China News Service, September 21, 19, China Post Group Co., Ltd. (hereinafter referred to as "China Post") and Pinduoduo reached a strategic cooperation agreement in Beijing.
The two parties will give full play to their respective advantages in the fields of agricultural products entering cities and poverty alleviation and agriculture, and comprehensively promote the docking cooperation of agricultural products production and marketing.
On the same day, the 4th China Post "919 E-commerce Festival" and the first national postal agricultural product production and marketing matchmaking conference were successfully launched.
China Post will give full play to the advantages of the “three flows in one” of capital flow, logistics, and business flow to provide comprehensive solutions for the production and marketing of Pinduoduo's agricultural products.
At the same time, China Post will also take advantage of postal enterprises' direct access to the source and use three years to build 150 China Post agricultural products bases to supply high-quality agricultural products from the source for the Pinduoduo platform.
On September 19, China Post's Deputy General Manager Kang Ning (third from right) and Pinduoduo's Vice President of Agricultural and Rural Affairs Qian Tang (third from left) exchanged cooperation agreements.
China Post stated that the development of rural e-commerce requires the requirements of the central government, the market in rural areas, the needs of farmers, and the postal capabilities. As the "national team" of the industry, China Post must take the initiative to help farmers get rid of poverty, increase income and become rich, and help rural areas. The high-quality development of e-commerce has helped the revitalization of rural areas.
Pinduoduo said that as China’s largest agricultural product upward platform, Pinduoduo has continued to cooperate with China Post in recent years to explore the "Shaanxi Weinan Model" and "Guangxi Guigang Model" for the fastest upward channel for agricultural products across the country. Continue to pragmatically promote the production and marketing of agricultural products across the country, and help build a win-win postal and rural e-commerce ecosystem.
Both China Post and Pinduoduo cover the most extensive urban and rural areas in China and have the largest audiences. Logistics and e-commerce are as deep as capillaries.
As the "national team" of the industry, China Post has the original mission of "People's Post for the people", and Pinduoduo, which started with agricultural products, regards "inclusiveness" as the most significant feature of new e-commerce.
As early as 2016, the local branch of China Post started the first wave of e-commerce pilot projects in agricultural production areas on the newly established Pinduoduo platform, and in the next 4 years, from north to south, from west to East, extended to many provinces and cities.
In August 2016, Shaanxi Weinan Post took the lead in poverty alleviation in Pinduoduo. One year later, Pinduoduo opened the green channel of "Shaanxi Post's Targeted Poverty Alleviation Official Store", driving a large area of counties from Weinan, selling apples and melons. Local agricultural products such as, pears, sweet potatoes, etc. have created a new model of organic integration and efficient development of the postal system and the new e-commerce platform across the country.
Almost at the same time, Guangxi Guigang Post entered Pinduoduo in 2017 under the situation that the local government was pushing hard for the passion fruit industry. It mainly sold passion fruit and other agricultural products. With the help of the new e-commerce company’s cross-border fission, the local government and The Postal Savings Bank has created a new model of "e-commerce + logistics + financial integration development".
Pinduoduo empowers the upstream through big data, uploading information such as coverage of production areas, logistics conditions, etc., so as to standardize circulation, and allow agricultural products to be sent directly to consumers across the country from the fields.
The local post has integrated e-commerce and logistics into one, with instant delivery and controllable circulation, and has established a rapid advantage in the upward movement of agricultural products.
According to Qiao Yu, the relevant person in charge of Weinan Post, “186 postal outlets are spread all over towns and villages. We are always the first to know the difficulties of local farmers. Naturally, there are information and organizational advantages for receiving goods. Farmers’ land is scattered and the scale is not large. Consumers Combining orders exactly matches the different agricultural products in the mature period and production area."
Through the e-commerce platform to connect the production and sales of agricultural products, Weinan Post's Pinduoduo stores have achieved "the average delivery time is 17.78 hours shorter than the peers, the receipt time is 15.75 hours faster than the peers, and the delivery time is 29.22 hours faster than the peers".
“Postal directly acts as an e-commerce company, and can make full use of the postal’s full coverage system to penetrate capillaries into remote “small-producing areas”, and leverage the great data of Duoduo to discover the potential needs of nearly 700 million consumers and quickly promote it through social fission. Niche agricultural products are on the rise." Pinduoduo said.
In recent years, Weinan Post has worked with new e-commerce companies to help the poor and farmers in agricultural production areas.
In 2019, during the “Duodu Poverty Alleviation Day” event, Weinan Post issued 13,000 orders of Shaanxi specialty red Fuji apples to Pinduoduo consumers every day, most of which were directly collected from poor households.
Since 2020, some local branches of China Post have further developed in-depth cooperation with Pinduoduo, and helped the development of rural e-commerce with the help of the emerging city and county chief’s live broadcast to help farmers.
The e-commerce staff are posting orders for the parcels of Pinduoduo consumers, and the conveyor belt is directly connected to the postal logistics vehicle, which is filled and delivered, creating a second-hand delivery mode that leads the entire industry.
Data shows that Pinduoduo's agricultural trade volume reached 136.4 billion yuan in 2019 and is expected to exceed 250 billion yuan in 2020.
As of the end of August this year, more than 360 persons in charge of cities, counties and districts across the country have participated in the live broadcast of Pingduoduo platform.
From point to point in the agricultural production area, agricultural products have moved from single product to multi-category into large-scale operation. There are successful demonstrations of e-commerce such as Shaanxi Weinan Post, Guangxi Guigang Post, Gansu Post, etc. This time, China Post and Pinduoduo have reached a strategic cooperation. Poverty alleviation moves towards a broader upward channel for agricultural products.
The relevant person in charge of China Post stated that 2020 is the year of decisive victory over poverty alleviation and the building of a moderately prosperous society in all respects. China Post will give full play to the advantages of postal branding, direct access to the source, and integration of the three streams, deeply embedded in agricultural production. In the three links of middle and post-production, the "four co-construction" system has been established with channel platforms such as Pinduoduo, namely, the source supply chain of agricultural products, the docking system of agricultural product production and marketing, agricultural product storage and logistics facilities, and the development of rural e-commerce ecosystem.
In the next three years, in addition to leveraging their respective advantages with Pinduoduo, China Post will carry out in-depth cooperation in areas such as targeted poverty alleviation and e-commerce poverty alleviation. It will also use three years to build one hundred and fifty China Post agricultural products bases for Pinduoduo. The platform supplies more high-quality agricultural products from the source.