How DingDong Fresh Reinvented Grocery?
dark stores, AI-business model, and live seafood delivered to customers' doors
Previous edition: “Inside Myntra and India's Billion-Dollar Fashion Business"
We continue to “travel” to the East in this episode of our Series with retail leaders from Asia-Pacific. We had the opportunity to speak with Shaoming Yang, Vice-President of DingDong Fresh, the company that invented the “Dark Store” model and is the biggest fresh grocery online retailer in China.
Operating over 1.000 dark stores across China, the company isn’t just keeping up with the competition in a highly competitive market, it’s rewriting the rules. In this episode, we explore how the company reimagined grocery retail from the ground up, with AI into every layer of its operations. With Shaoming’s global perspective and deep tech background, we explore how this fresh-first retailer continues to scale with precision, speed, and intent.
Let’s walk through DingDong Fresh and more in this newsletter.
In this edition:
1. About the business
2. About the guest
3. Our episode highlights
4. Where can you watch/listen
1. About the business
Dindong Fresh was founded in 2017, and in less than a decade, became China’s biggest fresh grocery online retailer. Using a network of local fulfillment centers, the “dark stores”, and an app-first model, the company delivers in under 30 minutes, including fresh produce, meat, seafood, prepared food, and other food products (bakery, snacks, beverages).
This speed and accuracy are applied across 3 to 4,000 SKUs, serving over 1.000 dark stores daily. Rather than depending on store managers for manual decision-making, DingDong’s AI engine takes over, processing real-time data on weather, local holidays, and neighborhood-level demand to optimize every move.
“For example, “It’s a public holiday, we need more dumplings, but how many more in every store?” This is calculated by AI. No one can make 5 million calculations every day, but computers can. That is how we do it.” Shaoming Yang, VP at DingDong Fresh.
The result? “We have a shrinkage rate of just 1.5%”, a mind-blowing result that is far expected of traditional supermarkets, and even the most modern ones. From adjusting live seafood tanks based on real-time local demand to deploying AI to verify customer service replies, DingDong applies automation with precision, giving both quality and efficiency without compromising the customer experience.
2. About the guest
Before joining DingDong Fresh, Shaoming spent almost 20 years working in e-commerce and retail business, and ten years in the telecom industry as an engineer. His career journey began as R&D Manager at Huawei, and also been an entrepreneur, co-founding three start-ups. He joined DingDong Fresh in May 2024.
Shaoming has a multi-cultural background, from Alibaba Group (working at Tmall Global and AliExpress) in China, to Biedronka, Poland’s biggest retailer. He specializes in business models, strategy, IT solutions, marketing, and data analysis, and thrives on complex challenges. According to him, he loves challenges and seeks them out. One of his personal goals? To visit 100 countries.
3. Highlights
In our conversation, Shaoming shared how DingDong Fresh isn’t just optimizing operations, it’s redefining what operational excellence means in a tech-powered grocery ecosystem.
After hearing from Shaoming, one thing becomes clear: DingDong is not just using AI, it’s operationalizing it at a scale few retailers can match.
Some of our highlights:
1. From ML to LLMs: DingDong’s tech stack has evolved rapidly, what began with machine learning for forecasting has now become a playground for generative AI. Large Language Models are already powering customer interactions, writing support responses, and even refining the shopping experience.
2. Smart over Fast: Building a generic tech platform may be an alternative for most grocery retailers, but Shaoming believes smart scaling wins. DingDong’s team calls being “one inch wide and one kilometer deep,” controlling the full value chain from farm to doorstep.
3. Exporting Know-How: Rather than licensing their tech, DingDong shares its operating model with international partners. From Hong Kong to Saudi Arabia, they’re helping retailers localize the methodology, not just copy-paste it.
4. Grocery meets AI: We’re going to highlight it again, but with 1.5% food waste (vs. 10–30% industry average), real-time AI-powered logistics, and seafood still swimming upon delivery, DingDong is redefining what “fresh” really means in modern retail. And this is impressive.
4. Where can you watch/listen
Find the full conversation and valuable insights on our YouTube channel, Spotify, or Apple Podcasts. Choose your favorite podcast provider below:
1. YouTube:
2. Spotify:
3. Apple Podcasts:
Next Tuesday (July 22nd, 7 AM GMT), we’re launching one more episode of our APAC series, this time, exploring Australia’s (heartwarming) retail with Ian Burl, Chief Retail Officer at MECCA Brands.
Ian explains how Australia’s leading beauty retailer scales joy and empathy across 110+ stores. From training for emotional connection to leading from the shop floor, this episode is a powerful reminder that in the age of AI, human connection is the ultimate luxury.
Don’t miss it! Follow us to stay ahead in the retail world; all our social links and podcast platforms are right here.
