As China E-Commerce Giant JD’s Sales Exceeded $16 Bln During 6/18 Online Shopping Festival, Its Founder Warned Employees Against Big Company Disease
During this year’s JD 618 online shopping festival (June 18th happened to be the birth day of JD), the biggest mid-year online shopping event in China, JD’ sales volume reached over RMB 110 billion (around $ 16.1 billion). Which are the most popular products and brands among Chinese consumers? What did Richard Liu say in an open letter to employees on this occasion?
During this year’s JD 618 online shopping festival (June 18th happened to be the birth day of JD), the biggest mid-year online shopping event in China, JD’ sales volume reached over RMB 110 billion (around $ 16.1 billion).
According to JD’s official statistics, five of the best-sellings products during this year’s shopping festival include: smartphones, air conditioners, flat TVs, refrigerators and washing machines; five provinces and municipals of the highest purchasing power include Guangdong, Beijing, Jiangsu, Shandong and Shanghai; top five best-selling brands include Midea, Apple, Haier, GREE and MI.
- JD 3C Division’s sales volume peaked on early June 18th. Statistics suggest that it only took 2 minutes and 50 seconds, 5 minutes and 30 seconds and 3 minutes and 7 seconds, respectively, for sales of Computer & Office Supplies, Digital Gadgets, and Smartphone to surpass RMB 100 billion (around $14.6 billion).
- As to JD Supermarket, sales volume of cooking oil, milk, rice, instant noodle and gum reached 120,000, 220,000, 140,000, 30,000 and 20,000, respectively, within two hours.
- As to JD Fresh Produce, sales volume of “online celebrity prawns” reached 450,000 within five minutes after the shopping festival started. From 0 o’clock to 2 o’clock, 200 tons of fresh produce were sold. As of 08:00 am, June 18th, sales had already surpassed that of the past year.
- JD Finance played an increasingly important role in JD’s e-commerce shopping festival. During the first 10 hours of June 18th, transaction volume via JD Wallet had risen by 240 per cent compared with the corresponding period last year. Within six hours, transaction volume via JD Debit Note had surpassed that of the last year; within nine hours, transaction volume via JD Wallet had surpassed that of the last year.
At the same time, however, Richard Liu, founder, chairman and CEO of JD Group, sent an internal letter titled “Be Prepared for Danger in Times of Peace & Be Open and Inclusive to Innovation: Celebrating the 30th Anniversary of JD” to employees.
In the internal letter, Richard pointed out that although JD was in the best of times, it might easier for people to get lost. Therefore, we must be on guard against “big company disease”, conceit and impetuosity. At the same time, he encouraged employees to be open-minded and strive to seek common ground with partners upstream and downstream while reserving differences.
Richard also mentioned that cost, efficiency and user experience remain at the core of the retailing industry, but the way to create and achieve and realize value will be revolutionized. He made it clear that JD’s goal was to become “China’s retailing infrastructure service provider” and provide “Retail as a Service” (RaaS) solutions for society at large.
On the one hand, we shall continue to dive deeper in the retailing industry and facilitate the construction of retailing infrastructure; on the other hand, we shall build an open platform and share our infrastructure capabilities with society.
In addition, he believed that JD’s future lied in technology-driven innovation. According to him, JD had already been well aware of the potential revolutionary effect of cutting-edge technologies such as AR and VR. In the future, JD wished to leave people the impression as not only an e-commerce platform, but also a successful tech company.
JD shall seek for changes from various aspects, from cultural restructuring, corporate structure to incentive. JD shall make room for trial and error and make sure technology restructuring is properly carried out.
[The article is published and edited with authorization from the author @TMTPost-Chinese please note source and hyperlink when reproduce.]
Translated by Levin Feng (Senior Translator at PAGE TO PAGE), working for TMTpost.
Originally published at www.tmtpost.com on June 20, 2017.