The economic and geographical differences between China and the United States determine that Amazon logistics is more attractive to C-end than Jingdong logistics

Jingdong 2020Q4 has adjusted the organizational structure of the Jingxi business group and officially entered the community e-commerce. At the same time, Jingdong Logistics' public mail Express will be renamed Jingxi Express and incorporated into the Jingxi business group to support the back-end supply chain and build a closed-loop ecology of community group buying. Sinking the market may be a new opportunity for JD logistics growth.

Second, facing the future: change the track, to the consumer industry integrated logistics providers

(1) Industry trend: The path from the consumption supply chain to the manufacturing supply chain is clear

In the next stage, Jingdong Logistics is trying not only to provide express delivery performance services, but also to open up marketing, warehousing, distribution, after-sales and other links to provide integrated supply chain services for merchants. In fact, integrated logistics is the final development of express giants, but to expand integrated logistics (heavy cargo, cold chain, freight forwarding, supply chain, contract logistics) is a global dilemma. In recent years, UPS, FedEx, DHL integrated logistics business revenue CAGR is less than 10%. DHL's integrated logistics profits barely grew, and only UPS grew slightly after 2012.

Compared with 2C logistics, 2B logistics has the characteristics of decentralized competition pattern and low industry concentration. Taking contract logistics as an example, due to the high degree of customization in different industries, it is difficult to standardize. As a result, contract logistics providers who focus on B-end customers are difficult to form scale effects, and there is great resistance in competing for rival customers or developing new customers. The business cultivation period is usually 1-2 years. It is difficult to have a winner-take-all situation in the industry. From a global perspective, the contract logistics market is highly competitive. In 2019, CR10 was less than 20%, and DHL, which ranked first, had a market share of 3.2% and revenue of 191.1 billion yuan. The domestic market is also highly fragmented, with the revenue of SAIC Anji, the largest market share in 2018, reaching 25.1 billion yuan, with a market share of 1.5%.

The retail industry has high requirements on the response speed of the supply chain, the chain is relatively short, and the overall efficiency of socialized third-party logistics is usually better than that of self-built logistics. From the customer structure of DHL, CEVA and other supply chain companies, customers are mainly concentrated in retail, consumer, automotive, electronics and biomedical industries, retail and automotive are the two most important downstream industries of supply chain logistics.

The value chain of China's current retail industry is undergoing a switching process from channel operator to manufacturer. Initially, the development space of the e-commerce platform was constrained by the cost efficiency of express logistics, and the excess income was earned by the express logistics industry; Later, with the continuous optimization and iteration of the cost efficiency of network express delivery enterprises, the supply chain efficiency of the e-commerce platform has been greatly improved, the online penetration rate has continued to increase, and the excess income is earned by the e-commerce platform. Further, e-commerce channels have been gradually integrated through development, and new exogenous influencing factors have brought changes to the channels, reshaping the channel pattern (such as information technology) and building a new channel pattern. At present, the monopoly of channel links will gradually break the delicate balance between the cost of channel self-establishment and outsourcing. At this time, channels become the way to obtain first-hand customer data, and customer-centered brands become the core to obtain competitive advantages at this stage.

Although the short chain of the supply chain has begun to become a new attempt of major e-commerce and retail platforms, we believe that the short chain of the channel is still in the exploratory stage, because the influence of terminal retailers on the upstream is temporarily limited, the end can not provide greater ability to support the upstream, and the discourse game between upstream brands and e-commerce has been in a state of concern. We believe that the short-chain operation of the brand is more effective: we see that from the distribution channels represented by Glmidea, to the direct sales channels represented by MUJI, UNIQLO and Xiaomi, and then to the direct online factory stores, the brand continues to extend to the downstream of the industrial chain through its own influence and control.

We believe that the necessity of brand short-chain operation lies in: (1) the brand competition on the supply side is becoming more and more fierce; As a part of the supply side, the brand needs to continuously improve efficiency to gain competitive advantage. (2) The balance of power in circulation channels is gradually shifting from the platform to the client side; (3) To reduce the number of goods handling, compress the industrial chain links, and give profits to users, so as to obtain long-term loyalty has become a necessary task for brand owners to stand out.