JD.com’s cross-border e-commerce logistics system construction and business model analysis

In terms of expanding the cross-border e-commerce logistics system, JD.com has built a closed business ecosystem based on its complete domestic e-commerce logistics system and a model that combines resource integration and self-built logistics. The biggest feature of JD Logistics is its asset-heavy model, which is to build its own logistics system. Although this model faced losses in 2014, its excellent logistics reputation has promoted the company’s rapid development to a certain extent.

At present, JD.com has 118 warehouses nationwide, nearly 30,000 delivery personnel, 1,045 self-pickup points and self-pickup cabinets, and 2,045 delivery stations. This huge logistics network effectively penetrates the third- and fourth-tier markets and supports JD.com’s e-commerce logistics system.

In terms of building a cross-border e-commerce logistics system, JD.com first adopted the “cross-border direct procurement” strategy, entering the market from the import direction and making full use of its own self-built logistics system. In order to further expand its international business, JD.com has also tried to establish overseas warehouses in South Korea and reached strategic cooperation with international logistics companies such as Australia Post, Russian Post, and DHL. The implementation of this series of measures marks that JD.com’s cross-border e-commerce logistics construction is no longer limited to the practice of large-scale self-built logistics in China, but has turned to an innovative model that pays equal attention to self-built overseas warehouses and resource integration.

Compared with AliExpress, a subsidiary of Alibaba, there is a certain gap in the development speed of cross-border e-commerce logistics on JD.com. This also poses new challenges and opportunities for JD.com’s future expansion in the global market.