From "Nighttime Breakthrough" in Convenience Stores to "Full-Chain Digital Leap" in Supermarkets

| Client Profile

Sichuan Hongyuan Shangcheng Supermarket Co., Ltd. ("Hongyuan") is a leading regional retail chain headquartered in Meishan's Dongpo District since 2012. With 574 outlets across Meishan, Chengdu and surrounding areas as of 2024, Hongyuan serve as a vital provider of daily consumer goods. Hongyuan specializes in retailing daily necessities and food products, supported by a self-built efficient logistics system including a 20,000 sqm distribution center that ensures supply chain resilience, is recognized as a "Provincial-Level Emergency Supply Backbone Enterprise in Commercial Circulation". Hongyuan achieved revenue of RMB 555 million in 2024, reinforcing its core position in regional retail.

| Cooperation Background

Amidst dual pressures of retail innovation and digital transformation, Hongyuan has embraced change through pragmatic collaboration with Dmall as its core technology partner. The collaboration first delivered proven success in convenience stores through DMALL OS implementation and remote monitoring solutions. Building on this proven success and deepened trust, Hongyuan expanded the partnership in 2024 to comprehensively upgrade its hypermarkets with intelligent systems - transforming digital capabilities into core competitiveness that drives operational precision, efficiency breakthroughs, and enhanced regional market resilience.

| Co-Creation Journey

Digital Foundation for Convenience Stores & Smart Breakthrough in Night Economy

By migrating to the DMALL OS system, Hongyuan’s chain convenience stores achieved end-to-end digitization and online integration of core operations (store management, warehousing, finance), laying a robust foundation for efficient operations: standardized store governance, accelerated warehouse turnover, automated financial reconciliation slashing time costs, and intelligent invoicing reducing errors while mitigating tax risks.

Additionally, Hongyuan deployed the remote monitoring solution, pioneering a "Daytime Staff + Nighttime AI" mode, allowing nighttime customers to scan-to-enter stores for self-checkout, with cloud-based support handling security and order processing in real-time—shattering the cost barriers of 24/7 operations.

End-to-End Efficiency Transformation for Hypermarkets

Building on proven trust from the convenience store success, Hongyuan and Dmall extended collaboration to hypermarkets, leveraging DMALL OS as the core engine to drive multi-dimensional operational upgrades.

Automated & Intelligent End-to-End Operations

Comprehensive digitaliazation across the entire supermarket operations process. Taking fresh produce procurement as an example, the system supports mobile purchasing, opportunistic procurement, and supplier settlements for fresh goods. Previously, Hongyuan relied on manual financial settlements for supplier inventory assessment—labor-intensive and risky. Dmall helped optimize settlement methods with end-to-end online operations, significantly boosting efficiency and reducing financial risks.

Warehouse-Transport-Store Synergy

Intelligent Route Optimization: Combines pre-scheduled routing with real-time load adjustments, achieving visible load rates and 10% higher loading efficiency.

Controlled Shipment Lifecycle: APP order acceptance → scan-based loading → geofenced check-ins → exception alerts → automated delivery timeliness scoring—elevating handover efficiency and security.

Navigation-Powered Fulfillment: Driver APP’s built-in navigation assists new drivers in locating stores and navigating real-time traffic, improving on-time delivery rate and delivery timeliness for new drivers.

Unified Online-Offline Integration

By launching a delivery management platform and O2O services, we have integrated online and offline data to achieve seamless synchronization of products, inventory, orders, and fulfillment. By unifying the membership systems across supermarkets, department stores, and hotels, we enable mutual redemption of member benefits and precise outreach to drive sales.

| Co-creation Achievements

Streamlined Operations for Convenience Stores

Cost Revolution: Nighttime labor costs reduced dramatically, delivering monthly savings exceeding RMB 600,000. Sustainable Growth Engine: Nighttime sales emerged as a steadily expanding revenue stream, contributing over RMB 1.3 million monthly and unlocking 24/7 revenue potential. Industry Benchmark: Successfully validated the commercial viability of the Remote Operation Solution, establishing a replicable model for the retail sector.

Hypermarket Efficiency Leap

Leaner and Smarter Operations: Optimized business processes enhance efficiency and readiness, while paperless workflows reduce operational costs.

Faster and More Precise Supply Chain: Driven by TMS, loading efficiency improves by 10%, handover efficiency increases by 10%, and both delivery accuracy and timeliness see significant improvements—supporting the smooth operation of massive daily goods flow.

Connected and Dynamic Ecosystem: Seamless online-to-offline integration expands sales scenarios, while a unified membership system revitalizes multi-format customer assets, laying the foundation for sustained sales growth.

Trust-Driven Future Collaboration

From breakthroughs in convenience stores to full-chain supermarket digitalization, Hongyuan and Dmall have jointly mapped out a systematic digital transformation path for regional private enterprises - progressing steadily from point-based initiatives to comprehensive upgrades. This collaboration has laid a solid foundation for future multi-format synergy and innovation.

*Data based on actual feedback from DMALL clients.