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14 November 2017, 12:35 | Jan Cross
China e-commerce laws
As for the USA retailing equivalents just after Thanksgiving, for years the sales figures in China on Singles Day have blown past the totals of Black Friday and Cyber Monday combined.
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At least 331 million packages were handled by Chinese postal and courier companies, 31.5 percent more than the same day a year ago, according to the State Post Bureau.
Singles' Day is an annual 24-hour buying frenzy that takes place in China on November 11.
Chinese e-commerce giant Alibaba, who created the event in 2009, took in 66 percent of the total with sales of US$25.3bn on November 11.
While U.S. retailers are preparing for the usual discount sales around Thanksgiving, there was a huge shopping event over the weekend in China. Total mobile GMV settled through mobile payments platform Alipay accounted for an astounding 90% of total GMV, compared to 82% previous year.
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On Saturday, Chinese shoppers celebrated their romantic independence by spending more than $25.3 billion on Alibaba's e-commerce site during "Singles Day". "The Singles' Day Gala combined entertainment, shopping and interactive involvement and that is why it is such a unique success". Looking ahead to the third fiscal quarter for 2018, the analyst forecasts China Retail revenue will grow 45% year-over-year, experiencing overall revenue gains of 44% compared to the 54% seen in the third fiscal quarter of the year before.
In the beauty products segment, the company sold 55 million facial masks, while sales of L'Oreal products were three times as much as a year ago. Singles Day also heavily used streamed video as a marketing and promotional tool and live streaming video is becoming ever more central to its marketing strategies.
For comparison, merchants pulled in a record $3.34 billion on Black Friday and $3.45 billion on Cyber Monday in 2016, according to Adobe Digital Insights.
To connect a 10th of China's six million convenience stores to the internet, Alibaba uses an app called Ling Shou Tong, meaning "connect retail".
At just past the halfway mark, the headline gross merchandise volume swept past last year's dollar total just shy of $18 billion.
Alibabasaid more than 140,000 brand and merchants participated, its payments platform, Alipay, processed 1.48 billion transactions and its logistics provider Cainiao Network processed 812 million total delivery orders.
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