Alibaba recorded growth with new consumption trends during 6.18 mid-year campaign – Retail Times
Alibaba, collectively with its merchants, hassuccessfully concluded the 6.18 Mid-Year Shopping Festival (“6.18”). “Our 6.18 campaign this year continued to achieve positive year-over-year GMV growth,” said Trudy Dai, president of core domestic e-commerce, Alibaba Group. “We are deeply grateful to all the merchants and their commitment in making this 6.18 a success.”
In response to a challenging environment, business units across the Alibaba ecosystem such as Taobao, Tmall and Cainiao rolled out extensive merchant support measures across our platforms that were well-received by merchants. For example, Japanese beauty brand Bb LABORATORIES (“Bb Lab”) believed the measures made a difference in addressing their fulfillment challenges. “Alibaba’s Cainiao helped us prevent some of the pandemic-induced supply chain disruptions when the virus hit Hong Kong and Shanghai. It enabled us to deliver goods to our consumers in a timely manner,” said Rachel Gu, vice president of marketing at GoLong, responsible for Bb Lab’s operation in China. See merchant support efforts in this video.
A number of fresh consumption trends emerged during the 6.18 Mid-Year Campaign, which presented exciting opportunities for brands and merchants. “I saw a number of new consumption trends that spotlighted new brands and products for consumers in this 6.18, including camping, health & wellness and leisure lifestyle.” said Dai.
Some notable emerging trends include:
Trend One: New Hobbies Embraced by Young Chinese Consumers: Camping and Fishing
- Fishing is gaining popularity among young Chinese consumers as a new hobby. In the 12 months ending June 2022, three million consumers – born after 1995 – purchased fishing equipment on Taobao and Tmall. During the first check-out period of this year’s 6.18 campaign (from 8pm, May 31 to June 3), the sales of fishing equipment increased by nearly 50% year-on-year.
- High-end lure fishing equipment is a favored product of 88VIP members, and many fishing reels in this category were flew off the shelves. The new 2022 EXIST LT fishing reels from the Japanese high-end fishing gear brand DAIWA, which started at RMB 5,000, were sold out at the launch.
- At the same time, young consumers also favor camping, an activity complementary to lure fishing. During the first 6.18 check-out period, the sales of camping-related products tripled year-over-year on Tmall. Consumers purchased the whole set of camping items, including tents, canopies, folding tables, folding chairs, moisture-proof mats, and camping carts. Outdoor dining utensils such as windproof stoves and full sets of outdoor appliances are also very popular.
Trend Two: From Niche to Trendy, Skateboarding Becomes an Outdoor Sports Category with High Growth Potential
- During the first shopping window of this year’s 6.18 check-out period, the sales of the skateboard category on Tmall increased by 290% YoY. See this Alizila story on this trend.
- Demand for imported skateboards also increased. From the beginning of this year to mid-June, the sales of imported skateboards on Tmall Global recorded a three-digit YoY increase.
Trend Three: Increasing Popularity of Men’s Personal Care Products
- Sunscreen and skincare are no longer just for women. During the first shopping window the 6.18 campaign on Tmall, the sales for male grooming and shaving category surged by more than 20 times YoY. In addition, men’s special styling, primer and foundation products are also favored by consumers.
- During the same period, the supply and sales of men’s UV protection clothing increased significantly, with the number of transactions soaring by 50% YoY, making it the most popular item in the outdoor apparel category.
- During the first shopping window, the sales of smart devices for pets increased by nearly 150% YoY. Among these, smart companion robots, automatic feeders and smart cat litter boxes were the most popular. Sales of pet smart toys increased by nearly 130 times YoY, and the sales of outdoor pet toys increased by 40% YoY.
- Pet clothing has also been popular among consumers. During the first check-out window of the 6.18 campaign, the sales of trendy pet strollers increased by 80% YoY, the search volume for cat and dog summer clothing increased by nearly 40% YoY, and the search volume for pet helmets increased by more than 3 times YoY.
Trend Five: Cross-category and Cross-scenario Consumption
- Diversifying consumer demand is creating more cross-category and cross-scenario consumer products, unlocking the new growth engine for merchants. Tmall Innovation Center (TMIC) and various merchants cooperated to create a number of cross-category and cross-scenario products, which were put into the market during the 6.18 Mid-Year Campaign.
- An example of the cooperation between Breo and TMIC: Collaborating with TMIC, Breo tapped into the growing consumer demand for eye protection devices. Breo hopes that its products can protect the skin around the eyes in addition to having an eye protecting function. Bearing the two goals in mind, Breo and TMIC co-developed the new product and launched it during the 6.18 Mid-Year Campaign.
Trend Six: New Luxury Products Boom on Tmall Luxury Pavilion
- This year, more than 200 luxury brands including LVMH, Kering, Chanel, Hermès and Richemont participated in the 6.18 Mid-Year Campaign. Collectively, they launched more than 20,000 new products. The growing demand for new products for the spring/summer season was particularly noteworthy.
- More than 300 new products were sold on the first day of the pre-sale. The Italian fashion label Max Mara participated in the 6.18 Mid-Year Campaign for the first time and recorded a sales revenue of over RMB1 million in 2 minutes during the first check-out window. Prada’s first-hour sales were well over three figures compared to the first-hour sales from last year.
Alibaba, collectively with its merchants, hassuccessfully concluded the 6.18 Mid-Year Shopping Festival (“6.18”). “Our 6.18 campaign this year continued to achieve positive year-over-year GMV growth,” said Trudy Dai, president of core domestic e-commerce, Alibaba Group. “We are deeply grateful to all the merchants and their commitment in making this 6.18 a success.” In response to…