Alibaba breaks its own record on Singles’ Day
Alibaba Group Holding is the master in the online retailing industry. The company is known for owning and operating various online marketplaces which generates major chunk of the revenues for the company. As the holiday season is approaching, most online retailers are pumped to do heavy business during the time but the Chinese tech giant does not focus more on the holiday festivals such as Black Friday or Thanksgiving but it puts emphasis on its own holiday festival, Singles’ Day.
Singles’ Day falls on November 11 every year which is usually dedicated to all the singles living in China. And every year, the company breaks its own record, for fun, and makes huge sales in one day. Hence now Singles’ Day is known as the biggest online shopping event of the year. Once again, the company has broken its own record on this day where by the close of trade, Alibaba Group recorded sales worth at a massive $14.3 billion (91.2 billion Yuan; £9.4 billion). The sales were increased by 60 percent if compared from last year’s Singles’ Day.
Furthermore, if this day is compared to the biggest online shopping event in the United States which is Cyber Monday, it recorded sales worth at $1.35 billion. As BBC reports, “Singles Day has grown tremendously since Alibaba began promoting it as a shopping day in 2009, and now includes many retailers such as rivals JD.com that stage sales promotions.” The company stated that more than 40,000 sellers and nearly 30,000 brands from 25 countries will be available for purchase on its various online marketplaces this year onwards.
The Chief Executive of the company, Daniel Zhang, stated that on this day the world can easily witness the power of Chinese consumption on Singles’ Day. He also made a promise to the online shoppers that it will give a new surprise every hour throughout the day and this was specifically made for the mobile users of its apps.
An analyst at market research firm Euromonitor International, Fangting Sun stated “[It’s] not only due to the wide choices and competitive prices, but also the heavy marketing campaigns especially the successful gala evening which invited lots of famous entertainment stars.”
She further added that the tech sector of China is now a huge market with almost one billion smart connected devices.
Alibaba stock was down 1.99% to $79.81 at market close on Wednesday November 11.