Supermarket Evolution: Dada Haibo System Empowers Retail Partners to Speed Up Digitalization and Boost Sales

Rhea-AI Summary

Dada Group (Nasdaq: DADA) announces the successful adoption of its Dada Haibo omni-channel retail system by over 2,200 supermarkets in China, significantly boosting operational efficiency and reducing costs for retailers. The system increased online product promotions by 6x and improved labor efficiencies in product and promotion management by up to 12x. Notably, C.P. Lotus integrated this system across all its 46 stores in South China, leading to a remarkable 167% sales increase in 2020. Dada continues to enhance digital capabilities for retailers, aiming for seamless omni-channel operations.

Positive

• Dada Haibo system adopted by 2,200+ supermarkets in China.
• Online product promotions increased by 6x.
• Labor efficiencies for management increased by 10x and 12x.
• 99.99% accuracy rate in account reconciliation.
• C.P. Lotus saw a 167% sales increase in 2020 after adopting the system.

Negative

• None.

SHANGHAI, April 6, 2021 /PRNewswire/ -- Dada Group (Nasdaq: DADA) ("Dada"), China's leading local on-demand delivery and retail platform, is pleased to announce that Dada Haibo omni-channel online retail operating system integrates marketing, products, users, account reconciliation and order fulfillment in a systematic, digitalized, and standardized platform, which has significantly improved operating efficacies and reduced cost for a lot of leading retailers in China.

As of the end of February, Dada Haibo omni-channel system has been adopted by over 2,200 large- and medium-sized supermarket chain stores in China. On average, Haibo system increased the number of products promoted online by 6x and promoted SKUs as a percentage of total online SKUs offered in store are twice that of peers. Labor efficiencies for product management and promotion management increased by 10x and 12x, respectively, and accuracy rate of account reconciliation was boosted to 99.99%.

C.P. Lotus, a leading supermarket chain , aims to integrate online and offline retail through the cooperation with the Dada Group in China. Launching on Dada's on-demand retail platform JDDJ, Lotus Supermarket has adopted Dada Haibo omni-channel system and fostered all-round cooperation with Dada to gain targeted digital capabilities and promote the omni-channel digitalization.

To date, Dada Haibo system has been adopted by all 46 Lotus Supermarket stores in South China. The system has increased the staff efficiency at Lotus' stores and headquarters, reduced operation and fulfillment costs, improved the shopping experience for online consumers, and boosted sales growth. According to JDDJ's data, Lotus' sales in South China in 2020 increased by 167% over the previous year.

"While operating our own Lotus Go Application, Lotus also launched home-delivery services on the third-party O2O platforms such as JDDJ. The running-in of online multi-channel business operations brings a host of new challenges," said Zhengzheng Li, O2O Director of Lotus Supermarket in South China. He introduced that the current challenges include the manually operation of O2O platforms, which results in high labor costs and low efficiency; and multi-channels' order fulfilment for stores, which is easy to make mistakes and have bad effect on the user experience.

However, Dada Haibo system provides Lotus Supermarket with the automatic, data-based, and standardized digital operation process. The system also supports integrated order fulfillment solutions for multiple platforms to help Lotus improve its omni-channel order fulfillment and operation capabilities in an all-round way.

"In addition to providing a digital operation system, the O2O platform can empower retailers with integrated operation capabilities and omni-channel digital solutions, which is the key value. Dada Haibo system helps Lotus take an important step towards omni-channel digitalization, targeted operations, and systematic use of data," said Jianzhen Peng, Secretary General of China Chain Store & Franchise Association, China's national representative for the retail and franchise industry.

Yanjie Lian, General Manager of Retail Empower Department at JDDJ, said that, "Besides providing Internet technology and systematic capacity through Haibo system, we have a team to customize services for the stores andhelp retailers solve problems in actual operations."

This year's JDDJ 415 Anniversary Shopping Festival will be launched from April 8 to 18. During the period, JDDJ partners with leading supermarket chains in China, including Walmart, Yonghui Supermarket, CR Vanguard, BBG Supermarket, Aeon, Jiajiayue, Lotus and famous brands, such as Yili, Mengniu, P&G, Unilever, Yihai Kerry, Mars Wrigley, PepsiCo, Nestle, as well as over 100,000 merchant stores on the platform to create a "One-hour Shopping Carnival". This provides consumers in nearly 1,400 counties and cities in China with "one-hour delivery" services for all categories of products, such as supermarket groceries, fresh meat and eggs, daily necessities, mobile phones and electronics, beauty and clothing.

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 is the Dada Haibo omni-channel system?

The Dada Haibo omni-channel system is a digital operation platform designed to enhance efficiency in marketing, product management, and order fulfillment for retailers.

How many supermarkets in China are using Dada's Haibo system?

Over 2,200 large- and medium-sized supermarket chain stores in China have adopted the Dada Haibo omni-channel system.

What sales increase did C.P. Lotus experience after using Dada's system?

C.P. Lotus experienced a 167% sales increase in 2020 after implementing the Dada Haibo system.

When is the JDDJ 415 Anniversary Shopping Festival?

The JDDJ 415 Anniversary Shopping Festival runs from April 8 to April 18.

What improvements did the Dada Haibo system bring to Lotus Supermarket?

The Dada Haibo system improved staff efficiency, reduced operational costs, enhanced the shopping experience, and boosted sales growth at Lotus Supermarket.