Benzinga | Jun 18, 2021 05:37AM EDT

Dada Group Announced Expanded Partnership with Lenovo Lecoo to Bring All of 1,000 Lecoo Stores Online

Dada Group (NASDAQ:DADA) and Lenovo Lecoo, are pleased to announce that they have deepened strategic cooperation to jointly create a new omni-channel growth model for consumer electronics. Guangsen Mou, General Manager of Consumer Electronics and Home Appliances Business Department at JDDJ, and Ming Zhou, CEO of Lenovo Lecoo, signed a strategic cooperation agreement in Beijing.

Lecoo is a smart retail enterprise invested by Lenovo Group, and also a representative of smart devices and smart retail solutions in Lenovo's 3S strategy. Currently, Lecoo directly operates 300 stores in China, and plans to newly set up about 600 stores in the coming year. Its products include Lenovo's Legion series, Xiaoxin series, ThinkPad series, YOGA series, Lecoo's new brand products, "Smart" digital products from the world's top brands, as well as products for healthy life.

According to the agreement, JDDJ, Dada's on-demand retail platform, will provide omni-channel solutions based on the improvement of traffic and efficiency. Over the next two years, the platform will partner with 1,000 Lecoo's offline stores to create a new omni-channel growth engine for on-demand retail. Lecoo will bring into play its advantages in supply chain and digital products to enrich JDDJ's ecosystem and high-quality products.

Since Lecoo's stores launched on JDDJ in July 2020, it has maintained a strong growth momentum in sales. On the April 15, JDDJ's anniversary shopping festival, sales of consumer electronics stores on JDDJ were 8.3 times that of the same period in March, and Lecoo became the sales leader at computer and digital product brands. During the 6.18 promotion event this year, consumers can place orders on both JDDJ and JD.com for popular digital products at Lecoo stores, and enjoy discounts and one-hour delivery service.

At the signing ceremony, Mr. Mou said, "The consumers born in the 1995s are actually the digital natives for micro distance e-commerce. The new generation is keen on enjoying on-demand retail and delivery. Taking advantage of the prevailing trend, omni-channel strategy becomes one of the key drivers for retail business growth, while improved traffic and efficiency are the two critical factors for omni-channel retail. Lecoo is partnering with JDDJ to create a new omni-channel growth model."

Mr. Zhou said, "The number of consumers using on-demand delivery is fast growing. The strategic cooperation with JDDJ enables the on-demand delivery of consumer electronics and expands the service scope of 'Local Life +'. We are jointly creating a new one-hour delivery shopping experience and bring assistance to Lecoo's omni-channel OMO model."