Dingdong(US:DDL) Nan Fang Du Shi Bao·2025-05-07 06:52Core Viewpoint - Dingtalk Grocery has formed a strategic partnership with DFI Retail Group to create a digital cross-border supply chain system, aiming for a sales target of 100 million HKD in the first year of collaboration [1][4]. Group 1: Partnership Details - The partnership will leverage DFI's network of nearly 280 Wellcome supermarkets in Hong Kong to provide a variety of quality products to consumers [1][4]. - The first batch of six selected vegetables from Dingtalk Grocery was launched on April 9, with total sales exceeding 100,000 kilograms within a month [4][6]. - The vegetables include varieties such as romaine lettuce, oilseed lettuce, and bok choy, sourced from Dingtalk Grocery's direct supply bases in mainland China [4][6]. Group 2: Supply Chain and Technology - Dingtalk Grocery and DFI plan to implement an "one vegetable, one code" traceability system, allowing consumers to access planting records and inspection reports via QR codes [4][5]. - An AI prediction system will be developed to optimize inventory management across DFI's supermarkets, adjusting supply based on factors like weather and holidays [5][6]. Group 3: Future Expansion Plans - The partnership aims to introduce additional products, including popular and regional specialty vegetables, with a target of over 150 SKUs by the end of the year [6][7]. - There are plans to extend this collaboration model to DFI's supermarkets in Macau and Cambodia, reaching more consumers [6][7]. Group 4: Company Performance - Dingtalk Grocery reported a revenue of 23.07 billion CNY in 2024, a year-on-year increase of 15.5%, and achieved a net profit of 300 million CNY, marking a turnaround from a loss in the previous year [8]. - The company emphasizes the importance of supply chain investments, with a direct sourcing ratio for fresh products stabilizing around 85% [8].