E-commerce giant Alibaba has reported a 27 per cent increase in the gross merchandise value of goods sold during yesterday’s 11.11 shopping festival.
Total GMV of Singles Day sales settled through Alipay reached RMB213.5 billion (US$30.7 billion), setting a much-anticipated record – with more than 40 per cent of consumers buying through international brands. Last year’s event brought in $25.3 billion in GMV.
According to Alibaba, RMB6.9 billion ($992 million) of GMV was settled in the first one minute and 25 seconds, and RMB69.3 billion ($9.967 billion) in one hour and 48 seconds.
Comparatively, Amazon’s recent Prime Day sales were estimated to have reached approximately US$4.2 billion by Wedbush Securities analyst Michael Pachter, according to Bloomberg.
Australia, Japan, the US, South Korea and Germany were among the top countries selling in the event, with 230 markets having participated.
Australian supplement retailer Swisse ranked as the top brand imported into China through the promotion.
“Today we witnessed the strength and rise of China’s consumption economy, and consumers’ continued pursuit to upgrade their everyday lifestyles,” Alibaba Group CEO Daniel Zhang said.
“Participation from the entire Alibaba ecosystem enabled our brand and merchant partners to engage with consumers like never before.”
According to Texas A&M University’s Professor Venkatesh Shankar, customers globally want to buy both online and in-store, from any device and through any payment method, while getting a high level of customisation and service.
Singles Day’s popularity across the world suggests a new chapter of computer-enhanced shopping experiences has begun, Shankar wrote in The Conversation.
As the Chinese middle-class grows, retailers around the world are offering their own Singles Day offering in order to service a burgeoning market.
“The global retail market is adjusting to China’s rising economic power, and Chinese customer’s desire for AI-enhanced mobile shopping experiences,” Shankar wrote.
This story first appeared on our sister site Inside Retail Australia.