What’s the difference between Taobao and JD?
JD is the #2 marketplace in China. Compared to Taobao, JD’s logistics are far superior, enabling same day delivery in major cities across China. While same day delivery usually means several hours, in some cases items have arrived in just minutes.
Consumers generally have the impression that JD is a better place to buy higher quality products like electronics because the platform is better at weeding out fakes than Taobao. Because JD does much of the fulfillment, the platform has a direct stake in the authenticity and quality of items.
One of the biggest advantages of JD is their relationship with WeChat. JD has direct access to WeChat while Tmall & Taobao links are blocked on the #1 messenger app. This means shoppers can enjoy a much smoother transition into JD when they encounter product links shared by their friends.
Should brands be choosing between JD and Taobao (Tmall)?
If resources aren’t a problem, having both is a good idea. But many brands may want to get one up and running properly before jumping into the second. If it comes down to picking one….
In most cases, it’s a no brainer: Tmall will bring in more revenue than JD. Tmall holds over 50% share of all online sales in China.
In some cases, JD may offer more traffic than Tmall, but this is open to negotiation. Both Tmall & JD will give special event access to brands that have a store exclusively on their platform. On the flip side, there are also cases where they take away existing event privileges when they find out a brand is no longer in a monogamous relationship with their platform.
While some brands may have a difficult choice to make, for the obvious choice is to secure the bigger piece of the pie first.
#ChinaBusiness #Tmall #Taobao #Alibaba #JD #Ecommerce