Alibaba stays quiet on 11.11 results as sales growth slows
Alibaba’s annual shopping event 11.11 Singles Day has concluded for another year with the ecommerce giant failing to report the sales result.
Alibaba remains tight-lipped on sales results for its annual 11.11 shopping extravaganza
An Alibaba press release stated the event “delivered results in line with last year’s GMV performance despite macro challenges and Covid-related impact.” However, it did not disclose the GMV numbers, a first for the business.
Last year’s event reported RMB 540.3 bn ($76.1 bn), which was an 8.5% increase in sales on the previous year –the event’s lowest-ever growth rate.
More than 290,000 brands from 90 countries and regions participated in the shopping extravaganza, which included an 11-day pre-sales period. The annual sales event, now in its 14th year, is viewed as a bellwether for the Chinese economy and global retail trends.
The event was forecast to see a decline in growth as Chinese consumers tighten purse strings in response to uncertain economic times.
Alibaba shifted its strategy to long-term growth through loyalty programs and memberships to address the drop in consumer confidence among Chinese consumers.
Alibaba reported significant increases in sales through memberships during the presale period, with 4,000 brands recording the GMV generated from their members more than doubled year-on-year.
More than 130 brands surpassed RMB100 million in member-generated GMV for 11.11 sales. Over 300 million consumers watched live-streaming sessions on Taobao Live during the sales event, with influencer and merchant-run live-streaming channels surpassing RMB100 million in GMV.
Chui Xue, President of Industry Development and Operation Center of Taobao and Tmall at Alibaba Group, said the event showcased “the resilience and vibrancy of China’s consumption sector”.
“Our priority for this 11.11 was to enhance certainty for our merchants’ operation. We are pleased to have helped our participating brands and merchants accumulate new loyal customers during the festival, which will serve as a strong foundation for their sustainable operation. We are also encouraged to see an emergence of new consumption trends with huge untapped potential. We will continue to innovate and strengthen our capabilities to provide our merchants with reliable opportunities for long-term growth and make concerted efforts to meet consumers’ evolving needs.”