11Street said on the 12th that it will enter the reverse direct purchase business through a collaboration with Chinese e-commerce company "JD.com."
It plans to support 11Street sellers' overseas expansion through a strategic collaboration based on JD.com's global platform and logistics infrastructure.
Through this agreement, 11Street will roll out a reverse direct purchase business with JD.com to sell 11Street sellers' products to Chinese consumers. The service is scheduled to open in the first half of this year.
An 11Street official said, "We expect the collaboration with JD.com to dramatically lower entry barriers to the reverse direct purchase market, such as onboarding processes that require many documents, complex customs procedures, and logistics cost burdens."
11Street sellers will be able to sell their products directly on JD.com's flagship cross-border platform "JD Worldwide." JD Worldwide currently hosts more than 20,000 brands from about 100 countries around the world.
JD Logistics, a global logistics corporations listed on the Hong Kong stock exchange, will handle the entire logistics process, including warehousing, customs clearance, and delivery. JD Logistics directly manages everything from large-scale cross-border order processing to last-mile delivery.
Going forward, 11Street plans to continue collaborating in various ways, including promoting a "direct purchase business" that sells JD.com's competitive products.
Shin Hyun-ho, head of strategy at 11Street, said, "This goes beyond a simple platform partnership and is significant in that it establishes a permanent distribution pipeline connecting Korea and China," adding, "We will provide one-stop support from global sales platforms to logistics to create an environment where 11Street sellers can focus solely on improving product competitiveness."