Proving the Business Case for the Internet of Things

JD.com makes first drone delivery in Indonesia

Steve Rogerson
February 6, 2019



Chinese retailer JD.com has completed Indonesia’s first government approved drone-delivery flight. The pilot opens the door for future commercial drone use in Indonesia and south-east Asia.
 
The test flight took place last month in West Java, Indonesia, where the drone flew from Jagabita Village, Parung Panjang, to MIS Nurul Falah Leles Elementary School to deliver backpacks and books to students. The items delivered by drone were part of a larger donation of supplies from JD.com to the school.
 
JD.com and its partner ecommerce company JD.ID were early movers in bringing ecommerce to Indonesia. JD.ID, which launched ecommerce operations in 2016, sells a million SKUs and serves more than 20 million consumers across the country. Its operations leverage a logistics network consisting of ten warehouses across seven islands, covering 483 cities and 6500 counties.
 
Given that the country is spread out across many islands, the implementation of drones for regular use in ecommerce deliveries, as well as other logistics-related services, should let citizens in Indonesia enjoy more efficient and reliable services, and help JD.ID realise its goal of being able to deliver 85% of orders on the same or next day. JD.ID is also leveraging its logistics and other resources to support humanitarian efforts such as earthquake disaster relief.
 
“It is a privilege to have contributed to this important moment in Indonesia’s history,” said Jon Liao, chief strategy officer at JD.com. “We have been using drones for real deliveries in China for over two years now, and have seen the profound impact that the technology can have on people’s lives around the country. We look forward to working closely with WEF and the Indonesian government to realise the full potential of this technology, and provide more convenience to Indonesian citizens.”
 
JD.com is a strategic partner of the WEF (World Economic Forum) and a partner of WEF’s Centre for the Fourth Industrial Revolution. The C4IR is a global hub for multi-stakeholder cooperation to develop policy frameworks and advance collaborations that accelerate the benefits of science and technology.
 
Leveraging drone technology to deliver supplies to areas in need is a high priority on the C4IR’s agenda. WEF and JD have been working closely to ensure the success of the pilot in Indonesia.
 
“This trial represents the first government approved drone delivery operation in Indonesian history,” said Timothy Reuter, head of drones and tomorrow’s airspace at the World Economic Forum. “These tests are an opportunity for Indonesia to become a leader in the south-east Asia region by leveraging drone delivery to improve access to vital medical, humanitarian and commercial goods in remote areas.”