According to a report by Reuters, Chinese consumers tended to opt for relatively inexpensive domestic brands rather than more expensive ones on this year’s Singles Day (Nov. 11), as strict Covid-19 restrictions and economic uncertainty weighed on the shopping spectacle. The shopping day regularly surpasses “Black Friday” and “Cyber Monday” combined. Last year, it generated a gross merchandise value of RMB 540.3 billion ($84.54 billion at the time), according to Alibaba.
Throughout the duration of the “11.11 Shopping Festival” 2022 from the evening of Oct. 31 to Singles Day, more than 2,000 items with sales of more than $1.4 million each were sold on the Tmall marketplace, more than half of them Chinese brands, according to data from Alibaba Group Holding Ltd.’s platform. Singles Day sales matched last year’s, the company said, when gross merchandise value rose 8.5 percent – the lowest since the shopping event was introduced in 2009. And most likely the reason why Alibaba did not disclose detailed sales figures for the very first time.
The shopping festival, which has evolved from a one-day online event to a long shopping extravaganza, is considered a barometer of consumer sentiment in China. This year’s best-sellers included Chinese home appliance manufacturers, but also the Chinese sportswear brand Anta and U.S. brand Nike, Alibaba said. According to data from market research firm YipitData on the pre-event period, when shoppers can make down payments on items, home appliances outperformed other categories, while apparel was the worst performer. However, ”this year’s 11.11 demonstrated a strong growth momentum in categories including sports and outdoors,” Alibaba wrote in a press release.
Alibaba rival JD.com also said Chinese brands accounted for 80 percent of sales of its top 20 brands. JD.com is particularly strong in high-end consumer electronics such as computers and smartphones, where Chinese manufacturers have long dominated the local market. As for sporting goods, JD.com only revealed that camping sales were strong “as the outdoor trend continued,” according to Reuters.
