Chinese e-commerce giants JD.com and Alibaba Group Holding are exporting their logistics technologies related to artificial intelligence and robots.
By analysing the big data, the system forecasts what products are in demand and where in China, so that inventory is optimally controlled and goods are delivered on the most efficient schedule and routes. Five years ago, it took nine days for Alibaba to deliver 100 million packages to locations across China. Today, it takes just 2.6 days. The company has expanded the urban areas in which goods are delivered within 24 hours of the order.
This kind of technology should be useful in markets overseas. Alibaba is expanding business overseas. It plans to build large distribution depots in countries including Malaysia and Belgium, and has bought a major online retailer in Southeast Asia. It aims to eventually deliver goods in under 72 hours to anywhere by building distribution depots in strategic locations worldwide.