1. News
January 15, 2021

China’s JD Daojia enters partnerships with over 20 regional supermarkets

Chinese on-demand delivery and retail platform Dada Group’s JD Daojia (JDDJ) has reached new partnership agreements with over 20 regional supermarkets.

Chinese on-demand delivery and retail platform Dada Group’s JD Daojia (JDDJ) has reached new partnership agreements with over 20 regional supermarkets.

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While wanting to protect the country from being overwhelmed by Omicron, China’s adherence to a Zero-COVID policy is resulting in a significant economic downturn. COVID outbreaks in Shanghai, Beijing and many other Chinese cities will impact 2022’s economic growth as consumers and businesses experience rolling lockdowns, leading to a slowdown in domestic and international supply chains. China’s Zero-COVID policy is having a demonstrable impact on consumer-facing industries. Access GlobalData’s new whitepaper, China in 2022: the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry, to examine the current situation in Shanghai and other cities in China, to better understand the worst-affected industry sectors, foodservice in particular, and to explore potential growth opportunities as China recovers. The white paper covers:
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The agreements represent expansion of operations in lower-tier markets and is in line with JDDJ’s development strategy.

Some of the regional supermarkets are Ouya Supermarket, Zhenhua Supermarket, Sanhe Supermarket, Zhebei Supermarket, Guihe Supermarket and Sifang Street.

Dada Group vice-president Huijian He said: “The lower-tier market has become a major growth driver and an important part of our development strategy for JDDJ.

“The platform will continue to accelerate business expansion into lower-tier cities and establish partnerships with more of China’s top supermarkets and regional leaders to jointly develop the local on-demand retail market, bringing one-hour delivery to more consumers in lower-tier cities.”

With these new additions, JDDJ has partnerships with over two-thirds of the Top 100 supermarket chains in the country.

The company leverages its retail, logistics and digital empowerment capabilities to help supermarkets and other retailers achieve online-offline integration and enhance sales.

Zhenhua Supermarket general manager Yuehua Shi said: “Through JDDJ’s digital empowerment capabilities, Zhenhua Supermarket will further enhance its marketing campaign and product management, acquiring online users and achieving rapid growth through O2O channels.”

Besides the new partnerships, the retailer also strengthened its bond with existing partners including Walmart, Yonghui Supermarket and CR Vanguard.

As at end of September 2020, JDDJ served approximately 1,200 cities and counties in China.

Free Whitepaper
img

What is the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry?

While wanting to protect the country from being overwhelmed by Omicron, China’s adherence to a Zero-COVID policy is resulting in a significant economic downturn. COVID outbreaks in Shanghai, Beijing and many other Chinese cities will impact 2022’s economic growth as consumers and businesses experience rolling lockdowns, leading to a slowdown in domestic and international supply chains. China’s Zero-COVID policy is having a demonstrable impact on consumer-facing industries. Access GlobalData’s new whitepaper, China in 2022: the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry, to examine the current situation in Shanghai and other cities in China, to better understand the worst-affected industry sectors, foodservice in particular, and to explore potential growth opportunities as China recovers. The white paper covers:
  • Which multinational companies have been affected?
  • What is the effect of lockdowns on foodservice?
  • What is the effect of lockdowns on Chinese ports?
  • Spotlight on Shanghai: what is the situation there?
  • How have Chinese consumers reacted?
  • How might the Chinese government react?
  • What are the potential growth opportunities?
by GlobalData
Enter your details here to receive your free Whitepaper.