In March 214, Liang Changlin founded Shanghai Yibaimi Network Technology Co., Ltd., and launched the Dingdong Community APP to explore the community O2O format. Later, during 214 and 217, the company explored various community life services, and finally positioned the family grocery business. In May 217, it was renamed as "Dingdong Shopping", with "mobile terminal ordering+pre-warehouse distribution+instant delivery to home within 29 minutes".
Dingdong takes Shanghai as the core city, takes fresh food as the entry point, focuses on young people aged 25-45 in first-and second-tier cities, focuses on the life scene of three meals a day, takes high-frequency rigid fresh products as the main operating category, and targets the vegetable market, providing high-quality home-made products for young consumers in first-and second-tier cities who have no time or are too lazy to go to the vegetable market.
In the business model, Dingdong takes the pre-purchase warehouse as the core, takes the "quality determination, time determination and category determination" as the core guiding principle, and builds the pre-purchase warehouse one kilometer around the community, combining with big data calculation, to ensure that consumers can always buy high-quality fresh products at any time and any place, emphasizing "delivery within 29 minutes after placing an order" to ensure the certainty of delivery time, and at the same time, using the layout of all categories such as fresh food and related ingredients.
According to official disclosure data, the GMV of Ding Dong's grocery shopping in 219 exceeded 5 billion yuan; At present, it has been stationed in more than 12 major cities in China, covering all first-tier cities, and the number of pre-warehouses is nearly a thousand.
Despite being in the e-commerce industry, Ding Dong didn't focus on "flow" when buying vegetables. Liang Changlin, founder and CEO of Ding Dong Shopping, once told the media that selling vegetables is not a simple traffic business, its essence is the industrial Internet, and behind it is a huge agricultural industry and supply chain system. At present, the penetration rate of fresh e-commerce is still not high, and there is a trillion-dollar market to be tapped. However, the characteristics of fragile fresh food and centralized supply determine that only a definite and controllable supply chain, as well as a definite quality and category, can truly solve a series of problems from the place of origin to the table. With the unprecedented prosperity of the industry, fresh e-commerce represented by Ding Dong's shopping will bring more and more new products and experiences to consumers.
The realization of the three certainties of "quality determination, time determination and category determination" is the key behind Ding Dong's business model of buying vegetables. The person in charge of Ding-Dong grocery shopping said that Ding-Dong grocery shopping has always emphasized that the first principle is the principle of certainty, which can be achieved from three aspects: quality, time and category of goods. Among them, the certainty of time requires the fastest realization of 29-minute standard service through self-built logistics, such as about delivery. At the same time, the operation of the ecosystem system is constructed to realize the optimal matching among people, goods and warehouses from direct supply, transportation, warehousing to distribution.
for fresh e-commerce, ensuring product quality and food safety is the top priority. Grasping every minute can ensure the core competitiveness of fresh goods.
Liang Changlin believes that tap water is colorless, tasteless, non-irritating and inexpensive, but it is the source of life. Eating vegetables is the same. People want to eat well and healthily, and they also want to have many novelty and changes. Selling vegetables is a social infrastructure, which can satisfy everyone's pursuit of a better life. In 219, Ding Dong once again upgraded his understanding of the "tap water model" and proposed that Ding Dong should "make beautiful ingredients as accessible as tap water". Behind this, on the one hand, it stems from the rapid delivery reaction of the front warehouse, on the other hand, it is to provide consumers with fresh products with both fresh and determined quality by building a strong supply chain system, directly picking from the source, reducing intermediate links from "direct delivery from the field to the table" and carefully selecting the "7+1 quality control process".
Regarding the advantages of "tap water mode", Liang Changlin thinks that, firstly, it is extremely convenient and does not need to spend time waiting; Second, it does not depend on site selection. Traditional retail business relies heavily on offline site selection, but the pre-warehouse mode of Ding Dong grocery shopping has solved this problem. Third, it can cover the whole city.
in order to make fresh food closer to consumers, Dingdong adopts the mode of "pre-warehouse+home", and arranges the pre-warehouse at a node at the end of the supply chain closest to consumers. Ding-dong's pre-warehouse location for buying vegetables is generally chosen in a place close to consumers, but with little traffic. As long as the user places an order on the online platform of Ding Dong grocery shopping, the system can reasonably plan the route in a short time after receiving the order, and the nearest front warehouse will arrange the delivery staff to deliver the goods to home. Because Dingdong's pre-warehouse is not open to the outside world, the distribution is all self-operated, thus ensuring the professionalism and timeliness of distribution.
In October 219, Shanghai Yibaimi Network Technology Co., Ltd., the main body of Ding Dong's grocery shopping operation, invested 1 million yuan to set up Shanghai Shishishun Logistics Co., Ltd. and started to build its own logistics system. It is understood that the whole operation is completed within 3 minutes from the time the user places an order to the time the rider leaves for delivery. From placing an order to delivering the dishes to the users, it only takes about 29 minutes at the earliest, realizing the standard service of delivery as scheduled. This is also the most distinctive feature of Ding Dong's shopping.
At the same time, in the face of the explosive growth of orders and the shortage of delivery staff during the epidemic period, Dingdong made a major adjustment, that is, it no longer emphasized delivery to home within 3 minutes, but adopted an appointment method to realize the intensive operation of sorting and distribution and improve efficiency. However, after making an appointment for a certain time, Ding Dong still delivers food to the home 3 minutes after this time, which is quite different from the two-hour delivery to the home and the next day implemented by other peers.
Not only that, Ding Dong tried to use car delivery in some areas during the epidemic to solve the bottleneck of transportation capacity. According to the data, in February, 22, in order to ensure the food demand of the citizens during the epidemic, Ding Dong bought vegetables in cooperation with Weilai Automobile, and used 12 ES8s, which were put into 12 pre-warehouses for distribution. By developing new algorithms in time, optimizing the order distribution system and adopting intensive distribution methods, the capacity and efficiency have been greatly improved.
in the first half of the era of fresh e-commerce, everyone was staking a horse, which was quite a feeling of nomadic people in the north. What should I do in the second half? In Liang Changlin's view, only by deepening the industry and providing real life services can we stand firm in the new market environment.
behind every kind of fresh food is a long and complicated industrial chain and supply chain. From the field to the dining table, every link is full of uncertainty. If the competition of fresh e-commerce is compared to an iceberg, what is seen at sea level is scale, but what is invisible below sea level is organizational ability, supply chain ability and data algorithm ability. Only by doing this well can we realize the "three affirmations" in uncertainty.
it is reported that at present, Dingdong Shopping is actively promoting the digital transformation of all links in the supply chain, including procurement, transportation, warehouse processing, pre-warehouse distribution, etc., so as to realize the visualization of the whole link, enhance the certainty of the fresh supply chain, and improve the order satisfaction rate and inventory turnover efficiency. Specifically, it includes:
(1) Through the collection and analysis of users' online consumption behavior data, the demand is predicted from the user's commodity preferences, consumption habits, user penetration and other dimensions, which is different from the previous way of judging based on the growth trend of consumption or business sensitivity, because the prediction from the user's demand side is more accurate, which is more conducive to the procurement department to accurately prepare goods and adjust the commodity inventory strategy in time, thus reducing the shortage and loss.
(2) By mining users' click and evaluation information on commodities, we can know the popularity of commodities, make targeted selection and replacement, improve the quality of commodities and increase users' satisfaction.
(3) Realize the visualization of the whole link including purchasing, transportation, warehouse processing and pre-warehouse distribution, improve the certainty of fresh supply chain, and improve the order satisfaction rate and inventory turnover efficiency.
the data shows that the whole process of Ding Dong grocery shopping has been digitized at present. With the help of automatic dispatching of delivery lines and cycling path planning in the background of BI system, a delivery clerk can complete the delivery of seven orders in one hour.
In May, 22, Ding Dong bought vegetables and reached a strategic cooperation with Shanghai Unicom. The specific contents include: Shanghai Unicom will tailor the "Intelligent Cold Chain Logistics Warehouse Management System" for Ding Dong to help it optimize its supply chain, reduce losses and save costs. At the same time, the two parties cooperate to use big data algorithm to realize the accurate layout of the front warehouse and the accurate portrait of the end user, thus improving the distribution efficiency. It is reported that the two sides will also use new technologies such as 5G network, big data and Internet of Things to help the "new infrastructure" of agriculture, ensure the people's livelihood needs in the post-epidemic era, and promote the development of service-oriented economy.
In the future, Dingdong will make further efforts in digitalization, artificial intelligence and other technologies, and strive for continuous breakthroughs in demand forecasting, product intelligence recommendation, distribution route planning, terminal logistics automatic scheduling, etc., so as to comprehensively improve operational efficiency and reduce costs.