If you’re looking to start selling on the Chinese cross-border e-commerce platform JD worldwide, then look no further. This guide will provide you with all the information you need to get started. We’ll cover everything from registering for an account to listing your products and shipping them to customers. So whether you’re a brand looking to expand into the Chinese market, or a merchant looking for a new online sales channel, read on for tips on how to conquer JD worldwide!
What Is JD.com and JD Worldwide?
JD.com is actually the second-largest B2C E-Commerce marketplace in China. Tmall Global is very popular when it comes to Chinese cross-border E-Commerce businesses and maybe that’s because not a lot of people are aware of JD.com’s cross-border counterpart, which is JD Worldwide.
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JD.com operates 900+ warehouses all over China and the pandemic, nor a decrease in government support, did not stop its growth. It’s known for its robust logistics network and high-tech tools, including autonomous vehicles. It has grown rapidly and is currently still considered a giant in the E-Commerce industry in China.
JD.com’s revenue has steadily climbed through the years and does not show any signs of stopping.
This brings us to JD Worldwide, JD.com’s prized cross-border extension that is also gaining ground in the E-Commerce industry. Its main purpose is to allow the selling of online products from other countries worldwide. This is JD.com’s way to keep up with the other giants in the industry, such as Haitun Global.
JD Worldwide aims to make online shopping easier for the Chinese population. With 1000+ warehouses and more than 300 million active customers yearly, JD Worldwide is definitely going in the right direction and something that foreign investors should take a look at.
The platform is open to all retailers, franchise brands, and legally registered sellers outside China who want to sell overseas.
The Different Sales Models of JD.com & JD Worldwide
Before you start selling, you need to familiarize yourself with its sales models. Here’s a rundown of all of them.
As mentioned, JD.com is considered one of the largest B2B2C platforms in China. This direct sales model allows JD.com to source products directly from suppliers and brands, then through the company’s mobile channels and websites, sell them directly to consumers.
JD.com actually dominates the appliances and consumer electronics category and through this direct sales model, the platform ensures that their consumers get the best possible buying experience. This model, however, is only available for reputable brands that operate within the borders of the country.
The JD Marketplace differs in that it enables third-party sellers, albeit established ones, to put up shop on the platform and sell directly to customers. If you’re an approved seller then you can also utilize JD.com’s fulfillment infrastructure to bolster your operations.
You can even take advantage of their customer targeting and marketing services as well as financing and their coveted value-added services.
JD Worldwide, as we’ve already discussed, is like an online shopping mega-mall where foreign (non-Chinese) brands can establish a storefront. If you’re on the outside looking in, then this is a promising chance for you to get on the Chinese E-Commerce train.
The Many Benefits of Selling on JD Worldwide (and How To Start Selling)
JD Worldwide most definitely offers a ton of benefits for merchants to sell on the platform. As a foreign marketer, you will have the ability to tap into the Chinese market even without any physical presence in the country. Here’s what’s in store for you.
Convenience and Flexibility in Running Your Business
- JD Worldwide offers global shipping as well as warehousing solutions that will make sure to deliver all the products coming from any region in the world to the Chinese consumer. They are partners with DHL, YAMATO, and Australia Post which are international logistic companies and, of course, have their very own national logistics network.
- Foreign sellers are also given easy payment processing avenues for those who have a USD bank account. JD Worldwide will act as your passageway to the Chinese market as they don’t usually shop directly from independent brands and will trust those that are registered on the platform more.
- This is most definitely a great alternative to Tmall global, especially in the household appliances sector. JD Worldwide will also help you navigate through some stringent Chinese government restrictions and allow you to export your goods easily.
- And, lastly, you will get a boost in terms of sales support, such as refunds, accounting, and exchanges which can typically lead to headaches, especially when operating from abroad and across the globe.
Strengthen Your Marketing Strategy With JD Worldwide’s Tools and Features
Through JD Worldwide’s robust tools and features, you can spread the word about your products and entice buyers to purchase from you.
You can have banner ads on any page of a website. They also have a Pay-Per-Click method that you may utilize through sponsored links which are essentially advertisements masked as text situated near search results.
You can also use SEO in order to find what products are currently on-trend. There are even promotions that are posted on the main page of the platform. A coupon system is also available with a recommendation page that you can take advantage of.
Relatively Easy Requirements for Entry
JD Worldwide is also known to be quite accommodating to foreign sellers and it shows with the requirements that they imposed for merchants to sell on their platform. Just remember the following:
- You will need a track record and established products to sell before you can start using the platform.
- You need to establish yourself as a non-Chinese business.
- You need to either license a brand or be a brand owner. You need to provide licensing agreements or trademark registration documenting your brand.
- You need to secure a USD bank account.
- You need to get the IDs of all major shareholders and directors of the business as well as business registration documents.
- You need to have a product details page in Mandarin and have Chinese customer support representatives.
- You need to have return centers within the country and products need to be dispatched within 72 hours.
Please also take note that if you’re a brand that has not yet registered in the Chinese market then you will have a better chance at landing a spot on the platform.
The Entry Process of JD Worldwide
The entry process for JD Worldwide is a little bit different than that of your standard JD Marketplace. For the former, you will be required to contact the Business Development Manager for the product category that you wish to sell for.
The entry process flow:
- Submission of the necessary documents to the Business Development Manager.
- Following the directions written on the registration link received.
- Approval of your application.
- Payment of security and the platform service fee.
- Opening of your store.
You can check out the materials to prepare here.
The Cost of selling on JD Worldwide
As of writing, the current refundable deposit that needs to be paid once you get your shop approved is $1,500. There’s also then a yearly fee of $1,000 per shop, then there’s going to be a 2% to 8% based on order value commission for each sale.
Please take note that if one is not familiar with the standard entry processing requirements and fees from an E-Commerce platform like TMall Global, you might think that these are too stringent or too costly.
But, in reality, JD Worldwide has one of the most relaxed entry processes and is way cheaper than that of TMall Global or any other platform on the Chinese market today.
Choose From Multiple Types of JD Worldwide Stores
You will have the benefit of choosing from multiple types of JD Worldwide stores based on what you need. You will have the option to put up a:
- Brand Flagship Store
- Outlet Type Flagship Store,
- Franchised Store, or an
- Exclusive Store.
- Each has its own set of requirements but will cater to the needs of your shop, products, and services.
JD.com and JD Worldwide offer an easier and alternative way for merchants to do business in China, especially if they want to get into the household appliances as well as consumer electronics category.
It used to be just TMall Global but, right now, JD Worldwide offers a relatively better way even though merchants need some capital to get their stores going.
You no longer have to bear the brunt of the workload for a standard independent store and you can take full advantage of the conveniences that JD Worldwide brings.
Important Questions To Ask To Be Successful on the JD Worldwide
Let’s answer some of the most common questions asked by merchants interested in penetrating the JD Worldwide platform.
What Are the Most In-Demand Products on the Platform?
In order to do well on JD Worldwide, one needs to familiarize themselves with what’s selling well on the platform. Here’s a rundown:
- Electronics and Home Appliances
- Automotive Parts
- Food, Beverages, and Alcohol
- Fashion and Apparel
- Digital Products
- Cosmetics and Personal Care
As of writing, there are about 10,000 stores selling in the electronics and home appliances category and it undoubtedly is the strongest niche in the marketplace. It may be competitive but if you market your store the right way, you will have a chance to take a huge piece of the pie in this industry.
The automotive parts category is also quite strong and even attracts large brands to outsource to the JD worldwide platform. It’s then followed by the food, beverages, and alcohol category which you can be sure is high in demand.
Cosmetics and personal care products round out some of the most popular categories in this online marketplace with big brands like L’Oreal launching a ton of products on the platform.
How Are My Payments Processed?
JD Worldwide will make regular deposits to your registered business bank account and take note that, as of now, they only make USD transfers. So, you’re going to have to secure a USD bank account.
How To Promote Your Store on JD Worldwide
The first thing that you have to do is to make sure that your store appeals to the Chinese market. Your storefront has got to be loud and expressive but simplistic when it comes to your messaging.
Put up a lot of pictures, have descriptions whenever necessary, video presentations are a must, put up promotions that are catchy and witty, and also use longtail keyword titles. Make sure to put up a Chinese website and utilize social media and SEO expertly to drive traffic to your shop.
Also, WeChat is a great platform to use so you’ll get organic traffic.
It’s clear that JD Worldwide offers foreign merchants a more convenient if not better way to sell to the Chinese market. If you’re looking for a way in, then this may be your best chance to do so. JD Worldwide’s policies are one of the most accommodating for foreign marketers.
Furthermore, Chinese consumers are always on the lookout for up-and-coming as well as trusted brands to purchase from. Take advantage of this robust platform and boost your sales to facilitate growth.
If you need assistance, please contact us today to get your business on the right track or to get it started. We believe that JD Worldwide is a goldmine and it is indeed ripe for the taking.