The festival’s sales growth this year was estimated to be lower than previous years. Alibaba reported its gross merchandise value (GMV) was same as last year’s, While JD.com only mentioned that its GMV hit a record. However, sales from up-and-coming products and specific customers showed strong growth.
Stable sales performance
Despite the on-going effects of COVID in China, the key players achieved similar sales as last year. Alibaba reported its gross merchandise volume (GMV) was in line with the last year’s value CNY540.3 bn (US$84.5 bn), while JD.com only said its GMV surpassed previous year’s value of CNY349.1 bn (US$54.6 bn).
Wider product range and sales network
More brands and merchants participated in this year festival. Alibaba partnered with more than 290,000 brands from over 90 countries and regions, to offer more than 7,000 product categories. JD.com connected to 3.67m offline stores in China, with its on-demand retail covering nearly 400 cities nationwide.
Strong growth in nutrition, pet products and ready-to-cook meals
In 2022, shoppers not only spent money on beauty and consumer electronics as usual, but also purchased more on nutrition, pet products, and ready-to-cook meals. JD.com reported these categories' sales were double those seen last year.
Growing sales from members and low-tier shoppers
Alibaba reported that over 5,600 brands saw their member-generated GMV more than double compared with the first four hours of last year’s second check-out on 11 November. JD.com indicated that its basket size from new lower-tier market consumers rose 12% year-on-year.
Realising sales with livestreaming and virtual idols
Livestreaming is a powerful tool to promote products, engage with shoppers and convert consumer needs to sales. More than 300m consumers have watched livestreaming sessions hosted on Alibaba's Taobao Live since the presale period. Besides, more brands deployed virtual idols during 11.11, part of a broader push to attract China’s digitally native and novelty-seeking younger generations.
Lastly, the festival is beneficial for new suppliers because it increases brand awareness and gives opportunities to gain experience in China with little investment.