Dada Group's JDDJ Releases Sales Report on Consumption Trends During Chinese New Year

Rhea-AI Summary

Dada Group (Nasdaq: DADA) announced the release of its "Sales Report on Consumption Trends During Chinese New Year 2021" from January 16 to February 4. Due to the COVID-19 pandemic, consumers shifted to online orders, with intercity orders doubling from last year. Sales of festival gift boxes surged 3x, particularly cookies and coffee, which saw increases of 4x and 3x, respectively. Notably, sales of salad rose 40x year-on-year. The report also highlighted a 9x increase in mask sales and a significant rise in mobile phone sales, increasing 20x from the previous year.

Positive

• Intercity orders doubled compared to last year.
• Sales of festival gift boxes increased 3x year-on-year.
• Sales of cookies and coffee gift boxes rose 4x and 3x, respectively.
• Sales of salad surged 40x compared to last year.
• Mobile phone sales increased 20x year-on-year.

Negative

• None.

SHANGHAI, Feb. 5, 2021 /PRNewswire/ -- Dada Group (Nasdaq: DADA) ("Dada" or the "Company"), China's leading local on-demand delivery and retail platform, today announced that JD Daojia (JDDJ), Dada's on-demand retail platform, released its "Sales Report on Consumption Trends During Chinese New Year 2021," which compiles official sales data on the platform from January 16 to February 4.

Chinese New Year is a traditional holiday that typically drives widespread travel as people return home for family reunions. This year, due to the COVID-19 pandemic, many residents have chosen to stay home and stay put. Instead of going out, consumers are placing orders for the festivities online to deliver to family, and Dada's one-hour delivery is streamlining the process. JDDJ's data shows that the number of orders that users placed from a city other than their own was twice that of the comparable period last year, led by Beijing, Shenzhen and Guangzhou.

During the reporting period, sales of festival gift boxes on JDDJ increased 3x compared to the prior year. Among them, sales of cookie and coffee gift boxes increased 4x and 3x respectively. Additionally, some western-style foods have increased in popularity as well. Compared to last year, sales of salad increased 40x on JDDJ, while sales of brandy increased 11x and pasta 4x. Milk, mushrooms, oranges, potatoes and chicken breasts were the top selling products on JDDJ during the Festival.

The report predicts that as more consumers place orders on local on-demand retail platforms represented by JDDJ, their consumption habits will include not only food, but all categories of products. Consumers have also been spending on games and entertainment to enjoy during the festivities. Sales of poker and mahjong doubled, and sales of mobile phones on the platform increased 20x year-on-year, with the iPhone 11, iPhone 12 and Huawei Mate 40 Pro being the most popular devices.

Sales of pandemic-related products also increased significantly on JDDJ, reflecting consumers' concerns about their health. Compared to the same period last year, sales of masks on the platform increased 9x, sales of hand sanitizer increased 3x and sales of disinfectants doubled.

"Through our commitment to 'bring people everything on demand,' JDDJ consistently provides consumers in China with an extensive variety of products through the one-hour delivery service provided by Dada Now," said Philip Kuai, Founder, Chairman and CEO of Dada Group. "In January, Dada Group announced that JDDJ and Dada Now would stay open during Chinese New Year in February. Through these two platforms, we are proud to maintain the highest level of safety, while ensuring trustworthy and efficient services for customers across the country."

About Dada Group

Dada Group is a leading platform of local on-demand retail and delivery in China. It operates JDDJ, one of China's largest local on-demand retail platforms for retailers and brand owners, and Dada Now, a leading local on-demand delivery platform open to merchants and individual senders across various industries and product categories. The Company's two platforms are inter-connected and mutually beneficial. The Dada Now platform enables improved delivery experience for participants on the JDDJ platform through its readily accessible fulfillment solutions and strong on-demand delivery infrastructure. Meanwhile, the vast volume of on-demand delivery orders from the JDDJ platform increases order volume and density for the Dada Now platform. In June 2020, Dada Group began trading on the Nasdaq Global Market, under the ticker symbol "DADA."

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SOURCE Dada Group

FAQ

What were the key findings in Dada's sales report for Chinese New Year 2021?

Dada's report showed a doubling of intercity orders and a 3x increase in sales of festival gift boxes, with salad sales up 40x.

How did the COVID-19 pandemic impact Dada Group's sales during Chinese New Year 2021?

Due to the pandemic, more consumers opted for online orders, significantly increasing intercity and festival gift box sales.

What is the stock symbol for Dada Group?

Dada Group is traded on the Nasdaq under the ticker symbol 'DADA'.

What products saw significant sales increases according to Dada's report?

Significant increases included festival gift boxes, salad, and mobile phones, with salad sales rising 40x year-on-year.

What were the sales trends for pandemic-related products during Chinese New Year 2021?

Sales of masks increased 9x, hand sanitizers 3x, and disinfectants doubled compared to the prior year.