JD Big Data Demonstrates the Growth of Social eCommerce Orders


JD Big Data Demonstrates the Growth of Social eCommerce Orders

The current global health crisis has introduced new development opportunities partly due to the presence of social eCommerce. There is a high demand for everyday necessities, which contributes to the consumption cycle of a social platform. JD Big Data demonstrates that impacted by the pandemic, clients have become more dependent on trusted relations among acquaintances. As such, personal relationships have become the foundation of direct promotions for social eCommerce.

During the first quarter of 2020, the demand for social eCommerce grew by 60%. This was in comparison to the figures during that period in 2019. During this period, northern parts of the country were more susceptible to this phenomenon. The social eCommerce demand increased considerably in comparison to the same period in 2019. Social platforms offer users with consumption that is deemed more approachable.

This improves the possible consumption of medium to low priced products. In the wake of the COVID-19 pandemic, SME businesses leveraged the benefits of cost-to-performance. The goal was to increase their customer base, and compared to the imported brands, these brands sought to make the most use of the new client effect. Household cleaning items, kitchen utensils, and fresh food orders experienced a substantial increase to the same period throughout previous years.

When it comes to client group portraits, there was somewhat high participation from business workers, urban and remote residents, as well as other groups—owing to these teams on cost-to-performance ratio as the robust interpersonal relations in the social setting. Social eCommerce is reliant on emotional trust, which can be efficient in developing a brand.

JD Big Data indicate that in 2019, the general local brand consumption for services went up three-fold in comparison to the same time in 2018. This showed that consumers were satisfied with their many service needs. At the forefront is the automotive aftermarket, with vehicle décor, car repair, washing, and maintenance still coming on top of the list. Consumers also demanded ETC, which is the top automated Chinese toll payment provider.

Digital consumption has been filled with a demand for installation and renovation services. Interior decoration has gone up by nearly 50 times as clients are keener on the quality of their homes. The general agency service sales during COVID-19 went up five times in comparison to a similar period back in 2019. Digital services continue to succeed as they are now the driver of the Chinese economy.

Entry into low-tier cities is the most crucial aspect when it comes to the growth point for local products. JD Big Data shows that eCommerce platforms proceeded to assist Chinese businesses get to the lower-tier regions. Brands in China made up the higher consumption segment throughout cities in the lower-tier. The transaction volume for businesses in China in these markets significantly increased. Local brand consumption throughout first-tier regions was strong.

This indicated that more clients with high consumption considerably increased their usage of local items. Compared to imported brands, Chinese brands had an increase of 20% YOY in 2019. The transaction volume and number of brand orders were higher for businesses in China.

During the first three months in 2020, the figures went up to over 30%. The Chinese brand sections that beat the imported brand included sports, personal care, child, and maternal. It shows that the reliance of consumers on Chinese brands was unshaken in the crucial categories.

Final Thoughts

JD.com is keen on delivering authentic and quality products, which has paid off in its broad customer base. This was evident in the 618 Grand Promotion held by the company in 2020. Whereas global brands play a significant role, local brands have shown their reliability and worth during the pandemic. Domestic brands proceed to acquire the trust of the standard consumption base of JD.com throughout China.


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