JD.com further deepens its five strategies to become the first channel in the home appliance industry

“To buy home appliances, go to JD.”

Although this is already a consensus among most domestic consumers, facing the increasingly competitive home appliance consumer market, JD.com still launched this slogan at the beginning of 2016, aiming to surpass "the United States and the Soviet Union" in all aspects and make JD.com the preferred channel for consumers to purchase home appliances.

On March 1, 2016, at the "Boiling China" strategy conference, JD Home Appliances made its debut as an independent division, aiming to be the first channel in the home appliance industry. Yan Xiaobing, president of JD Home Appliances Division, announced five new strategies, including marketing strategy, service strategy, channel strategy, supplier strategy and "only being the first". The strategy aims to create a more advanced home appliance channel in the Internet + era, meet the needs of consumers at all levels of the market for high-quality home appliances, and bring customers a better shopping experience.

Marketing strategy - covering urban and rural areas and boiling China

"Boiling China" is the theme of JD.com's new marketing strategy for home appliances. Its core content is the newly released brand proposition "Buy home appliances on JD.com" to establish a new brand image for JD.com's home appliances. This year, JD.com will hold dozens of large-scale home appliance roadshows in first- and second-tier key cities, covering millions of people; in the terminal market, JD.com's home appliances will hold thousands of caravan exhibitions in thousands of counties, presenting the brand concept in a form that local consumers like.

Service Strategy - First Home Appliance Purchase Index

In response to the pain points of consumers in purchasing home appliances, JD Home Appliances, together with two authoritative institutions, China Household Electrical Appliances Research Institute and the Third Research Institute of China Electronics Technology Group Corporation, launched the "Home Appliance Purchase Index". The index assigns different scoring weights to indicators such as appearance and controllability, safety, practicality, energy efficiency, hygiene and health, accessory functions and intelligence level according to different product characteristics, and ultimately provides consumers with an intuitive, concise and unified authoritative score, which will become a reference standard for consumers in the purchase process.

Channel strategy - fully activate the terminal channels

In 2016, JD Home Appliances will open "JD Home Appliances Stores" in villages and towns across the country through franchising as a supplement to JD Bang service stores, with the goal of further sinking home appliance channels. Partners of "JD Home Appliances Stores" will receive full support from JD Home Appliances in warehousing, distribution, installation and systems. This move will strengthen the home appliance sales capabilities in the rural market and make the JD home appliance market system more complete.

Supplier strategy - promise not to increase tax for another three years

JD Home Appliances once again promised that "strategic cooperation brands will not increase contract prices for three years", which once again proved JD Home Appliances' cooperation philosophy of "no matter how big the scale is, we will never dominate". In addition to supporting in logistics, capital, technology and other aspects, JD also opened its cloud platform to manufacturers to share big data, provide intelligent product solutions, and realize C2B customization in the true sense.

Just be the first - surpass the United States and the Soviet Union in all aspects

At the meeting, JD.com said that it was not satisfied with being the number one in the online home appliance channel, and vowed to achieve a comprehensive online and offline transcendence and become the number one channel for home appliance retail in 2016. The key word for JD.com's home appliance in 2016 is "only to be the number one", which means to surpass the traditional home appliance channels including Suning and Gome as a whole and become the number one channel in the online and offline home appliance retail market; internally, it means to improve and surpass itself in all aspects, comprehensively enhance its own strength, and establish a good industry ecological environment of win-win between customers, manufacturers and society.

JD.com is focusing on both online and offline business. This time, it needs to do both well.

The proposal of an all-round strategy can't help but make competitors break out in a cold sweat. JD.com, which is no longer satisfied with being the number one online home appliance company, is eyeing all home appliance retail channels on all platforms, and has pointed the finger at Suning and Gome without any hesitation. A tough battle is inevitable.

According to the data of the "2015 China Home Appliance Online Shopping Analysis Report", in the rapidly developing home appliance online shopping market, JD.com continued to lead the industry with the overall advantages of the platform, with a market share of 60.2% throughout the year, consolidating its leading position in the fierce competition. In 2015, the competition among e-commerce companies became more intense, and price wars broke out one after another. Under this circumstance, JD.com has fully entered a stage of refined and multi-dimensional development. The strategic adjustment and the upgrade of service experience are the source of its confidence in focusing on offline business.

Yan Xiaobing said that JD Home Appliances has set "becoming the number one in online and offline home appliance retail channels in 2016" as its annual strategic goal. This is a practical goal formulated after fully considering the external environment and its own development status. It is also the inevitable result of the comprehensive implementation of JD Home Appliances' new marketing strategy, service strategy, channel strategy and supplier strategy.

Rural areas are the most difficult part for home appliance stores, which has caused a channel dilemma for home appliance stores and e-commerce. In 2015, JD.com's channel strategy for home appliances was mainly reflected in the expansion of "JD.com Helper Service Stores". In 2016, in addition to continuing to promote the development of JD.com Helper, the "JD.com Home Appliances Stores" based on the rural market will become a major project that will profoundly affect the channel structure of China's home appliance market.

At the end of 2014, JD Home Appliances began to open JD Bang service stores in county-level cities. So far, more than 1,300 stores have been opened, covering 350,000 administrative villages, and assuming the functions of logistics distribution, installation, after-sales maintenance and marketing promotion in county and township markets. In 2016, JD Home Appliances will continue to expand the coverage of JD Bang service stores and upgrade their functions, with the goal of achieving full coverage of counties across the country.

It is understood that JD's home appliance stores will be fully rolled out in villages and towns across the country in 2016, becoming the most widely covered and most competitive rural e-commerce marketing service platform. Its emergence will completely reverse the current situation of inflated prices, poor supply, and poor competitiveness of small businesses in the rural home appliance market, completely activate the "capillaries" of the home appliance channel, and improve the quality of life of rural consumers at the county, township and village levels. It will become an important measure to benefit farmers and businesses, and write a new chapter in rural areas for supply-side reform.

As a "troublemaker" that was once unwelcome in the industry, JD.com has been hesitant, anxious, and hit a wall everywhere. After experiencing many doubts, JD.com finally became a successful practitioner of Internet +. In 2016, JD.com still does not compromise with tradition, and will continue to innovate, break through, and even subvert, bringing new value to the Chinese home appliance market in the first year of the 13th Five-Year Plan, creating a classic example in the industry.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.