---
title: "Cainiao Unveils Heavy Cargo Solution: Integrated Commerce and Logistics to Boost Merchant Sales"
description: "At the 7th China FMCG Channel Innovation Conference held in Chengdu, Li Jiabao, Director of Cainiao Supply Chain's FMCG Industry, introduced Cainiao's heavy cargo solution. By labeling and weighting 'delivery to door' across the entire chain, heavy cargo merchants saw significant increases in exposure, conversion, and repurchase rates. Additionally, Cainiao's heavy cargo warehouses expanded service models, leveraging its B2B city distribution network to offer merchants various delivery services such as intra-city warehouse and store delivery."
author: "李家宝"
publisher: "New Distribution"
email: "zhaobo258@gmail.com"
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published: "2022-11-22"
language: "en"
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# Cainiao Unveils Heavy Cargo Solution: Integrated Commerce and Logistics to Boost Merchant Sales

> At the 7th China FMCG Channel Innovation Conference held in Chengdu, Li Jiabao, Director of Cainiao Supply Chain's FMCG Industry, introduced Cainiao's heavy cargo solution. By labeling and weighting 'delivery to door' across the entire chain, heavy cargo merchants saw significant increases in exposure, conversion, and repurchase rates. Additionally, Cainiao's heavy cargo warehouses expanded service models, leveraging its B2B city distribution network to offer merchants various delivery services such as intra-city warehouse and store delivery.

"Through the full-chain labeling and weighting of 'delivery to door', heavy cargo merchants have seen significant increases in exposure, conversion, and repurchase rates. At the same time, Cainiao's heavy cargo warehouses have expanded their service models, leveraging its own B2B city distribution network to provide merchants with various delivery services such as intra-city warehouse and store delivery," said Li Jiabao, Director of Cainiao Supply Chain's FMCG Industry, at the 7th China FMCG Channel Innovation Conference held in Chengdu, where he introduced Cainiao's heavy cargo solution.

**01**
**Integrated Commerce and Logistics for Heavy Cargo: Repurchase Rate Up Over 10% Year-on-Year**

For a long time, heavy cargo brand merchants have faced pain points such as difficulty in delivery to door, high damage rates, and poor consumer experience. How to ensure deterministic delivery at optimal cost, improve consumer experience, and boost sales are key concerns for merchants. Under the pandemic, merchants have also been particularly focused on supply chain stability. To address these issues, Cainiao Supply Chain launched an integrated commerce and logistics solution for heavy cargo: a three-tier warehouse network supporting same-city, same-region, and single-warehouse nationwide distribution, providing merchants with a safety net; optimizing consumer experience through direct-operated warehousing and distribution with delivery to door; and on this basis, collaborating with the Tmall platform to provide compliant warehousing merchants with a full-chain expression plan for 'delivery to door' on Tmall. Data shows that over the past year, through Cainiao Supply Chain's integrated heavy cargo solution, platform heavy cargo merchants have seen continuous improvements in exposure, conversion, and repurchase rates, with repurchase rates up over 10% year-on-year. Li Jiabao stated that the foundation of Cainiao's integrated heavy cargo solution is its solid logistics capabilities. In recent years, relying on its leading B2C warehousing and distribution network in China, Cainiao has provided consumers with high-quality delivery-to-door services. Currently, Cainiao is increasing its efforts in delivery to door. Additionally, Cainiao has deployed seven central warehouses nationwide, allowing heavy cargo products to shorten the distance to consumers, reduce handling times, lower damage rates, and cut transportation costs. Cainiao's fully automated high-bay warehouses also meet merchants' efficiency needs, helping them improve warehouse operation efficiency and further reduce costs.

**02**
**Digital and Intelligent Empowerment for Offline Retail: Gas Station Convenience Stores See Significant Improvement in Ordering Efficiency**

In the past period, Cainiao's heavy cargo warehouses have actively expanded service models, using co-warehousing and co-distribution to serve multiple scenarios including B2C and B2B replenishment/city distribution, providing merchants with services such as nearby warehousing, intra-city warehouse delivery, and store delivery. Relevant customers now cover traditional supermarkets, Tmall Supermarket, RT-Mart, KA stores, and other retail scenarios. Currently, for heavy cargo products, Cainiao Supply Chain can provide merchants with end-to-end BC integrated solutions. "The foundation for the high-quality fulfillment of these services is Cainiao Supply Chain's nationwide B2B city distribution network, which is the largest of its kind. Cainiao City Distribution has nearly 7,000 co-distribution centers, with over 30,000 vehicles and drivers," Li Jiabao introduced. Compared to traditional city distribution companies, Cainiao City Distribution also has a range of digital and intelligent products that enable real-time visualization of B2B cargo movement, helping merchants enhance their digital supply chain capabilities. For example, 'Cainiao Bridge' connects merchants with various logistics resources, and the next-generation identification technology RFID enables digitalization across the entire logistics chain. In Guizhou, PetroChina partnered with Cainiao Supply Chain for a food heavy cargo solution for its 350 gas station convenience stores. In this collaboration, Cainiao Supply Chain integrated B2B warehouse management, store delivery, and full-chain supply chain systems, not only helping the customer achieve integrated warehousing and distribution but also reshaping its store ordering system, warehouse management system, and transportation management system. With unchanged costs, the order fulfillment rate increased to 98% and delivery fulfillment rate to 99%. The application of the full-chain system solution also helped achieve digitalization of supply chain information. In particular, the implementation of the ordering system ended the problems of untimely and inaccurate information from front-end ordering to back-end supply chain, safeguarding the supply chain for PetroChina's gas station store sales in Guizhou.

**Author Introduction:**
Li Jiabao, Director of Cainiao's Industry Supply Chain FMCG, has 15 years of experience in FMCG supply chain, with rich experience in FMCG channel sales and channel supply chain management.

_PS: For those interested in the on-site speech content, please follow the WeChat official account of 'New Distribution'. We will compile and publish all speakers' speeches for our readers._ _Click **Read Original** to see more highlights of the 7th China FMCG Channel Innovation Conference..._


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