Suning income soars as O2O strategy pays off
Chinese O2O retailer Suning.com has achieved an operating income for the first half of the year of RMB134.62 billion (US$19.4 billion), a year-on-year increase of 21.63 per cent.
The sales volume of omnichannel commodities was RMB184.215 billion ($26.54 billion), an increase of 21.8 per cent year on- ear, and the net income attributed to shareholders was RMB2.139 billion ($308.3 million).
As of June 30, the number of Suning.com’s registered members reached 442 million. Suning.com has 7503 self-operated and franchised stores, and 5368 stores of Suning Xiaodian (neighborhood store) and Diatiantian.
In the first half of the year, Suning.com continued to increase investment in logistics, finance, technology and building of other core capacities to lay a foundation for growth over the next decade. Suning.com accelerated the development of its fresh food business, and invested in 46 fresh cold chain warehouses covering 218 cities.
Its offline mobile payment business developed rapidly during the period, and the number of transactions was up 231 per cent year-on-year. By the end of June, the total assets of Suning Bank had increased by 68.20 per cent compared with the beginning of the year.