China’s crackdown on the tech industry has brought down many companies but not JD.com. The Chinese e-commerce giant has beaten analyst expectations by posting a $39.3m revenue in the second quarter of 2021. This translates to a 26% growth in revenue compared to 12 months ago. The company has also improved the total transaction volumes for its annual shopping festival by 28%.
Part of this growth has to be attributed to JD.com’s recent access to one of luxury’s most sought-after brands — Louis Vuitton. This is the first time LVMH allows one of its brands to be posted on a third-party e-commerce platform in China. Other than the benefits related to an increased number of transactions, having access to a company like LV has improved the status and reputation of the platform.