Move over Amazon, JD.com is coming to town

JD.com, one of China's largest retail websites that is often seen as China's Amazon.com, thinks that now is the time to enter the US market.

JD.com (previously 360buy.com) has more than 100 million registered users and 20,000 suppliers. Transactions on the website have been growing at a rate of between 100 percent and 350 percent a year since 2007 and reached $9.8 billion last year.

On Monday, Shi Tao, vice-president and general manager of global business development at JD.com, met with four companies who are interested in JD.com on his first day in Seattle and introduced his company to the local business community at a reception hosted by Washington State China Chamber of Commerce.

"Our main purpose is to broaden knowledge and understanding of US customers' needs from China," Shi said. "We also may spark the strategic connections, especially future strategic cooperation with leading US retailers and brands."

After days in Seattle and San Francisco meeting potential business partners and clients, Shi and his team will head to Las Vegas to attend the 2013 Magic Market Week in late August, where the international community of apparel, accessories and footwear professionals exchange information, preview trends, build business and shop fashion.

The US market offers high potential for JD.com Global, which JD.com launched in October 2012.

"Many of our customers in the US ask us why not build a selling channel overseas. With the increasing customer needs in the US, we think this is a good time to sell here," Shi said.

JD.com Global now offers more than 900,000 commodities, including a catalogue of more than 700,000 Chinese-language books that ship to 35 regions and countries around the world.

"We strive to offer a convenient and cost-effective solution for our customers in the US, mainly Chinese readers who live here and want to keep up to date on Chinese language literature," Shi said.

As of May, the company had six major self-run fulfillment centers with 71 warehouses in 27 cities, as well as nearly 1,000 delivery stations and nearly 300 pickup stations nationwide. Through its speedy delivery services, the company offers same day delivery in 27 major cities and next day delivery in more than 150 cities in China. Its newly launched night delivery and 3-hour delivery services are now available in six major cities in China.

In addition, JD.com acquired a third party online payment corporation called Chinabank Payment at the end of 2012 and plans to launch their own payment system in September.

"To have our own payment system is very important to add value to our existing customer and future potential customer, especially when they purchase virtual commodities and services through JD.com," Shi said.

Shi, a vice-president of Amazon China before he joined JD.com in 2010, believes in the customer-first philosophy Amazon takes to the extreme. "But in China JD.com is more responsive to market challenge and customer needs," Shi said.

In addition to increasing its brand recognition in the US, JD.com is looking for emerging markets around the word, including Asia, Europe and South America.