JD.com is one of the largest online retail companies in China today. The company which was established in 2004 has the best logistical network in the country and has been helping physical retail stores do better business and get higher profits. Offline bookstores in the contemporary world face a number of challenges including reduced customers and competition. Fortunately, in China offline bookstores are getting revived by JD.com through its Sales as a Service program. Jingdong has a very good understanding of retail and their wide range of technologies. The company has been working with 49 offline bookshops including Tangning Books, AIO SPACE as well as Yitiao.
JD.com already has an online bookshop but they are helping these other businesses with purchasing of books, useful technologies as well as logistics. This is something that Jingdong has been doing for other businesses including hotels and restaurants along with consumer goods makers and suppliers. The idea is to help offline stones develop better supply network and boost profits. Tangning Books is situated in Guangzhou and has been benefiting from JD.com’s expertise and larger inventory. As often happens the bookshop was faced with challenges of delayed deliveries as well as low sales numbers but now with JD.com in their corner, these have been solved.
Tangning fills into inventory directly from Jingdong warehouses. This solves the problem of delayed delivery. Since customers can easily get the items they are looking they have been able to increase their sales numbers and reduce turnover as compared to previous years. Since offline stores have smaller storage area they may not have everything customers need, Tangning can get the books delivered to customers within 24 hours by getting copies from the Jingdong inventory and their logistics network. Speaking on the partnership the founder of Tangning Books points out that the business would not have survived the competition.
JD.com was established in 1998 as an offline store and became sorely online store in 2004. The company was founded by Richard Liu Qiangdong who is its current CEO. It is listed on NASDAQ as JD and employs over 100,000 people.