Alibaba Singles Day Sales to Climb 40% this Year - eMarketer

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Alibaba Singles Day Sales to Climb 40% this Year

Singles Day sales revenues in 2015 quadrupled those of Cyber Monday

November 4, 2016 | Retail & Ecommerce

Rejoice, consumers and retailers alike: Singles Day is approaching again. Alibaba alone is expected to rake in $20 billion on November 11, the biggest ecommerce sales day of the year. Sales at Alibaba have grown significantly every year since 2011, when it brought in less than $1 billion, and Singles Day now massively outstrips both Black Friday and Cyber Monday.

Alibaba's Ecommerce Sales During the 11/11 Online Shopping Festival* in China, 2011-2016 (billions)

The November 2016 report from Fung Business Intelligence Center (FBIC), reveals that there will be 40% growth in Singles Day sales at Alibaba this year, up $5.7 billion from 2015’s $14.3 billion. But it’s not just that Singles Day encourages spending and sales—there are plenty of days around the world that do just that. It’s that the spending is so much higher than any of those other days.

In 2015, for example, on Black Friday Alibaba netted $1.7 billion, and Cyber Monday’s online sales total hit $3.1 billion—not exactly pocket change. But Singles Day online sales on Alibaba were more than quadruple those on Cyber Monday, and Black Friday online sales figures were less than 1/10 of Singles Day sales.

And a JDA and Centiro survey conducted by YouGov in February 2016 provides insight on how to encourage impulse purchases during Singles Day.

Marketing/Promotional Tactics that Led Digital Buyers in China to Make an Impulse Purchase During the 11/11 Online Shopping Festival* in 2015, Feb 2016 (% of respondents)

The majority of respondents cited coupons, but about one third also said time-sensitive deals, alerted via an app or email, caused them to make an impulse purchase. About 30% also cited ads on the homepages of ecommerce sites.

So simple tactics like coupons, short-term deals and even just advertising on homepages can help retailers reach FBIC’s projection for this year.

Last year, Alibaba reported shipping 468 million Singles Day orders, nearly 70% of which were transacted via mobile. The vast majority of digital buyers in China planned to shop during the promotional event, just as they had the previous year.

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