Alibaba's Single's Day 2020 shopping festival surpasses RMB350 billion

Alibaba's Single's Day 2020 shopping festival surpasses RMB350 billion

It sees everything from fresh food to luxury goods go on sale, and Alibaba hosts celebrity music events - Katy Perry performed this year - while platforms offer mini games for consumers to play while they shop.

The running total announced by the company shortly after midnight showed the event was already 16 times bigger than United States online retailer Amazon's Prime Day last month.

Alibaba's Singles Day sales were over $74 billion, the Chinese retail giant reported shortly after midnight local time, which translates into a massive logistics operation for delivery.

Alibaba (9988.HK) has seen over $56bn (£42.2bn) in orders made through its e-commerce sites during its Singles' Day shopping event, the company announced on Wednesday.

It's great news for merchants that have been seeking to rebound after the impact of this year's global pandemic, and puts away fears that people will be less interested in spending following the challenges of the year.

As of 12:30 a.m. local time (1630 GMT) on November 11, GMV had surpassed 372.3 billion yuan ($56.3 billion) with orders peaking at a record 583,000 per second, Alibaba said.

The shopping extravaganza comes amid China's economic rebound after the coronavirus pandemic, while the USA and Europe continue to struggle to contain the spread of the disease, with border closures and further lockdowns across the world.

Started to celebrate being single in China, Singles' Day always falls on November 11 because the date 11/11 represents four singles standing together. Other companies such as Douyin - the Chinese version of Beijing ByteDance Technology Co Ltd's TikTok - JD.com Inc and Pinduoduo Inc are also holding their own Singles Day shopping events.

This year, USA singer Katy Perry appeared at Alibaba's gala, albeit via livestream. Regulators cited "major issues" that might cause Ant "not to meet the listing conditions or disclosure requirements".

Singles' Day has quickly become the biggest online shopping event in the world. And recent criticism of the annual event by government groups and state media could signal that Ma is still out of favor with Beijing. "This actually stimulates online consumption".

"We were very pleased with the results from Singles Day /Double 11 sale which shows the strong demand for our products in China", a Blackmores Spokesperson told nine.com.au.

"Single's Day" originally focused on sales of certain items like beauty products and electronics, said Melanie Sanders, Asia-Pacific head of retail for consultancy Bain & Company.

"Consumers don't care, honestly", he said, adding that while financial markets might be paying attention to the drama, consumers will think that "as long as I get a good deal, it's none of my business".

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