JD.com inks deal with Russian Post, considers selling Russian goods to Chinese consumers

A few weeks after the launch of a Russian version of its platform, JD.com has unveiled important aspects of its Russia strategy. In terms of delivery, the Chinese e-commerce giant announced in late July a partnership with Russian Post, industry blog Oborot.ru reported.

The postal operator will ship the packages sent by JD from within Russia, while those sent from abroad will be handled first by the Chinese and Singapore postal operators.

Thanks to this partnership, JD.com will experiment cash-on-delivery in Russia. Usually this model is reserved for domestic online retailers, as many Russian consumers refuse to pre-pay their purchase online as far as physical goods are concerned. However, in cross-border e-commerce, the cash-on-delivery model has been the exception rather than the rule so far. The first experiments have been conducted over the past two years by such shipment companies SPSR Express, says an industry report by East-West Digital News.

This past May, JD also signed a cooperation agreement with SPSR-Express, a major e-commerce shipment operator which also serves AliExpress.

Another major distribution channel is being created in partnership with Ulmart, Russia’s leading domestic e-commerce company. JD’s products will be promote and sold via the Ulmart website, using its fulfillment centers and pick-up points accross the European part of the country.

Victor Xu, President of JD.com’s international business group, said that JD will focus first on selling Chinese goods to Russians, then on selling Russian goods on the Chinese market, Oborot.ru reported.

The Chinese e-commerce giant says it positions itself as a retailer rather than a marketplace, dealing with duly licensed companies who sell verified items, and offering quality service.

Topics: Cross-Border Sales, E-Commerce, International, News
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