com and ThundeRobot, a leading Asian brand of gaming computers and accessories, sponsored an e-sports league, ACE College League (ACL), which concluded on Jan. 3 with Hainan University crowns champion of the two-day e-sports competition. JD is ambitious in constantly exploring the field of e-sports. In the PC gaming field, JDG has become one of the top teams loved by gamers, and it will be one of China’s representative teams to participate in the League of Legends World Championship 2021. In the mobile gaming field, JD was also the exclusive e-commerce partner for KPL Spring, KPL Fall, and the Honor of Kings Anniversary in 2019.