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Dates ‘R’ Us: Alibaba, JD.com looking for a lock-in of the merchant’s loyalty with new services

BEIJING, BEIJING, China (Reuters) – In China, the sale of apartments from the “know your customer” has been taken to new lengths.

A woman in a JD.com’s empty shop, with a face recognition technology, by scanning the QR code with their phone to a sensor device at the store entrance, in Xian, Shaanxi province, China March 3, 2018. 3-March-2018. REUTERS/Stringer

One of the first companies to participate in a Alibaba Group Holding Ltd’s programme, covering the years from the consumer’s shopping history, snack food, food chain, Bestore Co., Ltd plans to set up a link to the face detection technology in the e-commerce giant’s account as of the end of the year.

For customers who want to see their face, the data in the Bestore systems, which means that the employees will be able to determine what food they would like at the moment is that they are one of the shops.

Bestore, which is already offering customers the option to pay using Alibaba’s face is a scan of the tablet, and has started with Alibaba’s other services for a more successful marketing strategy.

It’s possible to arrange for a person who loves salty foods, the owner of an SUV, and is likely to have a family, that is, an ad that suggests the appropriate Bestore snacks for a Spring holiday, Huang Xiao, Bestore, the head of the e-commerce business, told Reuters.

“Working together, our strategies are focused on sales practices are targeted, and resources are better allocated,” Huang said.

With the Alibaba program is called the 100, and that has Nestle SA and Procter & Gamble Co. as a client, it is a part of a larger push by e-commerce giants in China are rebuilding their relationship with the merchants – give them a treasure trove of shopper data, in return for a more extensive and closer cooperation.

The shift is an integral part of the Chinese e-commerce companies to call the ‘new retail’ – or ‘boundary-less retail – and the marriage of the available data and information from the internet, for shopping, and is collected by means of a brick-and-mortar stores to offer a very personalised service.

This has been enabled by the widespread adoption of payments via smartphones, and the emergence of facial recognition technology, and the Chinese consumer’s tolerance for the sharing of information between companies.

Other services Alibaba offers to retail clients include retail movement of ‘heat maps’ to help the stores, it is better to design the layout of the product, as well as in the messaging app Dingtalk, communicate within their own companies and with their clients.

ON THE LOOKOUT FOR MORE INFORMATION

It will keep merchants happy and sign up for more services, has taken on a sense of urgency to Alibaba and rival JD.com.

Both of which are looking for diversification in the midst of a slowing e-commerce growth in revenue in the home – in part due to the saturation of markets in China’s largest cities, highlighting the level of consumer confidence of the US-China trade war and increasing competition from rivals such as the recently-listed Pinduoduo, Inc.

“For Alibaba, and JD.com this is of vital importance to their overall ecosystem, because they pretty much all run out of the online growth,” said a Beijing-based Jason Ng, a partner at consulting firm Bain & Company.

By providing data-driven tools to the retail, e-commerce companies are to be able to expand the amount of data to be collected. “It’s not just about the money, it’s about continuing to grow, and it is hoped that they will find a way to make money from that,” he said.

JD.com that is, it offers similar services to Alibaba, says it has helped AMERICAN nappy brand Huggies from work, why not the Chinese competitors are increasing in popularity, in which, to Huggies, to change, to be a material that is more absorbent and comfortable in the wet. This has contributed to a 60 per cent increase in the Huggies sale JD.com by 2018, the Chinese company said.

A spokesman for Kimberly-Clark, which owns the brand, Huggies, declined to comment on the details of the co-operation with the JD.com.

Following is a sample of a new product JD.com said there is a “profile” of a potential buyer and on the basis of the early sales, that is, compared to the whole userbase, or before, the targeted advertisements may be sent to the games.

Other tools JD.com offers to retail customers, a customer service chatbot powered by artificial intelligence, which is in the “mood” of the mood of the customer, and make the show seem more empathetic.

It has also rolled out the pick-up in some of Hong Kong’s convenience stores, of which you will be able to scan multiple items at the same time, and let them pay for it with their ID-linked accounts, which he says cuts off the average checkout time by 30%.

FOR FREE NOW

The two JD.com and Alibaba executives will tell you that they don’t charge for the majority of the companies of data services at the time of the new forms of collaboration to facilitate the sale of other services, such as cloud computing, and logistics.

Nestlé sells Haagen Daaz and a box-spring through third-party retail locations. and in China, says that the stock, instead of four, and after the opening up of information on Alibaba-and distribution centers, which provide real-time updates on their orders.

“You don’t have to carry a huge inventory in a warehouse,” said Rashid Qureshi, the chief executive of Nestle China business, adding it was the first time Nestle has a built-in e-commerce and business data in their own systems.

Whereas in the past Bestore and the Map would have to be shared by the different parts of the Alibaba empire to the time of delivery, payment, cloud computing and all of the messages, and they are now working with Alibaba team, to make their business a wide-range of tailor-made services.

“It’s a change that affects the way in which our company has worked with,” Alibaba’s Jet, well actually, told Reuters in an interview. Well actually, ex-president of Alibaba’s retail site, Tmall has since grown to the assistant to the CEO, Daniel Zhang.

Alibaba has not revealed how many of today’s businesses to participate in the 100 program, but some analysts say, for now, only big companies are able to take advantage, as the smaller companies do not have the resources to justify a significant change in the organization.

The risk for the retailer, however, is that they will be able to rely on their e-commerce partners.

In the Chinese market, it is hard to notice in the corner independently, and Alibaba, and JD.com to represent the two of the biggest online retail channels across the country. In the face of fierce competition, Amazon.com Inc. said in April it shut down the China online store.

“It’s a must-have for brands to become involved,” said Ng. “Everyone I would like to have a balance and do not lay their eggs in a single basket.”

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More broadly, questions remain about how large-scale e-commerce enterprises to manage their data in a way that is fair to all parties involved in the use of their services.

Regulators in the EU in September launched a preliminary antitrust inquiry into Amazon, and more than that are concerned with the collection of comparable data, of course), it would be able to use in order to promote the competing products of its own.

Alibaba and the JD.com do not produce their own products, but they both have made significant investments in the retail stores, including experimental, supermarkets, and convenience stores.

Report by Cate Cadell, and Pei Li in Beijing; Additional reporting by, But Naidu was in Chicago; Editing by Edwina Gibbs

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