SHANGHAI, HANGZHOU, China (Reuters) – Chinese shoppers choose to dietary supplements, face masks, and infant milk powder on the world’s biggest shopping festival, with brands such as L’oreal (OREP.PA) and Nestle NESN.One of the biggest winners, Alibaba (BABA).(N), the data showed.
The Chinese e-commerce giant’s annual Singles’ Day shopping promotion on Monday revealed a record of 268.4 billion yuan ($38.38 billion) in sales, more than six times the amount of online sales in the United States on Black Friday of last year.
It all started at this year’s 24-hour shopping bonanza, with a live performance by AMERICAN pop star Taylor Swift, to be followed by a live-stream of marketing that are more than 1,000 brands.
Alibaba said on Tuesday that the 299 brands, has surpassed 100 million yuan in gross merchandise value, including LVMH’s (LVMH.PA] by Givenchy, home appliance manufacturer, Dyson and Philips (PHG.AS and sports apparel-maker Under Armour (allowed to operate.(N).
For fifteen marks, made up of more than 1 billion yuan in sales, he said. These have been incorporated, Huawei Technologies and Apple (AAPL.R), Nike (NKE.(N), Xiaomi Corp (1810.HK) and Fast Retailing’s (9983.T) Uniqlo.
Dietary supplements were the most popular imports, but sales of make-up, eyes, and the face wash was too strong.
With the growth of the annual shopping festival and, this year, eased to 26 per cent, the lowest since the event started in 2009, is a reflection of how e-commerce sales in China are slowing down.
FILE PHOTO: People have to look at the state of the Nestle’s promotion of baby food, NAN infant formula products for pregnancy and infant industry exhibition in Beijing, China, on July 25, 2013. REUTERS/Stringer/File Photo
Analysts, however, said that the growth had beaten expectations, said that more aggressive promotion, with a focus on attracting more customers from the rural areas to the cities, towns, and even the overall slowdown in the economy could be helped if people wanted to buy goods at a reduced price.
Citic Securities, predicted that there will be a 20% to 25% expansion, as well as Daiwa Capital Markets, had an estimated 23%.
“What’s happened is, is that it is not too much of a consumer this year is a little bit more careful about their purchases, because the economy is slowing,” said Ben Cavender, a director of consultancy China Market Research Group.
“I think this year in particular, people were kind of waiting on Singles’ Day, and it’s kind of you to wait for a number of medium-sized purchase, which they are not willing to pay the full price for it.”
The event, which is being replicated within the country and abroad, including among others, the Singles’ Day promotions can find in rivals such as China’s JD.com (JD.).And Pinduoduo (PPD.O) and South Korea’s 11thStreet and for Singapore, Qoo10.
JD.com to start with, the sales campaign on Nov. 1, said ” the transaction volume is exceeded, 204.4 billion yuan, over the short period of eleven days.
Uniqlo’s owner, Fast Retailing, said the event will also be a huge boost for the visit to the physical stores, it has around 700 in China, and to add to that, the Heattech thermal underwear, Ultra Light Down jackets were among the most popular ones.
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(IMAGE: A peek at Alibaba’s Singles’ Day shopping event is here).
(IMAGE: Alibaba’s Singles’ Day sales here).
Reporting by Brenda Goh in Shanghai and Josh Horwitz in Beijing; Additional reporting by Sophie Yu in Beijing, and Ritsuko Ando in Tokyo; Editing by Christopher Cushing