Kuaishou (Kwai) Technology and Jingdong (JD) Retail Group signed a strategic cooperation agreement on 27 May 2020 that enables users to buy JD products on Kuaishou platform directly.
The two companies will cooperate in the supply chain capability building, brand marketing, and data capabilities building of the Kuaishou Store, and jointly create a new ecosystem of short video live streaming.
Sales from Alibaba live streaming platform grew by 150% for 3 consecutive years.
JD Retail provides superior products to Kuaishou Stores and Kuaishou anchors will select and sell the products. Users can buy JD.com products directly on Kuaishou Shop and enjoy the delivery and post-sales services provided by JD.
This partnership is happening soon during China’s 618 Shopping Festival and will kick off during JD’s 17th Anniversary Grand Promotion (“618”) and Kuaishou’s June 16th Shopping Festival. From June 16th to 18th, products from JD’s first-party business will be available for to a portion of Kuaishou’s live streaming KOLs.
At the same time, JD Retail and Kuaishou will collaborate to strengthen brand marketing capabilities. Kuaishou’s anchors will do live streaming and short video marketing, and JD will provide joint marketing capabilities and fulfillment services, to enhance the core competitiveness of both brands.
The two parties will also explore targeted marketing based on JD’s insights on customer shopping behavior and Kuaishou’s understanding of short video and e-commerce live streaming.
“The retail industry is facing the opportunities and challenges of more and more diversified consumer demand and consumption scenarios. JD Retail has China’s leading retail supply chain, and is trusted by hundreds of millions of customers because of its quality product offerings and services. It is committed to driving the transformation of the retail industry through opening up its own capabilities. Kuaishou is a short video social platform loved by hundreds of millions of users. The partnership between JD Retail and Kuaishou will provide Chinese consumers with a high-quality experience in richer shopping scenarios,
said Lei Xu, CEO of JD Retail.
Since the beginning of this year, short video live streaming in e-commerce has been developing rapidly. Check out Taobao Live’s Stunning Growth in 2020.
As a short video live broadcast platform with more than 300 million daily active users, Kuaishou is the earliest explorer in the e-commerce live streaming industry with leading advantages in the number of users and the creation of new scenarios.
As early as June 2019, Kuaishou announced that users can view JD products in the Kuaishou app and be redirected to the JD app to make a purchase.
The latest cooperation is an upgrade and will supplement and advance Kuaishou in terms of product offering, and is also in line with Kuaishou’s goal to expand its boundaries to brands and high-quality goods.
JD will gain in terms of being able to reach new users and push into new scenarios in the emerging e-commerce live streaming market.