Alibaba has achieved another record with its “11.11 Global Shopping Festival” (also known as Singles’ Day), but sales growth has slowed down to 8 %. However, according to the Chinese e-commerce giant, this is not a bad thing as this edition was mainly focused on sustainability and green products.
Alibaba closed the event, which has now grown into an eleven-day shopping fest, with a gross trade volume of 73.8 billion euros. That is a new record, but growth was limited to 8 % – the lowest in years. According to Dutch website Emerce, this was partly due to the lower economic growth in China. In addition, competition from other companies also increased, partly because the Chinese authorities took measures against Alibaba’s dominant position.
Alibaba itself points to the event’s broader objectives: Chief Marketing Officer Chris Tung emphasised that the festival goes beyond mere sales and that it can also play a role in building future consumption. “11.11 is about how to best leverage Alibaba’s latest technology to support brands and merchants in driving sustainable and inclusive growth in more efficient ways,” he said.
Singles’ Day was focusing on sustainability this year: environmentally friendly products were placed in the spotlight and Alibaba handed out 100 million yuan (14 million euros) in green vouchers to encourage sustainable purchases. 2.5 million shoppers have opted for green products during the last edition of 11.11, although that is just a tiny part of the 900 million (!) Chinese who, according to Alibaba, participated in this year’s Singles’ Day.