This year’s Double 11, China’s largest shopping season, has shown some new trends.
China’s annual “Double 11” shopping festival kicked off especially early this year. When celebrated in the first years after its creation in 2009, it was a frenzied orgy of consumption. Monday marks the final and most critical day of the shopping spree.
Here are some highlights and shifts shaping this year’s shopping season.
The adoption of AI tools
According to PwC’s Voice of the Consumer Survey, Chinese consumers are more trusting toward the technology compared with the global average level. They prefer using Al capabilities for providing product recommendations, customer service, and financial transactions.
Bain & Company’s latest survey of over 500 merchants trading on China’s giant ecommerce platforms also shows as many as 52 percent have used at least one generative AI-enabled tool.
China’s prowess in e-commerce and research, coupled with unusually high consumer trust in AI, suggests the new technology could grow rapidly in the Chinese retail scene, it noted.
“It is vital that Chinese retailers deepen their customer engagement. AI tools can energize customer retention efforts, enabling e-commerce players to hyper-personalize their engagement with consumers and create bespoke shopping experiences for them,” said James Yang, head of consulting firm Bain & Company’s Greater China retail practice.
Up to 20% discount
Sales of home appliances and computers increased tremendously compared with the same period last year. This growth was fueled by China’s trade-in program, government subsidies, and vouchers and discounts launched by e-commerce platforms.
Chinese consumers get up to 20 percent discount on a wide range of commodities. Tmall reported an 18 times increase in refrigerator sales on Oc 14 compared to the same period last year.
Mr. Liu, a Gen-Z Hangzhou resident in eastern China’s Zhejiang Province, purchased a Xiaomi TV he had long had his eye on. “It would have cost 4,599 yuan (about 640 U.S. dollars). But I only paid 2,799 yuan, with Tmall’s ‘Double 11’ discount and the 699 yuan trade-in subsidy,” he said. “It’s a real bargain.”
A global celebration event
As this year’s “Double 11”, Taobao and Tmall added four countries, including Japan, Thailand, Vietnam and Cambodia, to their brand-new global free shipping program.
The program, initiated in July, covers various countries and regions, including Singapore, Malaysia and South Korea. The program waives the shipping fees for orders over a certain amount.
During the first phase of Tmall’s “Double 11” sales, nearly 70,000 merchants participating in its overseas growth plan saw their transactions double.
Mr. Huo, a Chinese national now living in Osaka, Japan, found himself relying on Chinese e-commerce platforms. He joined the “Double 11” by buying books and taking advantage of the free cross-border delivery services.
“I still prefer buying on Chinese e-commerce platforms for commodities like phone cases or clothing. I have a dizzying array of choices at much cheaper prices there.” he said.
Written by Liu Sha, additional reporting by China Daily, CGTN and Xinhua.
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