When it comes to successful online direct sales companies in China today, JD.com is undoubtedly at the top of the list. Started by Qiangdong Liu in 1998 after a virus threatened to close down his retail business, it has continued to affirm its position in not only the China online space but across the world as well. The company believes that they offer their consumers an online experience that is not only unique but also different. Through their user-friendly and content-rich website, they can provide various authentic products at a competitive price. They also make sure that the goods their clients’ orders are delivered reliably and speedily.
Thanks to its successful business ventures, JD.com has not only received recognition from countries across the world but also successful businesses in various parts of the world. This has helped it form strategic partnerships that have enabled it to grow and build the online retail industry to greater heights. One of the companies it has recently developed a friendship with is Farfetch. Farfetch Limited is among the leading global technology platform that deals with the luxury fashion industry. For JD.com, this meant not only a partnership but also a merger that brought together these two companies as one.
The agreement about the merger enabled JD.com not only to have access to the 3000 luxury brands using Farfetch network; it also enabled Farfetch to gain a level one entry to the JD app. This means that they acquire access to at least 300 million customers making it easier for them to offer more than 3000 brands of fashion luxury brands. This merger will also help the companies build on their existing relationship, which began in July 2017. Ever since their relationship began, both companies have not only benefited, but it has helped strengthen their China business. The expanded agreement between both companies helps in not only reestablishing their relationship but also expanding their business on a global platform. This will also help the luxury industry grow since it is also a significant component of the JD fashion brand. This merger will also make it possible for JD to continue working with luxury brands enabling them to offer end-to-end luxury shopping experiences to their customers.