(Yicai Global) Nov. 13 -- Just three minutes after midnight on Double-11, also known as Singles' Day in China, which falls on Nov. 11, sales turnover on Tmall and Taobao, trading platforms owned by China's e-commerce giant Alibaba Group Holding Ltd [NYSE:BABA], hit the CNY10 billion (USD1.5 billion) mark. One hour later, the turnover climbed to CNY57.1 billion, five hours faster than the figure reached last year, DTimes, the big data media under SMG(Shanghai Media Group), reported.
At 09.49 a.m., spending by Chinese consumers has already broken last year's CNY120.7 billion record. Starting from the first second of Double-11 this year, consumers' purchasing power has created a large gap compared with last year. Eventually, turnover on Double-11 this year registered a staggering figure of CNY168.2 billion. It may even be higher than next year.
What Does CNY168.2 Billion Really Mean?
The numbers are too abstract. To make it more understandable, some comparisons may be fitting. If you have been stunned by last year's record CNY120.7 billion Singles' Day sales volume, which exceeded the annual gross domestic product of southwest China's Tibet autonomous region, then this year's CNY168.2 billion would be enough to give each Beijing citizen an iPhone X.
It represents unstoppable online shopping enthusiasm on the part of China's consumers.
Double-11 shopping festival has been held for nine years. With the rising transaction volume, the enthusiasm for consumption has already extended from the first- and second-tier cities to the whole country and even the whole world.
But no matter how to expand, the eastern provinces of Jiangsu and Zhejiang and Shanghai municipality region in China's Yangtze River Delta has always remained in the leading positions. As of 6 p.m. on Nov. 11, Jiangsu, Zhejiang and Shanghai ranked second, third and fourth in terms of provincial and municipal turnover, second only to the populous southeastern province of Guangdong. In the top 10 cities in terms of turnover, the region also took four spots.
Economic power determines the spending power, which is most obviously manifested in terms of county. In the top 10 counties in terms of turnover, the county-level cities in Jiangsu, Zhejiang and Shanghai occupied eight spots.
In Competition for Hot Sale Products, the Old Brands Lost to New Ones
Some 15 million products from 140,000 brands at home and abroad joined the sales bonanza on Double-11 this year, but the winners were ultimately selected by consumers.
Compared to industry TOP5 selling brand list in 2017 and 2016 released by Alibaba we can see that Dyson, a home appliance brand from the UK and Aptamil, a German high-end milk powder brand, and other new brands were on the list this year, while the old, known brands such as Supor, a Chinese cooking ware brand and Aokang, a footwear brand, disappeared from the list.
Home-made Products Still Shine
The popular Chinese men's wear brand HLA's one-minute turnover hitting CNY100 million was not accidental on Double-11 Day. Among 62 brands that hit CNY100 million sales in one hour, local brands accounted for more than 60 percent.
Even though Apple and Dyson were hot products during the shopping hype and that many shoppers are accustomed to overseas online shopping and luxury goods, TOP10 hot sales brand lists in 14 industries, which Alibaba released, domestic products were most favored by online shoppers, with the number of home-grown brands on the list hitting 90, far more than overseas brands (50).
Specific to the category, domestic products had full advantage in food, mobile phones, furniture, and appliances while they were weaker in beauty products, luggage and shoes.
DTimes and Yicai Global both belong to China's largest financial news group Yicai Media Group, which during the past 13 years has led the development of China's financial media in radio, television, newspaper, journal, news service, new media, business data mining and research.