JD.com, one of China’s largest retailing companies and Farfetch Limited, the leading platform of the global luxury fashion industry recently announced the expansion of their partnership. The strategic move aims to provide the first and leading gateway of luxury brands to China. In this latest agreement, Toplife will combine with Farfetch China. Aside from this, Farfetch will have a Level 1 entry point on the JD.com or Jingdong app. This means that the 300 million customers of JD.com will now have access to over 3000 brands through Farfetch’s network, which is composed of over 1000 boutique partners and luxury brands.
In July 2017, Jingdong and Farfetch started a partnership. Through this partnership, Farfetch used the logistics capabilities of its new partner in China. It was also able to learn about the behavior of Chinese luxury brand consumers. At present, Jingdong is one of Farfetch’s biggest shareholders. Farfetch has reinforced its business in China by acquiring CuriosityChina. It is the top social commerce and integrated marketing company in China. With this new strategic move, Farfetch is now able to provide its entire suite of logistics and technology to brands that aim to reach Chinese luxury consumers. This only means potential and substantial growth in the global luxury industry.
José Neves, Founder, Co-Chairman, and CEO of Farfetch said that they are thrilled to continue their partnership with JD.com and offer to bring an unparalleled solution for luxury brands to be successful in China. The CEO further said that the Level 1 access with Jingdong will be pivotal for the digital luxury industry landscape in the Southeast Asian country. Chief Strategy Officer Jon Liao of JD.com shared that the latest move is a win-win partnership that will usher substantial development in JD.com’s ongoing partnership with Farfetch. He said that they are currently merging the best of both local and global market expertise in the luxury industry. He further said that the latest strategic move is a crucial step for JD.com in advancing its worldwide fashion and luxury network. The CSO shared that luxury is a vital part of what Jingdong is offering and the company is excited to work with Farfetch to build the ultimate platform where Chinese can go to for their luxury shopping needs.