HANGZHOU, China (Reuters) – Chinese e-commerce giant Alibaba Group Holding Inc. said Monday that revenue in its annual Singles’ Day shopping blitz to hit at 84 billion yuan ($12 billion) in the first hour, which is an increase of 22% compared to the previous year, the front end of the pull out of 69 billion yuan.
The logo of Alibaba Group is seen during Alibaba Group’s 11.11 Singles Day a global shopping festival, at the registered office of the company, in Hangzhou, Zhejiang province, China, on November 10, 2019. REUTERS/Aly Song
Closely related to the Black Friday and Cyber Monday in the United States, Singles’ Day has been promoted as an online shopping fest by Alibaba’s Chairman and CEO, Daniel ” Zhang, since 2009, is growing rapidly to become the world’s biggest online sales event.
Also known as the “Double-Eleven”, the festival’s name is derived from the calendar date of 11/11, with four of those point to the single from the album.
Alibaba saw its revenue up to the value of $30 billion, and the platforms on Singles Day last year, dwarfing $7.9 billion, U.S. online sales for Cyber Monday. However, the 27% increase in sales was the lowest in the case of a 10-year-old history, which is a search for fresh ideas.
Of the $486 billion, the Chinese retail juggernaut kicked off this year’s 24-hour-long festival, with performances by American pop star Taylor Swift and local celebrities such as the Jackson and Yee.
Sales hit $1 billion within the first one minute and eight seconds in, Alibaba said. The first Day was one of the top trending topics on China’s Twitter-like Weibo platform on a Monday morning, and users to discuss what they’re paid to.
Alibaba has said that it is expected that more than 500 million registered users, in order to take part in the shopping festival of this year is about 100 million more than in the previous year.
This is the first time that Alibaba’s Singles’ Day is not a flamboyant co-founder Jack Ma at the helm after he resigned in September as chairman and ceo.
It also comes at a critical time for the company, which is looking to raise up to $15 billion in a share sale in Hong Kong this month.
Alibaba continues to dominate the online-shopping industry, but it is not without competition.
In addition to long-time rival JD.com it is now in the face of competition from upstart Pinduoduo, which has increased in popularity and, in 2017, is aimed at consumers in China’s lower-tier cities.
(This story corrects the first period, sales of 84 billion yuan ($12 billion), not to 91.2 billion yuan ($13 billion), which corrects up to 22% and not 32%.)
Reporting by Josh Horwitz, in Beijing; Additional reporting by Brenda Goh in Shanghai; Editing with the ipad, Himani