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Recently, JD.com, along with over 100 home appliance and home furnishing brands such as Midea, Gree, Haier, Hisense, TCL, Jiuyang, Xilinmen, and Jiumu, jointly established the "JD Home Appliance and Home Furnishing Alliance" and announced that it will gradually implement subsidies for replacing old appliances with new ones nationwide. At the press conference, JD.com also announced that it will jointly invest 6.5 billion yuan in 2024 with brands such as home appliances, 3C digital, and automobiles to provide strong support for a new round of large-scale equipment updates and consumer goods trade ins.
Specifically, JD.com has deepened cooperation with home appliance brands and provided exclusive preferential subsidies. Consumers can easily place orders for large appliances such as refrigerators, washing machines, air conditioners, and water heaters, as well as small appliances such as coffee machines, rice cookers, and floor scrubbers, as well as home building materials such as mattresses, sofas, toilets, and bathtubs, totaling over 200 sub categories, with just four clicks.
In order to provide users with a better service experience, JD.com has further achieved free door-to-door, free disassembly, and free transportation of old machines in the trade in policy; The "three exemptions and four restrictions" service includes unlimited channels for purchasing old machines, brands, years, and products. JD also utilizes its logistics advantages to provide consumers with integrated services for delivering new machines, dismantling old machines, and installing new machines in different categories. This reduces the service process that used to require multiple door-to-door visits to only 1-2 times, making it easier to complete in one step.
In addition, JD will achieve comprehensive upgrades in six aspects, including service capabilities, brand support, marketing solutions, industrial chain, omnichannel, and category cooperation. On the one hand, JD.com will continue to improve the coverage of integrated services for small and large household appliances, and achieve integrated services for sending new machines, dismantling old machines, and installing new machines for light installation categories such as televisions, refrigerators, small household appliances, and mattresses nationwide, as well as integrated services for heavy installation categories such as air conditioning, toilets, and stoves in major regions. Among them, focusing on household appliances such as air conditioners, vacuum cleaners, and coffee machines, JD.com has launched a plan to increase the price of old machines. Taking air conditioning as an example, the price of used units on the hook has been increased to 250 yuan at once, and the price of used units on the cabinet has been increased to 450 yuan, both of which have increased by more than 15%.
On the other hand, JD relies on over 18000 JD home appliance and home furnishing specialty stores covering 25000 townships and 600000 administrative villages across the country, and collaborates with brands to launch the "Beautiful Countryside Plan". Through preferential benefits such as "up to 10% subsidy for old for new, up to 2000 yuan subsidy", JD stimulates the enthusiasm for new products in the sinking market, allowing consumers in rural areas to easily and quickly complete the process of exchanging old for new.
At the press conference, the reporter also learned that under the call of the "Action Plan for Promoting the Exchange of Old for New Consumer Goods", various provinces, cities and regions have successively launched implementation plans for the exchange of old for new consumer goods, and a series of consumer promotion activities are in full swing, promoting the accelerated release of trillion yuan market potential. JD.com will collaborate with 20 provinces and cities to launch a subsidy special event, which will benefit the people through government subsidies, corporate concessions, and other means, allowing consumers from all over the country to purchase home appliances and home products more cost-effective and worry free. In 2024, JD.com will jointly invest 6.5 billion yuan with brands such as home appliances, 3C digital, and automobiles to provide strong support for a new round of large-scale equipment updates and consumer goods trade ins.
It is reported that in 2016, JD.com launched a trade in service for home appliances. Data shows that over the past three years, over 30 million users have added new value to old items through JD.com. From 2023 to present, more than 16 million users have purchased home appliances and home goods through trade in, with a year-on-year increase of 200% in the number of first-time users. Search terms such as "trade in" and "home appliances trade in" have also increased by 320% year-on-year.
The person in charge of the service business of JD Retail Home Appliance and Life Business Unit stated that gaining consumer recognition is due to JD's precise satisfaction with personalized and diverse renewal needs. The large subsidy intensity, synchronous delivery of new and old items, simple replacement process, and free dismantling of old items have become important factors affecting consumer replacement decisions.
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