Workers of Alibaba retail websites Tmall and Taotao cheer for their marketing extravaganza, the Singles Day sale event at Alibaba headquarters yesterday in Hangzhou. (Photo/Xinhua)
Chinese consumers will be filling their online shopping carts with everything from clothing to toothpaste today during the world's biggest single retail sales event.
It's Singles Day, a folk holiday said to have originated at Nanjing University in 1993 as a day for unmarried people to get together and party. The date — the 11th day of the 11th month — has four "ones" symbolizing singles.
It was a rather innocuous day until e-commerce giant Alibaba turned it into a marketing extravaganza seven years ago.
What started as a 24-hour sale with 50 percent discounts and promotions has exploded into a marketing blockbuster stretching beyond just one day and even beyond China's borders.
In last year's Singles Day, Alibaba retail sites Tmall and Taobao attracted online orders valued at 57.1 billion yuan (US$9.05 billion), setting a one-day world sales record.
Alibaba has rebranded its Singles Day event as the Global Shopping Festival as it seeks to draw in more international merchants and shoppers. Indeed, the success of Singles Day is fostering whole new trends in online commerce strategy.
"Although price is still the most important factor in online shopping decisions, its importance is waning and brands need to provide better service and purchasing experience," said Siew Ping Lim, CEO of media agency Zenithmedia China.
She said vendors should not forget the social aspect of Singles Day and should provide ways for friends to share the joy of shopping.
Zenithmedia's research shows that most consumers don't focus on specific products during sales events like Singles Day. Instead, they have a rough idea about product categories that might interest them. That means vendors need to work harder to attract potential buyers.
And as buyers do their homework about price and quality, sellers have to stay one step ahead.
"I think it's everyone's nature to look for good deals during such a massive shopping festival," said Shanghai college graduate Rachel, who asked that her surname not be used.
She said she found the discount price of a Japanese shampoo on Tmall's flagship online store close to the price available in local cosmetics and personal care chain stores.
"I ask around with my friends to find out what discount items are worth buying," she added.
New brands
More than one third of consumers surveyed said they are willing to try new brands, signaling the importance of offering samples.
Hangzhou-based social commerce application Mogujie has teamed up with Japanese personal care and cosmetics review website Cosme to introduce customized cosmetics packages for shoppers ahead of the Singles Day event.
