JD.com’s 2023 Singles Day smashes transaction, order and engagement records

Expert insight: JD’s Procurement and Sales Managers transitioned from behind-the-scenes roles to embracing the public limelight in a highly successful livestreaming programme
Key takeouts from JD.com

  • Transaction volume of Dior, Tiffany, and Bottega Veneta products increased over fourfold year-on-year, and Valentino increased over sixfold .
  • Transaction volume of Lululemon products increased +260% year-on-year.
  • Transaction volume of Apple products surpassed RMB10 billion (US$1.4 billion)
  • Transaction volume of folding screen mobile phones increased more than +300% year-on-year
  • Transaction volume of AR glasses increased fourfold year-on-year
  • Transaction volume of both men’s and women’s down jackets increased more than +100% year-on-year.
  • Gold and watches saw transaction volume increase over +130% year-on-year.
  • Trade-in service orders for electronics increased nearly fourfold year-on-year. Transaction volume of extended guarantee and screen breakage insurance increased +100%
  • More than 2,000 home appliance and home product brands’ transaction volume increased +100% year-on-year Transaction volume of 10+ brands, including Midea, Haier, Gree, Hisense, and Xiaomi, reached RMB1 billion (US$139 million).
  • New energy vehicles and accessories saw user numbers increase more than +300% year-on-year.
  • Over 350 cross-border imported product categories from JD Worldwide saw transaction volume increase by +100% year-on-year. Buyer’s shops’ transactions increased +300%, while national pavilions saw a +250% increase in transaction volume.
  • JD’s omnichannel retail brand in Europe, ochama, saw order volume increase +362% year-on-year.

CHINA. JD.com’s Singles Day Grand Promotion, centred as always on 11 November (‘Double 11’), reached all-time highs for transaction volume, order volume, and user engagement, the ecommerce retailer revealed yesterday.

The success of the campaign underlines the grip the shopping festival – created by Alibaba in 2009 and now ranked as the world’s biggest annual shopping event – has on the Chinese public.

Hosted annually by China’s largest ecommerce sites, Singles Day also underlines the ever-rising level of competition faced by traditional shopping channels, including travel retail.

Double 11 has evolved into a week-long shopping extravaganza in (and now beyond) China and is seen as an important indicator of consumer confidence. Many commentators had predicted a modest performance this year due to waning consumer confidence but JD.com expressed delight in the results.

“This year’s event not only demonstrated JD.com’s commitment to offering unbeatable prices and a diverse range of high-quality products, but also showcased the resilience and growth of China’s consumption market, delivering an unmatched shopping experience to millions,” JD.com said.

Commenting on this year’s performance, JD said its ‘Procurement and Sales Manager Livestreaming’ initiative (see detail below) went viral among Chinese consumers, captivating more than 380 million visitors.

Transaction volume from the livestreaming platform for over 60 brands surpassed RMB1 billion (US$137.2 million). Nearly 20,000 brands witnessed a threefold increase in transaction volume compared to the previous year, JD.com said.

Notably, new merchants experienced a fivefold surge in order volume compared to the same period last month.

JD said this year’s Single’s Day marked “a historic moment” for the company, marked by several innovations that had propelled its success.

Livestreaming brand fees waived for brands

In a notable initiative, JD’s Procurement and Sales Managers transitioned from strategic behind-the-scenes roles to embracing the public limelight in the livestreams.

The JD Procurement and Sales Manager Livestreaming platform attracted widespread attention from industry insiders and consumers alike, the company said.

The innovative model waived booth and commission fees for brands, focusing instead on delivering unparalleled value to consumers. This approach enabled the offering of a diverse array of popular branded products at discounts as steep as -50%.

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By serving as a bridge between brands and consumers, these managers brought a unique blend of deep consumer insight and extensive product knowledge, JD.com said.

“Their understanding of evolving industry trends enabled them to adeptly recommend a range of affordable, high-quality products to customers.

“Through this livestreaming venture, JD.com’s managers leveraged their expertise to guide consumer choices, effectively bridging the gap between brand offerings and consumer needs.”

Low-price initiatives and “phenomenal growth”

JD.com said it had introduced a series of ambitious low-price initiatives throughout the year, including the ‘10-billion-yuan Discount Day’ programme; a ‘9.9-yuan Items with Free Shipping’ offer; and various dynamic ‘Flash sales’ channels.

These well-received initiatives have experienced a “meteoric” rise in popularity, particularly during the Grand Promotion period, JD.com said.

The launch of the ’10 billion Yuan Discount Day’ on 31 October at 8pm was a landmark moment, JD.com said. In less than four minutes, the campaign had already generated over RMB100 million (US$13.7 million) in transactions.

The ‘9.9 Yuan items with free shipping’ day, held on 2 November, saw a “staggering” 35-fold increase in order volumes and a 28-fold rise in user engagement compared to the figures from the 618 Grand Promotion.

Enhanced customer services and expanded trade-in programme

Throughout the promotional period, JD.com offered more than 200 customer services, all designed to offers shoppers greater peace of mind when making purchases.

In the past three years, JD’s ‘trade-in’ service has been expanded to 200 product categories, directly benefiting over 20 million users. Additionally, the company’s ‘price-guarantee’ service, introduced in 2008, has delivered nearly RMB9 billion (US$1.2 billion) in consumer savings to date.

Singles Day underlines the ever-rising level of competition faced by traditional shopping channels, including travel retail

During this year’s Singles Day alone, it saved users RMB564 million (US$77.4 million), JD.com pointed out.

Merchant growth and support initiatives

This Singles Day marked a significant milestone for JD.com in terms of merchant growth and support, the company said in underlining the strength of partnerships it nurtures.

The platform witnessed a 3.4 x increase in new shop registrations during the celebration. The number of established merchants participating increased by 1.5 times year-on-year.

Towering achievements: JD.com’s Singles Day Grand Promotion reached all-time highs for transaction and order volume as well as user engagement {Photo: JD.com}

A key driver of this growth was the ‘Spring Dawn Plan’, an innovative JD.com initiative that distributed over RMB100 million (US$13.7 million) in subsidies to newly opened stores during Singles Day 2023.

This attracted a wave of new merchants, thereby expanding product offerings for consumers, JD.com said

The company also launched a ‘RMB 1-yuan’ package for merchants to access JD.com’s operational data open platform.

The platform grants merchants comprehensive, real-time insights into store operations, enabling them to make data-driven decisions and optimise their business strategies.

“Explosive growth’ amid on-demand retail expansion

Numerous brands achieved “explosive sales growth” during this year’s shopping festival, JD.com said.

During the first week of promotion, starting 23 October, nearly 30 brands generated sales of over RMB1billion (US$137.2 million).

Nearly 15,000 brands saw transactions increase more than five-fold year-on-year while almost 9,000 brands experienced more than tenfold growth.

Within ten minutes of the sales period commencing on 31 October, major mobile phone brands such as iPhone, Xiaomi, Honor, Huawei, OPPO and vivo experienced a +100% increase in transaction volume year-on-year.

Luxury boom and brick & mortar integration

This trend was not limited to technology. Premium luxury brands such as Louis Vuitton, Gucci and Dior also saw their transaction volumes more than triple within the first 30 minutes compared to the previous year, JD.com pointed out.

The surge of on-demand retail, featuring one-hour delivery, continues to gain momentum. This year’s Singles Day saw the integration of more than 400,000 brick-and-mortar stores into JDDJ (JD’s on-demand retail business), doubling the store network from the previous year.

Consumers in over 2,200 counties and districts across China enjoyed the convenience of instant shopping, with products delivered to their doorstep within minutes, JD.com commented.

The ShopNow business saw a +60% year-on-year increase in the number of users placing orders, underscoring the growing consumer preference for quick and efficient shopping experiences, the company added.

Industrial belt collaborations

JD Super, the supermarket business under JD Retail, collaborated with over 2,000 industrial belts nationwide, showcasing hundreds of thousands of high-quality agricultural products that resulted in sales peaks.

Fujian province’s dried yellow croaker and Yunnan province’s corn, for example, experienced year-on-year growth of +300% and +237%, respectively. The impact of the initiatives was further amplified through a programme called ‘9.9 Yuan Items with Free Shipping’.

Additionally, sectors such as apparel, home appliances, furniture, and fittings and hardware within these industrial belts witnessed substantial growth.

The number of merchants in these sectors expanded dramatically, with increases of +248%, +141%, and +150%, respectively.

Own label was another growth area. JD said its private label brands, JZao and Huixun, were instrumental in enhancing this dynamic ecosystem, forging partnerships with over 70% of key industrial belts.

Logistics supply chain and technology excellence

On the logistics front, a Bosideng down jacket dispatched from JD Logistics’ flagship Qingdao industrial park on 23 October marked China’s 100 billionth express delivery parcel in 2023.

JD Logistics claims its logistics infrastructure ensures that 95% of JD’s retail orders can be delivered within 24 hours, with over 10 million products eligible for same-day delivery.

Orders of scale: JD.com had delivered a staggering 100 billion express delivery parcels this year by 23 October {Photo: JD.com}

JD Cloud, the cornerstone of JD’s technology, saw peak user visits per second increase by +170% year-on-year. Its intelligent customer service handled more than 1.4 billion inquiries.

International expansion

Additionally, JD’s omnichannel retail brand in Europe, ochama, marked another milestone this Singles Day by extending its doorstep delivery service to 24 European countries.

In The Netherlands, Germany, and Belgium, selected pick-up points extended their operating hours until 22:00. This provided consumers with a wide range of quality products at low prices with flexible fulfilment and delivery services, JD.com said.

European advance: Ochama offered a doorstep delivery service to 24 countries across region this Singles Day

“At the core of these advancements is JD.com’s commitment to leveraging cutting-edge technology and its deep expertise in streamlining supply chain operations,” the company said.

“This strategic focus has significantly enhanced the efficiency of JD.com’s supply chain, enabling the company to offer substantial price reductions on its products.

“JD’s approach not only delivers cost benefits to a wide consumer base but also fosters robust, sustainable growth for businesses and partners throughout the supply chain.” ✈


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