Product debuts, livestreaming powered
marquee Tmall, Taobao first-half event
Alibaba Group’s (NYSE: BABA) Taobao and Tmall shattered multiple
records during this year’s “6.18 Mid-Year Shopping Festival,”
sating a rising demand from consumers in less-developed cities for
quality products.
This 6.18 was the most-inclusive ever, with over 200,000 brands
taking part. Innovative marketing campaigns and tools provided by
Alibaba’s core platforms during the 18-day campaign helped more
than 110 brands each generate gross merchandise volume in excess of
RMB100 million.
Flash sales channel, Juhuasuan, which aids brands in attracting
new customers via discounts, added over 300 million new consumers.
More than 180 products topped RMB10 million in sales, and 4,700
products achieved sales of over RMB1 million. It was a
record-breaking number for brands’ participation in Juhuasuan.
Popular among brands of all sizes, Taobao livestreaming helped
generated GMV of more than RMB13 billion.
“The results of the ‘6.18 Mid-Year Shopping Festival’ are
encouraging. It has proven to be a celebration that can match the
enthusiasm and scale of the ‘11.11 Global Shopping Festival.’ More
than 100 brands achieved a new sales record that surpassed the
result from last year’s 11.11,” said Jiang Fan, president of Taobao
and Tmall.
“We are very pleased to see that our strategy to help brands
penetrate the less-developed markets has paid off. Customers in the
emerging cities are very receptive to innovative products and
promotion campaigns such as programs on the Juhuasuan platform. The
number of customers and GMV from third- to fifth-tier cities both
hit 100% growth. We believe this group of customers will continue
to grow into a strong and sustainable force for brands who are
looking at further developing the Chinese market,” added Jiang.
Less-Developed Regions: New Emerging Growth Engine
With an increase in discretionary income, consumers in China’s
less-developed areas are quickly becoming a crucial driver of
China’s solid consumption. These consumers were a main engine
powering this year’s 6.18 Shopping Festival. According to Tmall,
48% of the newly launched products on the platform during the event
were purchased by customers outside first- and second-tier
cities.
Demands and preferences from lower-tier city consumers were
diverse, ranging from high-end electric products from Apple to
imported fruits, such as durian from Malaysia, and daily
necessities, including socks and toothbrushes.
Tmall’s Luxury Pavilion sales more than doubled from last year,
boosted by customers in emerging cities and shoppers born after
1995. Premier brands hit better-than-expected results. Sales of
Versace jumped 20 times compared with last year.
Sales generated from consumers in third- and fourth-tier cities
on cross-border trade platform Tmall Global increased by 153% from
a year before. The top five countries on Tmall Global were Japan,
the U.S., South Korea, Australia and Germany.
Cities outside the first- and second-tier were among top-10
growth cities in this year’s 6.18 Mid-Year Shopping Festival.
Top-tier cities continued to register strong sales. The overall
top-10 cities in terms of GMV were Shanghai, Beijing, Guangzhou,
Shenzhen, Hangzhou, Chengdu, Chongqing, Suzhou, Wuhan and
Nanjing.
Powered by Cainaio, Alibaba’s logistics arm, customers in 354
cities in China were able to enjoy same-day delivery during this
year’s 6.18 Mid-Year Shopping Festival.
Innovative Marketing to Widen Touchpoints
During this year’s 6.18 Mid-Year Shopping Festival, Taobao and
Tmall leveraged a suite of Alibaba technologies to help brands and
merchants increase and deepen engagement with consumers across the
country.
Merchants from a wide variety of product categories, ranging
from apparel and cosmetics, to consumer electronics and food, used
Taobao livestreaming as an effective channel for consumer
engagement. Compared to 2018, the number of livestreaming sessions
hosted by brands increased by more than 120%. Some of the brands
debuting with livestreams included Puma, Decathlon, Crocs and
Casio.
Alibaba’s dedicated market research arm, Tmall Innovation
Center, also used data intelligence to help brands curate and
develop new products that best appeal to Chinese consumers. During
the shopping event, Nestle introduced a new fruit-flavor coffee,
which sold 44,000 packs in two hours.
This year, Taobao’s Daily Deals, a channel which allows
consumers to ordered customized products straight from the
manufacturers, generated over 420 million orders. With Alibaba’s
proven big data and IoT technology, Daily Deals has effectively
digitized and upgraded the manufacturing industry by initiating a
direct manufacturer-to-consumer model.
About Alibaba Group
Alibaba Group’s mission is to make it easy to do business
anywhere and the company aims to achieve sustainable growth for 102
years.
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version on businesswire.com: https://www.businesswire.com/news/home/20190619005862/en/
Claire Zhao Alibaba Group +852 6685 9151 yanan.z@alibaba-inc.com
Xiaoyi Shao Alibaba Group +86 18658170996
shaoxiaoyi.sxy@alibaba-inc.com
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