Chinese online retailer JD.com has launched a new lifestyle brand called Seven Fun, targeting young white-collar urban dwellers. The first store, located in Beijing’s commercial center at Galaxy SOHO, opens today.
Why it matters: China’s omnichannel retail landscape is rapidly evolving.
- JD.com’s new brand is under 7Fresh, which competes directly with Alibaba’s offline retail store Hema and Tencent-backed Yonghui Superstores. The retailer hopes to snatch a larger share of the market by targeting working professionals in first-tier cities.
“Through this concept, JD.com provides an unprecedented “SOLOMOME” [social, local, mobile and personalized] offline experience that serves as a pioneering model for future brick-and-mortar stores.”
—Jonathan Wang, head of 7Fresh, JD.com
Details: Future expansion plans of the new brand are expected to focus on tier-one cities and particularly targeting working professionals with an annual income of over RMB 100,000, the company said.
- The first Seven Fun space spans 10,000 square feet. It is a combination of bars, eateries, and a supermarket that sells fresh produce and groceries, as well as wine and craft beer.
- The company said that, in order to maximize its return, the Seven Fun hopes to penetrate the consumption and lifestyle needs of young working professionals, from breakfast, lunch, dinner to late-night snack.
- Consumers can also make their orders from the 7Fresh app and have them delivered to their homes.
- The second Seven Fun store is expected to open in the second quarter of 2020 in The Place, a shopping mall located in Beijing’s commercial and business center, the company revealed at the announcement on Monday.
Context: JD.com ramped up expansion efforts of 7Fresh, its premium offline store brand, in China’s first and second-tier cities late last year.
- Earlier this month, JD.com opened in Beijing a 24-hour store chain called 7Fresh Life, a combination of a restaurant, fresh food store, and convenience store. Yonghui Superstores also launched a similar concept of community lifestyle store this year called Yonghui Mini, which already has over 500 locations in China.