JD.com is known as not only the largest e-commerce retailer in China, but has also been praised for its ability to help other companies and individuals through its own growth. As one example, Jingdong is seeking to remodel the infrastructure that its own freight and delivery systems use, which would, in turn, create a better traffic system in the urban areas. The most recent example of JD.com rising up, and bringing others along with it, is the involvement of the company with its own bookstore would-be competitors. It’s no secret that offline bookstores are challenged with declining sales in the face of competition through online retailers.
This is happening all over the globe, including China; however, many Chinese brick-and-mortar bookstores have been brought back to life thanks to Jingdong. JD.com specializes in technology and logistics, and is using its research, combined with its successful e-commerce book sales, to provide solutions that drive up business for both JD.com’s e-commerce platform for book sales as well as the sales of traditional brick-and-mortar stores. The company is creating a new chain of technology and supply to partner with bookstores in China and develop new methods of book procurement and logistics. One example of a successful partnership is Jingdong and Tangning Books of Guangzhou. Prior to the partnership, the traditional bookstore managed over 60 book suppliers; now, the books are sourced from Jingdong’s inventory.
Labor costs are down, jobs are saved, and delivery delays are much less significant. Tangning Books is also thrilled to have access to JD.com’s analysis tools, as well as 24-hour delivery for their customers on any book that is not in stock. This partnership is one of many through JD.com and traditional bookstores, and each is an example of a “win-win” solution. The bookstores not only stay in business, but become more streamlined and profitable; in turn, JD.com is able to share in the profits of traditional commerce. Offline bookstores are not the only example of Jingdong’s advanced techniques in inventory management and supply chain systems, as the company frequently uses their technology and big data to bring up not only its own profits, but the entire economy.