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When many express delivery companies were killed in the e-commerce market in the Red Sea market, SF took over the high-end market of personal mailing business. However, this status quo has also been changed. First, on October 17, Yuantong launched the high-end independent brand “commitmentâ€, and then Jingdong Logistics opened its personal express business.
The action of Jingdong Logistics is more like a natural extension based on the original logistics, and it is a homeopathic trend facing the broad personal business market. However, in the field of personal shipments, SF has a long operating time and a large market share. Can Jingdong obtain a place in the future? Where are the key points of competition in SF Express, JD, and even Yuantong in the high-end express mail market?
Jingdong Logistics sets foot on individual shipments and SF
Jingdong Logistics originally only served in Jingdong Mall, which is a powerful force to help the rise of Jingdong E-commerce business. In order to take care of the self-operated e-commerce business and enhance the consumer experience, Jingdong Logistics’s charges for e-commerce users have been in a low or post-free state. In addition to the costs invested in the development and expansion process, its long-term losses.
If the order source of the logistics enterprise is mainly based on e-commerce, in fact, part of the work is to marry. Because the e-commerce platform is to control costs, the compression of logistics profit will be more serious. Therefore, only individuals, business items and other orders that have high demand for high-end services can have higher profit margins. Yuantong is committed to the high-end market, and it is not excluded that there are considerations in this regard.
Similarly, as the independence of Jingdong Logistics has gradually strengthened, while continuing to provide convenience for Jingdong Mall, Jingdong Logistics must also look for more profit points. At this time, the launch of the personal mailing business is a choice of the trend, which also means the further socialization of Jingdong logistics infrastructure. Not only can it help reduce its marginal cost, but it can also increase revenue through high-end shipments.
At present, Jingdong personal express delivery business is significantly higher than the "three links and one" from the price point, but it is close to SF but slightly reduced, and Jingdong logistics is also faster. Therefore, it is obvious that Jingdong is in the target of SF, and there may be more waves in the personal mailing field.
Stimulate the release potential of C-terminal streams
For Jingdong Logistics, C-side logistics is a relatively new field. Different from self-operated e-commerce parts, it can be flexibly dispatched by virtue of warehouse advantages, and individual pieces can only compete in transportation. In the current market environment, what is the development prospect of Jingdong Logistics?
First of all, Jingdong Logistics challenges SF, and the high-end express parts field is still available.
In terms of the market, the competition in the current high-end personal mailing industry is not intense. This market is basically occupied by SF, followed by the “commitment reached†that was only released on the 17th. From the perspective of market competition, it is good for both consumers and the industry to have Jingdong and Yuantong come in to challenge SF. Consumers have more choices, and the industry will accelerate its growth because of competition.
Moreover, Jingdong just entered the game to put a pair of prices to attract users, the price is basically lower than SF, Jingdong Plus members can enjoy the discount. Although high-end express players will certainly not fall into the price war, but the move will still have an impact on SF.
Secondly, Jingdong E-commerce parts distribution has a good reputation, which may support its foothold in the personal parts field.
In terms of service capabilities, Jingdong’s reputation is not bad, and it should be able to stand. Jingdong Logistics has a good reputation in providing express delivery services to the mall. Because of its fast delivery speed and wide brand recognition, it should not be difficult to gain user trust, thus shortening the time of early development from 0 to 1.
Of course, SF is equally strong in this respect, and it is also linked to the concepts of “fast†and “safeâ€. In the minds of consumers, there is a brand awareness of high-end positioning. As a latecomer, Jingdong Logistics naturally cannot make users rush. It can only be said that after adding the choice, some users who belonged to SF may turn to Jingdong.
Once again, SF still has obvious advantages in the details and long tail scenes. It will take time for Jingdong Logistics to improve.
At present, there are still some shortcomings in Jingdong Logistics. After all, C-side express is a new field, and its layout and service capabilities are still not perfect. For example, after the blue hole business experience, it is found that Jingdong's delivery speed may be slower than SF under the same sending and receiving address and similar price. For the first time to test the personal mail, Jingdong still has a gap with SF in some details. If the user's requirements for timeliness are relatively high, Jingdong Logistics may still have an advantage.
In addition, SF has a deep foundation in terms of service capabilities and scope as a first-comer. SF Express can send fresh food directly, and also open cross-border air transportation. For users of this part of the long tail demand, Jingdong Logistics can not attract them at the moment.
However, in the long run, Jingdong Logistics is still expected to gradually fill the shortcomings with its own strength. After Jingdong Logistics and Tongda Department gradually entered this field, SF will be directly affected. However, the future pattern may still be led by SF, and JD.com will also have a foothold in the field of personal mailing.
Service and technology will become core competitiveness
In the long run, the personal mailing market will mainly be the competition between SF Express and JD.com, and they are similar in many positions. The final competition will focus on who can provide better services and who can preempt the next generation. Technically.
First of all, the service capabilities of logistics companies can continue to improve, and raise the cost performance of C-side services.
From the perspective of consumers, the choice of logistics companies, ultimately depends on which cost-effective, such as fast timeliness, high security, low prices. Jingdong Logistics, which has just entered the company, has room for improvement in terms of improving the relevant service level, including how to reduce the length of the collection process, how to undertake more transportation scope, and transport fresh items such as SF. For Yuantong, you need to prepare for a large amount of investment. At the moment when more players are involved, SF should also accelerate its pace.
Secondly, unmanned distribution will be the focus of future development, and logistics companies need to deploy smart logistics.
In the future, smart logistics will become the development direction. Now, SF, Jingdong Logistics, and rookie are all deploying unmanned distribution technology, and logistics drones and unmanned vehicles have appeared one after another. Unmanned distribution can improve the transportation speed and reduce the labor cost, and has a significant impetus to the development of logistics. In the high-end shipping field, unmanned distribution is also expected to fully realize the imagination and truly deliver home.
At present, logistics companies are mainly trying to overcome the technical threshold of unmanned distribution and respond to various possible situations. After the completion, it will take a long time for the laying of the offline distribution station and the communication between the various logistics links. Unmanned distribution is still not realized in the short term, but because it is one of the future trends, it will undoubtedly be the focus of competition for logistics companies.
In short, Jingdong Logistics's on-line personal mailing business is expected to open up the high-end market and gain a foothold in the C-end, but in general SF will still maintain its dominant position by virtue of its first-mover advantage. In the future, the focus of competition will fall on service capabilities and high-tech, but whoever can get the ticket for the next stop will see who will gain the upper hand in the competition.
Editor in charge: Zheng
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