singles day 2017

It was predicted to be the biggest online sales event ever and Singles’ Day 2017 didn’t disappoint.

Singles’ Day sales exceeded all expectations this weekend, with Alibaba announcing the event generated $25.3 billion USD GMV. That’s 39% above last year’s $17.8 billion USD, making it the single largest online sales day in history.

By comparison, U.S. online retail events such as the upcoming Black Friday and Cyber Monday drew in a record $3 billion USD and $3.25 billion USD in sales respectively last year.

The sheer amount of online orders is staggering: 812 million versus 657 million last year, up 23%, which is around 325,000 orders per second, and approximately 1.5 billion payment transactions in total.

An impressive $7 billion of goods were sold in the first 30 minutes of the day and last year’s $18 billion total sales record was smashed after just 13 hours of sales on 11.11.

If it looks like the 2017 11.11 Global Shopping Festival was all about shattering last year’s record, Alibaba CEO Daniel Zhang says 11.11 is about much more to the group than GMV and huge figures:

“I’ve talked with a lot of brand partners, and all of them recognize the importance of good sales. But more importantly, they know 11.11 isn’t just about sales. It’s about consumer engagement and brand-building… Success on 11.11 comes because every participant contributes the best resources, the best products and the best services to customers on that day"

Another key metric on Singles’ Day was mobile – 90% of sales were made on mobile devices, up from 82% last year, and 69% in 2015.

Considering Asia’s low internet penetration rate of 50.7%, Singles’ Day figures look like they will only continue to increase year on year as more consumers in this region log on.

eShopWorld Insight:

Retailers who want a slice of the action in Asia cannot do so without thorough research and investigation. They need to understand the market they are selling into, and where the real opportunities are for the brand to grow. Key information around market size, average spend per shopper and growth forecasts, as well as understanding of cultural and local nuances will drive success in the southeast Asia market.