JD.com offers way into China market

China's e-commerce giant JD.com and the British enterprise network China-Britain Business Council have launched an online pop-up store to showcase some of the best-known, and up-and-coming British brands to Chinese consumers.

A portal on JD.com's cross-border e-commerce platform JD Worldwide will advertise British cosmetics brands in August. In September, the store will focus on baby and maternal care products. Men's clothing and women's wear will follow later in the year.

Li Kaisi, deputy general manager of JD Worldwide, said: "Many brands and retailers in the UK do not yet know just how easy it is to sell their products online in China, and how big the potential market is."

He said UK-based brands no longer need to invest time and money on registering a business in China or setting up a warehouse or supply chain there.

"With our end-to-end cross-border e-commerce platform, JD Worldwide, they can start selling to consumers in China quickly and easily."

The move comes after JD.com founder Liu Qiangdong visited the United Kingdom in June, when JD.com invested $397 million in the British luxury online store Farfetch. The companies also signed a strategic partnership that gives the British business access to JD.com's infrastructure in China.

Liu told British paper The Independent: "The Chinese middle and upper classes love British brands, particularly high-fashion and luxury goods. And those that have royal links－we love them."

Cosmetics brands currently featured on the new store include Argentum, Barry M, Bronnley, Cowshed, Fade Out, Little Butterfly, Living Sea Therapy, Re-Gen, Soft& Gentle, Technic, and The Organic Pharmacy.

Joy Isaacs, CEO at Argentum, said: "Quality is so important for Chinese consumers and that's why we see such a huge opportunity on JD.com. The initial response from consumers during early tests has been fantastic."

Jack Porteous, assistant director of retail at the China-Britain Business Council, said partnering with JD.com affords British brands a"massive market opportunity". In March, JD.com had 236.5 million active customer accounts.

Porteous said: "There is huge and growing demand from Chinese consumers for high-quality, guaranteed authentic, British products, particularly in categories like cosmetics and beauty."

JD.com and the business council launched a joint promotion in June 2016 that saw 30 British brands advertised on the site's landing page during a seven-day period. The business council and JD.com also signed a cooperative agreement on intellectual property protection last December.