Cainiao: 700 chartered flights to deliver 90 % of cross-border parcels during 11.11 shopping festival

Cainiao: 700 chartered flights to deliver 90 % of cross-border parcels during 11.11 shopping festival

 Cainiao Smart Logistics Network, the logistics arm of Alibaba Group Holding Limited, has announced a series of initiatives to ramp up its global logistics infrastructure, in anticipation of explosive growth in e-commerce parcel volume during the upcoming 11.11 shopping festival.

This year, Cainiao plans to operate over 700 chartered flights to deliver 90 % of its parcels outside China during 11.11.

The smart logistics company estimates that more than half of these cross-border parcels will see a 60 % reduction in delivery time due to smart order consolidation. Customers in key European cities such as Madrid, Paris, Berlin and Warsaw will receive their parcels in as fast as three days. Best-selling products such as sweeping robots, vacuum cleaners and toolboxes are also pre-stocked in Cainiao’s overseas warehouses prior to the event.

Cainiao is also witnessing growing participation from overseas merchants in the global event. This year, Cainiao will operate over 3,000 chartered flights and long-haul cargo ships bound for China to cater to the growing demand from Chinese consumers. This will bring about a 10 % increase in delivery efficiency for goods shipped into China. Over 300 million goods from 84 countries and regions are imported to China via Cainiao’s extensive global supply chain network. The most popular imported goods include pet food, healthcare and beauty products.

To provide a better and more efficient experience for Chinese customers, these overseas merchants have also begun pre-stocking popular products in the warehouses in China. Close to one million goods are being pre-stocked daily in Cainiao’s bonded warehouses in Hangzhou.

The use of cutting-edge technologies such as artificial intelligence, predictive algorithms and big data analytics will empower merchants with demand forecast data and allow them to accurately pre-stock their goods in the right quantity and location in overseas warehouses to eliminate line-haul shipping time for consumers.

“In gearing up for 11.11 each year, technology plays a critical role in the successful execution and delivery of billions of eCommerce parcels worldwide. Today, 90 % of our parcels are tagged with electronic shipping labels and this has fast become a de facto industry standard to achieve full visibility. IoT technology has also accelerated the automation of every aspect of the value chain, from sortation facilities, warehousing to customs clearance and last mile delivery, significantly boosting operations efficiency and transforming the industry. This year, we will be marrying cutting-edge technology with a world-class logistics network to create a truly global infrastructure that can bolster the e-commerce boom,” says James Zhao, General Manager of Cainiao Global Supply Chain.

11.11 is the largest online shopping event globally and has consistently set new sales record year on year. Last year the gross merchandise value reached US$38.3 billion, double that of Black Friday (US$7.4 billion) and Cyber Monday (US$9.4 billion) combined.

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