JD.com buys into Farfetch fashion site

1 min readUpdated Jun 4, 2025Jul 13, 20171:32 AM

In this article (5)

Chinese e-commerce giant JD.com has made its largest overseas investment ever, in online Farfetch fashion marketplace.

JD.com has bought a US$397 million stake in Farfetch, solidifying a partnership that will see its CEO Richard Liu take a place on the UK company’s board. It will also make JD.com one of Farfetch’s largest shareholders.

This comes amid a push by the luxury-oriented Farfetch to expand in Asia, having raised $110 million in 2014 to support China growth. The new partnership will allow Farfetch to make use of JD.com’s logistics network and marketing systems, alongside online payment technology and social-media resources like its partnership with WeChat.

An added bonus for the UK fashion marketplace is an increased ability to tackle counterfeit luxury products produced in the region.

JD.com will also benefit from the partnership, pushing into the luxury market and setting itself apart from rival Alibaba.

“China is the world’s second-largest luxury market, and we are delighted to have such a respected partner, known for its strict protection of IP, with whom to address Chinese luxury consumers,” says Farfetch founder/CEO Jose Neves.

Just this month, JD.com launched its high-end delivery service JD Luxury Express, with staff in suits and white gloves delivering packages via electric vehicles directly to customers’ homes.

Farfetch, which counts France’s Eurazeo, Singapore sovereign wealth fund Temasek and China’s IDG Capital among its investors, was valued at around $1.5 billion in a fundraising last year.

AdvertisementAdvertise with usMobile 320×100

What this means

This strategic US$397 million investment positions JD.com to significantly disrupt China's luxury e-commerce, directly challenging Alibaba's market dominance. Farfetch, previously funded by Singapore's Temasek, gains critical logistics and social media integration via JD.com, including its new JD Luxury Express service, a distinct advantage over competitors entering the region like Alo Yoga's Tmall partnership. This move pressures Alibaba to further differentiate its luxury offerings or risk losing market share to a more integrated, high-end customer experience. The collaboration's success will hinge on the smooth integration of Farfetch's curated luxury inventory with JD.com's operational efficiency, especially its ability to combat counterfeit goods. Watch for Farfetch's Chinese sales growth figures in their next earnings report.

Wei Zhang · Retail News Asia newsroom

Questions & Answers

What is the primary motivation for Farfetch to enter this partnership with JD.com?

Farfetch aims to expand its luxury fashion presence in Asia, particularly China. The partnership provides access to JD.com's logistics, marketing, payment technology, and social media resources to support this growth.

How will JD.com benefit from its investment in Farfetch?

JD.com will gain a stronger foothold in the luxury market, helping it differentiate from rival Alibaba. It can use Farfetch's luxury offerings while positioning itself with a partner known for intellectual property protection.

Beyond market access, what other advantage does Farfetch gain from this collaboration in Asia?

An important advantage for Farfetch is an enhanced capability to combat counterfeit luxury products in the region. JD.com's reputation for protecting intellectual property will assist in this effort.

How large is JD.com's financial commitment in Farfetch and what does it signify?

JD.com has made a US$397 million investment, which is its largest overseas investment to date. This stake makes JD.com one of Farfetch's largest shareholders.

Reader pulse

Will this partnership give JD.com a clear luxury edge?

20,797 votes so far