Chinese e-commerce giant JD.com has officially launched its 'Joybuy' service in six European countries, marking a significant challenge to Amazon's dominance.
JD.com's strategy isn't to simply compete on price, which is the model for rivals like Shein or Temu. Instead, it's focusing on creating a superior customer experience. The core of this strategy is fast and reliable delivery. By establishing its own last-mile delivery network, 'JoyExpress,' and building local warehouses, JD.com promises delivery 'as fast as same- and next-day,' a service level designed to pull customers away from established players.
This move is brilliantly timed, thanks to a shifting regulatory landscape in Europe. First, the EU is increasing scrutiny on e-commerce platforms through the Digital Services Act (DSA). Regulators have already targeted platforms like Shein and Temu for non-compliance, creating an opening for a more controlled, self-operated model like Joybuy. Second, the EU is set to remove the €150 duty-free exemption for small parcels and impose a new €3 customs fee starting in July 2026. This directly raises the cost for competitors who ship goods directly from China, making JD.com’s locally-stocked inventory a much more attractive and cost-effective model.
These external factors are combined with JD.com's deliberate, long-term investments. For over a year, the company has been expanding its European footprint, opening warehouses in Poland and signing logistics partnerships with giants like DHL. Perhaps most importantly, JD.com has secured a majority stake in Ceconomy, the parent company of major electronics retailers MediaMarkt and Saturn. This isn't just an investment; it's a strategic move to create an omnichannel network. Imagine ordering on Joybuy and being able to pick up or return items at a local MediaMarkt. This integration could rapidly build consumer trust and convenience, transforming Joybuy from a simple website into a deeply integrated part of the European retail scene.
[Glossary]
- Digital Services Act (DSA): An EU regulation designed to create a safer digital space by holding online platforms accountable for illegal content, transparent advertising, and disinformation.
- De Minimis: A customs threshold below which no duty or tax is charged. The EU is removing the €150 de minimis for e-commerce, meaning more imported parcels will be taxed.
- VLOP (Very Large Online Platform): A designation under the DSA for platforms with over 45 million monthly active users in the EU, subjecting them to the strictest rules.