Jingdong, famously known as JD.com is ranked among the world’s leading e-commerce stores. The China-based store is well known for it’s zero tolerance to fake products, user-friendly shopping platform, as well as its quick logistic services. It serves millions of customers in China, Thailand, France, Europe, the UK, Indonesia, and the US.
But, how did the online store develop to its present day position? According to a video interview posted on the World Economic Forum, Richard Liu Qiangdong revealed that Jingdong started as a computer accessory shop in 1998.
Mr. Liu Qiangdong had just completed his sociology studies when he opened the computer shop. He pursued his studies at the People’s University of China.
Primarily, Liu established the shop to raise capital that would cater to his grandmother’s medical bills. In just five years, Richard Liu Qiangdong opened 12 new computer accessory shops in different locations.
In 2004, Richard Liu Qiangdong decided to close down his brick and mortar computer shops since China was going through a SARS outbreak, and people were advised to remain indoors.
He used the opportunity to launch JD.com, an e-commerce store that gave people the freedom to shop while indoors.
According to the World Economic Forum’s video interview, Richard Liu Qiangdong used three primary strategies to grow his e-commerce store.
First, JD.com supplied original products to its customers. This strategy helped JD.com to outwit its competitors who provided fake products.
Secondly, Richard Liu Qiangdong made sure that his customers received their orders in the same or next day after placing their orders. To date, JD.com has held the reputation of quick logistic services. In fact, 90% of customers receive their merchandise on the same day they make an order.
Thirdly, Richard Liu Qiangdong’s online store supplied almost all consumer products. It sold fresh farm produce, furniture, home appliances, books, clothes, processed foodstuffs, beauty products, and other consumer products.