Singles Day boost for online shopping sites

Singles Day sales promotions were strong thanks to government subsidies and campaigns by leading e-commerce sites.

Major online shopping sites, including Taobao Tmall, JD, Douyin, Pinduoduo, saw double digit growth, according to data tracked by the Shanghai Consumption Big Data Lab of Fudan University.

Government-backed subsidies for big-ticket items including cars, energy-efficient home appliances, electronics and gadgets, as well as senior-friendly products, home appliances, household items, and furnishing materials have been driving up sales across the board, it said.

Taobao Tmall had a market share of 38 percent while JD had 20 percent, with Douyin and Pinduoduo 13 percent and 10 percent respectively.

The annual event, in its 16th year, now involves not just major online platforms but physical stores and delivery sites as well.

While Singles Day has been regarded as a barometer of consumer sentiment, market watchers expect online sales and price cuts to become a regular part of e-commerce sites’ promotions.

Home appliances, consumer electronics, beauty and apparel have been picking up in a sign of consumer-spending recovery, while new trends also emerged.

The number of shoppers on Alibaba’s Tmall and Taobao sites rose to a record high, and Apple, Huawei Technologies, Xiaomi, Oppo are among 45 brands that racked up 100 million yuan each in gross merchandise volume (GMV).

More than 1,100 brands, including Vivo and spin-off iQOO, doubled sales from a year ago as of midnight on Sunday.

The number of subscribers in Taobao and Tmall Group’s 88 VIP membership scheme saw double-digit growth in the past year, and has been an important boost for the overall spending increase.

On Taobao and Tmall, four designer and collectible toy brands surpassed 100 million yuan in GMV as of 4pm on Monday.

Up to 34 sports and outdoor brands also surpassed 100 million yuan as of midnight on Monday ami.

Lifestyle shifts among Millennial and Gen Z consumers fueled particular strong growth in emerging categories, according to the company.

Shanghai marketing consultant Janice Wang said: “It has become a routine to seek some discounts and my friends and colleagues often talk about latest deals, it’s no longer about seeking discounts, but about participating in the event and share with those around.”

Between October 14 and November 11, JD.com said it recorded a more than 20 percent year-over-year increase in shoppers.

Orders from livestreaming sessions hosted by JD’s procurement and sales managers surged 3.8 times from last year.

More than 17,000 brands saw their transaction volume grow by over five times, and transaction volume from over 30,000 small and medium-sized merchants increased by 200 percent.

Participation in JD.com’s instant retail service, JD Now, also jumped 70 percent with over 600,000 offline stores participating in event.