Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.
Case
-
Reference no. IMD-7-2144
Published by: Institute for Management Development (IMD)
Originally published in: 2019
Version: 04.12.2019
Revision date: 05-Jun-2020
Length: 20 pages
Data source: Published sources

Abstract

A new approach to e-Commerce, one that blends the best of different online models, is emerging in China under the description 'New Retail'. Hema, a subsidiary of Alibaba, was founded in 2015 and is growing rapidly, demonstrating the power of an omnichannel strategy of merging online and offline grocery shopping experiences that integrates supply chain considerations into the business design. Overall, Hema represents a fusion of the centralised distribution model and store fulfilment model in the typical online grocery distribution. Each Hema store doubles as a distribution centre through an overhead conveyor system, which enables a 30-minute delivery time for customers within 3km of the nearest store. Hema's approach to transform online grocery demonstrates new possibilities in the future of grocery retail.

Time period

The events covered by this case took place in 2016 to 2019.

Geographical setting

Region:
Asia
Country:
China

Featured company

Hema
Industry:
Retail;Food and beverage

About

Abstract

A new approach to e-Commerce, one that blends the best of different online models, is emerging in China under the description 'New Retail'. Hema, a subsidiary of Alibaba, was founded in 2015 and is growing rapidly, demonstrating the power of an omnichannel strategy of merging online and offline grocery shopping experiences that integrates supply chain considerations into the business design. Overall, Hema represents a fusion of the centralised distribution model and store fulfilment model in the typical online grocery distribution. Each Hema store doubles as a distribution centre through an overhead conveyor system, which enables a 30-minute delivery time for customers within 3km of the nearest store. Hema's approach to transform online grocery demonstrates new possibilities in the future of grocery retail.

Settings

Time period

The events covered by this case took place in 2016 to 2019.

Geographical setting

Region:
Asia
Country:
China

Featured company

Hema
Industry:
Retail;Food and beverage

Related