According to a report by local media Ming Pao, JD Mall in Hong Kong is expected to mirror its mainland China counterpart, with a primary focus on home appliances.

Ming Pao also cited sources revealing that since the fourth quarter of last year, JD.com has been actively recruiting employees, offering high salaries to attract talent from Hong Kong’s electrical appliance retail industry as part of its plan to establish physical stores in the city.

Additionally, the report stated that JD Property Development, a subsidiary of JD.com, acquired the entire Li Fung Centre in Sha Tin last year. Meanwhile, related companies have moved into Jardine House in Central, signalling preparations for JD.com’s entry into the Hong Kong market.

Ming Pao also reported that JD.com’s subsidiary, Beijing Jingdong 360 Electronic Commerce Co., Ltd., applied for the trademarks of its instant delivery brands in Hong Kong last December. However, JD.com stated to the local media that there are currently no plans to develop ‘Dada,’ ‘Seconds Delivery,’ or related food delivery services in Hong Kong.

JD.com’s reported entry into Hong Kong comes after Alibaba’s Taobao Hong Kong launched its first furniture and home goods store in Tsim Sha Tsui, signalling a growing push by major mainland e-commerce giants into the city’s market.

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Consumers in both countries will now have access to JD.com’s extensive offerings, with added benefits for this year’s Singles Day (Double 11) shopping festival, including convenient free shipping options.

JD.com’s global sales business focuses on serving overseas Chinese consumers with a wide selection of high-quality branded products, including electronics, small appliances, home goods, apparel, beauty products, books, food, and more.

With this, Malaysian customers can enjoy free shipping on orders over RMB 399, with coverage for up to 6 kg by sea and 2 kg by air. In Thailand, free shipping is available on orders over RMB 199 by land, covering up to 2 kg. These options apply to self-operated (1P) products ordered through JD.com’s app.

This expansion follows JD Global Sales’ recent enhancements to shipping options, which introduced free delivery for consumers in the US, Japan, and Singapore in August. During Singles Day, U.S. customers will benefit from free economy sea shipping for small item orders of over RMB 888, with coverage up to 10 kg. 

Additionally, expedited free air shipping is available for select products such as phones, tablets, and computers in the U.S., Japan, and Singapore, with delivery as fast as four days.

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The newly-inked partnership aims to assist European businesses selling their products on JD.com’s marketplace.

JD.com will enhance its pick-up service to European and UK businesses, including local pick-ups, warehousing, international transportation, access to Chinese bonded warehouses, customs clearance, and comprehensive delivery across China.

Additionally, JD Logistics will leverage Evri’s local distribution network and their self-operated overseas warehouses to provide integrated warehousing and comprehensive delivery solutions to their clients in Europe.

Combining JD.com’s advanced e-commerce capabilities with Evri’s extensive delivery network, this partnership is set to offer a more seamless and efficient gateway for European businesses to access and promote to customers in China.

Moreover, Evri’s partners will also have access to valuable insights on the Chinese market. This includes data on consumer behaviour, marketing and pricing strategies, product selection advice, and online operational strategies that are only specific to this market.

The partnership will initially focus on areas where JD.com has substantial insights in terms of customers’ shopping preferences, such as in the beauty and apparel sectors.

David Saenz, chief growth officer at Evri, said, “This is an exciting partnership between Evri and JD.com and a powerful testament to the growing synergy between the UK and Chinese economies. By combining our expertise and resources, we’re supporting the growth of British businesses in new markets and also fostering sustainable growth for both Evri and JD.com. We’re confident that this collaboration will pave the way for a vibrant future of innovation and collaboration in the e-commerce landscape.”

Meanwhile, Qun Xue, vice president of JD.com and head of JD Logistics International, shared, “By integrating Evri’s extensive delivery network with our cutting-edge e-commerce and logistics solutions, JD.com is enhancing our service capabilities in Europe and simultaneously offering European brands a direct and efficient pathway to the expansive Chinese market. This partnership underscores our dedication to building a robust global logistics network and our commitment to the success of international brands.”

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In their latest report, they state that on-demand consumption among Chinese online shoppers is here to stay, noting that fresh food is, by far, the largest segment of the on-demand delivery, accounting for 70% of daily consumption among the report respondents. Other areas have shown exponential growth in on-demand consumption this year, such as dairy (+120%), personal hygiene (+114%), snacks (91%), and maternity/baby care (90%).

Consumer-wise, millennials are still the most prevalent consumer group, making up 50% of the on-demand economy, with female consumers born after 1980 as the most dominant consumers, representing 67% of the on-demand market. That said, the market is attracting an increasingly diverse group of consumers, by both age and region. 

On other demographic factors, the report details how the number of male consumers has jumped by to 33% in 2021, up from 25% in 2018, while the proportion of middle-aged and elderly users who are more than 40 years old has increased to 28% in two years, up from 22% in 2019. 

Driven by easing lockdowns and an increasing focus on connecting people with a wider array of products, post-pandemic on-demand consumption in China has experienced a shift from households (74%) to workplaces (8%) and educational institutions (3%), which is further extending to recreational venues, including fairgrounds, tourist hotspots, and parks. 

There is also significant demand for 24/7 on-demand services, and those businesses serving late-night, usually at 12 am to 2 am, customers are reaping the benefits from a new wave of customers who want reliable delivery service outside of traditional business hours.

“China is leading the way in omnichannel retailing. A new wave of transformational change of omnichannel retailing is underway, fuelled by the integration between traditional e-commerce, offline retailers, and on-demand retail platforms to meet the customer demands for a more diversified shopping experience. In the era of hyperlocal e-commerce, one-hour delivery has become the new normal and it is quickly emerging as a major channel for supermarkets and grocery chains to win business,” both companies said in a press statement.

Huijian He, vice president at Dada Group stated that the unprecedented growth of China’s on-demand economy in recent years, particularly its accelerated momentum through COVID, is revolutionizing consumer behavior across China. He also added that the rise of on-demand, hyperlocal one-hour delivery of goods, has transformed the retail industry and increased consumers’ expectations for a best-in-class shopping experience.

“With significant consumer demand in first- and second-tier cities, and large and rapidly growing demand in lower-tier cities, retailers, on-demand retail platforms and delivery services are increasingly competing for higher speed, flexibility and convenience across the on-demand economy,” He stated.

Meanwhile, Hui Liu, chief data officer at the JD Big Data Research Institute, commented, “We look forward to leveraging this data to continue to drive innovation across our platform as we deliver the speed, flexibility and convenience that consumers are increasingly demanding and realize the numerous growth opportunities in China’s on-demand economy.”

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