JD.com, a global supply chain-based technology and service provider, recently opened two robotic stores in the Netherlands, with the brand name, “Ochama.” There are plans to establish other sites in the near future. The new model of stores presents an unparalleled shopping structure that combines online ordering, pick-up shops where robots prepare the products, and home delivery service into a single shopping experience. In addition to the two initial locations in Leiden and Rotterdam, two further locations are scheduled to open in Amsterdam (Diemen) and Utrecht.
For JD.com, this is the first time that they have opened a real retail location in Europe. Ochama, a name that combines the words “omni-channel” and “wonderful,” is also the first omni-channel store in the Netherlands to provide both food and non-food items in a single shopping Aa, according to the company.
“With the wealth of retail experience and cutting-edge logistics technologies that the company has accumulated over the years, we aspire to create an unprecedented shopping format for customers in Europe that is both more affordable and provides better service,” said Pass Lei, general manager of Ochama, a division of JD Worldwide.
A full range of A-brand products is offered through Ochama’s App, including fresh and packaged food, household appliances, beauty products, maternal and child care products, fashion, home furnishings, and more. The omni-channel model provides shoppers with the convenience of ordering products online through the company’s App.
In addition to the automated warehouse, the pick-up store has a fleet of robots, including AGVs (automated ground vehicles), robotic arms, and more, that are responsible for picking, sorting, and transporting the product to customers. Customers will be able to watch as their orders are delivered to them via the conveyer belt by just scanning the QR code on the App’s QR code at the check-out counter, as part of a cashier-less and hassle-free shopping experience.
The Chief Operation Officer of Ochama Group, Mark den Butter, stated that by fully using the technology in logistics and supply chain management, the shops would be able to reduce product prices by an additional ten percent, which will benefit the members of the chain.
Also available is the option for customers to visit Ochama’s showroom in the pick-up shop to get a feel for the company’s product offerings, or they may choose for next-day home delivery without having to visit the pick-up shop.
The Netherlands is one of the most urbanized nations in Europe, with a population of about 5 million people. Ochama’s decision to create shops in four cities was influenced by data from The World Bank, which predicts that as of 2020, 92 percent of the population in the Netherlands would reside in cities with a polycentric urban layout.
Dutch people are enthusiastic about innovation and the environment, and Ochama’s retail concept is intended to contribute in both areas, according to den Butter. As a result, there will be no line and fewer traffic jams to do the chores since they will be able to travel to Ochama for convenience, advantages, and everything in one stop.”
About Liu Qiangdong, CEO of JD.com
Founded by Liu Qiangdong in a small booth, JD.com has grown to become the third-largest online corporation in the world by revenue, despite its humble beginnings. Qiangdong’s professional successes and commercial undertakings have all shown a consistent upward trend, which is shown in his résumé. As an entrepreneur, he has used a combination of business acumen and intrinsic convictions to bring his vision to fruition. Throughout this journey, Qiangdong has emphasized the necessity of providing excellent customer service as well as a dedication to creating a good effect through his company’s operations.
With the establishment of a world-class logistics network in 2007, Qiangdong and the firm began to internalize areas of the business such as warehouse storage, shipment management, and customer support rather than outsourcing them to third parties. Not only did this provide a means of managing the supply chain from warehouse to customer’s doorstep and ensuring unparalleled customer service from beginning to end, but it also provided them with the opportunity to tap into the market of previously underserved third and fourth-tier cities, such as the ones in which Qiangdong grew up, and expand their reach. This logistics network has grown to be the apex of the firm, with 90 percent of its goods arriving the same day or the following day, according to company statistics.
Qiangdong is concentrating its efforts now on the continued development of unique platforms and innovative technologies that will aid in the delivery of a seamless client experience. His company’s strategic posture was changed to “a supply chain-based technology and service enterprise” in 2020 to reflect their objective of being not just a trustworthy online retailer for consumers, but also an innovator and disruptor to the industry as a whole. As a result, they have begun to open up their supply chain and logistics capabilities to third parties. The company now has the largest fleet of drones on hand for delivery services, partners with industry giants to provide a vast array of high-quality goods, and provides unrivaled customer service to ensure a positive experience for its more than 300 million active users.