With Black Friday and Cyber Monday approaching, it will be interesting to see if consu
mer spending follows recent patterns. China’s Singles’ Day on November 11 could offer a glimpse into this trend.
On Tuesday the 12th, I read an article from the Associated Press titled, “Singles’ Day Shopping Festival Loses Its Shine Under China’s Lagging Economy.” The article noted that this year, both businesses and consumers found Singles’ Day less appealing due to a slowing economy, prompting e-commerce companies to seek growth in overseas markets.
A key reason for this is growing skepticism among Chinese consumers, who feel that discounts are often misleading, with some sellers inflating prices before applying “discounts.” Reflecting this sentiment, e-commerce platforms have stopped sharing total sales figures since 2022. Growth has slowed, with gross merchandise volume estimated to have risen only 2% in 2022. In other words, while exact numbers aren’t available, it’s likely that sales are down significantly from last year.
I personally think this trend may signal a broader consumer shift. Discounts and deals are increasingly becoming the norm rather than the exception, which could make the usual “Black Month” hype feel less enticing.
In just two weeks, reports from major e-commerce platforms and big retailers will shed more light on how these dynamics are playing out.
I’ll close by expressing my fascination that Singles’ Day—a major consumer spending event—was entirely created by a single company, Alibaba.
Alibaba introduced Singles’ Day, also known as “Double 11,” on November 11, 2009, with deep discounts aimed at boosting consumer spending. Originally a one-day event, it has grown to include other e-commerce giants in China, like JD.com and Pinduoduo, and now reaches international markets. Once a single-day event, Singles’ Day now begins weeks in advance, with even brick-and-mortar stores participating to attract shoppers. The festival has become a key indicator of consumer sentiment.
#ConsumerTrends #HolidayShopping #Ecommerce #BlackFriday #SinglesDay #AliBaba