P&G Launched First BC Integrated Front Warehouse

It is reported that P&G and Cainiao have been cooperating for many years, and B2B and BC integration have become the new focus in the new cooperation.

Recently, Cainiao and P&G signed a new strategic cooperation agreement. At present, the first front warehouse with BC integration (Integrated operation of retail stores and users) jointly built by both sides has been officially opened in Jiaxing, Zhejiang.

According to the agreement, Cainiao will play an omni-channel and omni-link supply chain fulfillment service capability to provide domestic end-to-end supply chain fulfillment service for P&G. P&G will further promote omnichannel business cooperation with Cainiao and explore cooperation in logistics technology and green logistics to build a digital intelligence green supply chain.

It is worth noting that P&G and Cainiao have been cooperating for many years, but the previous cooperation between the two sides focused more on the B2C business area, while B2B and BC integration became the new focus in the new cooperation.

CHAILEEDO learned that the front warehouse is a warehouse distribution model, in which each store is a small and medium-sized warehousing and distribution center, which can cover the last mile and let consumers receive the ordered products in a shorter time.

Take the first front warehouse of Cainiao and P&G as an example, the warehouse is linked to P&G factories and distribution centers upstream, and serves customers and consumers downstream. P&G uses dynamic fulfillment algorithms to precisely locate demand, and Cainiao combines the warehouse with dry distribution capabilities to flexibly adopt direct delivery of trunk vehicles, cargo consolidation, BC with the warehouse, and direct delivery of express, which not only realizes resource reuse and reduces operating costs, but also helps brands integrate online and offline, shortens the supply chain road, and improves consumer experience.

Yin Chao, vice president of supply chain operations of P&G Greater China, said that supply chain is one of the core competitiveness of P&G. P&G and Cainiao have a long-term good cooperation foundation, and the opening of Jiaxing front warehouse is a milestone in the cooperation between the two sides and an important industry innovation.




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