Chinese e-commerce retailer JD.com has revealed a plan to expand its physical stores’ network through partnerships.
JD Retail chief executive Xu Lei said that the company is planning to operate a network of five million stores in the next three years.
It plans to develop physical stores on its own and via partnerships with other companies.
Xu Lei said: “What’s more important is to make good use of our partner stores.
“So far, we have linked up with over two-and-a-half million stores, including our own stores.
“In three years, our projection is to have a network, linking up to five million stores.”
The company feels that its online concept can cater to only a certain set of customers.
Xu Lei added: “We want to apply our years of experience, including logistics, merchandising, and technology to a much wider context.
“Therefore, last year, we determined to position JD as an all-channel retail platform.”
In November last year, JD opened its biggest physical store named the JD E-Space on Singles Day in Chongqing as part of the strategy to build its retail presence.
This year, the company opened six home appliance flagship stores, including one in Nanjing, Jiangsu province, one in Jiaozuo, Henan province, and one in Kunming, Yunnan province.
In September, JD.com’s subsidiary JD Health filed for an initial public offering (IPO) to the Hong Kong Stock Exchange with plans to raise $1.8bn to $2.8bn within the year.