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Singles Day reaping significant retailing bonanza

by Ozva Admin

Postal workers sort deliveries in Taiyuan, Shanxi province, on Nov. 11, 2022, which is Singles’ Day (Nov. 11), during which people, especially singles, loosen the drawstrings of their bags to shop online. [PHOTO by HU YUGUANG/FOR CHINA DAILY]

Chinese consumers have shown a growing demand for smart and high-quality products containing innovative technologies during this year’s Singles’ Day shopping extravaganza, which has played a vital role in stimulating consumers’ purchasing appetite and promoting a recovery in consumption, experts said.

While the country has announced measures to streamline its COVID-19 rules, domestic consumption is expected to gain even more growth momentum in the coming months, they said, calling for further efforts to unleash consumers’ purchasing potential and provide a increased financial support for self-employed businesses, tourism, retail, and cultural and entertainment sectors that have been affected by the pandemic.

As China’s largest online shopping event, the multi-day promotional campaign has shown the tremendous vitality and resilience of consumer spending, despite pressures such as the COVID-19 pandemic and external uncertainties, watchers said. the industry.

Data from Tmall, Alibaba’s business-to-customer platform, showed sales of 25,343 brands topped 1 million yuan ($140,500) from 8 p.m. Oct. 31 to midnight Friday. The turnover of more than 2,000 brands exceeded 10 million yuan during this period.

Smart toys, pet supplies, sporting goods, and jewelry saw explosive growth. Sales of smart kitchen appliances, virtual reality equipment and smart watches soared 270%, 140% and 122% annually, respectively, according to Tmall.

JD, another major e-commerce player, said Apple’s iPhone sales surpassed 1 billion yuan in just one minute of the final promotion that started at 8 p.m. on Thursday, while the volume of mobile phone transactions phones like Xiaomi, Huawei, Honor and Oppo increased 200 percent year over year in the first 10 minutes of the promotion.

In addition, the turnover of 87 international cosmetic brands increased by 200% year-on-year during the short period.

“Consumption plays a fundamental role in China’s economic development and is the main driving force of economic growth,” said Wang Yun, a researcher with the Academy of Macroeconomic Research.

Wang said the Singles’ Day online shopping festival serves as a pivotal event to unleash consumers’ purchasing potential and bolster spending recovery. The upgrading trend of consumption has not changed despite the COVID-19 outbreaks, she said, adding that consumers are inclined to choose high-quality products and pursue exquisite lifestyles.

Wu Chaoming, deputy director of the Chasing International Economic Institute, said the latest improvements in COVID-19 containment measures are expected to stimulate consumer spending in the future.

The improvements, aimed at minimizing the impact of the virus on the economy, will help boost consumer demand by raising expectations for growth in economic activity and increasing people’s ability and willingness to spend, Wu said.

Jason Yu, managing director of market research firm Kantar Worldpanel Greater China, said: “Chinese consumers have become more rational and are carefully reviewing their needs and paying more attention to the quality of the things they buy during the festival. purchases this year.

Yu said Chinese online retailers should take a longer-term perspective and consider 9/11 as an important part of their year-round marketing strategies. They also need to launch new products to appeal to a new generation of consumers, especially younger shoppers and older adults.

According to the National Bureau of Statistics, in the January-September period, total retail sales of consumer goods reached 32.03 trillion yuan, up 0.7 percent year on year. Online retail sales rose 4 percent year on year to 9.59 trillion yuan in the first nine months. E-commerce has further demonstrated its role in driving consumption growth.

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