11.11 is Singles’ Day in China, when consumers celebrate their single status and retailers launch deep discounts and exclusive offers online for one day only. Last year shoppers spent in excess of USD5.75bn via Alibaba’s Taobao and Tmall platforms alone – three times the USD1.7bn revenues taken by US retailers for Cyber Monday.
British retailers with operations in China are being urged to take advantage of 11.11, which has gained such prominence in the retail calendar that it is now hailed as the world’s largest online shopping day.
“China will soon overtake the US to become the world’s biggest online market. Singles’ Day is an opportunity for British brands selling to consumers in China to get in on the action and raise their profile in the marketplace,” says David McCorquodale, head of retail at KPMG.
“This is a growing market. By 2020, China’s e-commerce market is forecast to be larger than those of the US, UK, Japan, Germany and France combined. It has the potential to deliver massive future growth for UK retailers suffering from flat-lining sales in Western Europe.
“Offering attractive, targeted, Singles’ Day promotions, could deliver a timely boost to British brand owners’ sales, even if they use a third party site like Tmall.”
“Tmall CEO Wang Yulei has also spoken of his determination to take Singles' Day global, and capitalise on the media attention garnered by Alibaba's IPO,” said McCorquodale. “Whether or not this will be welcomed by consumers in the UK and Western Europe is up for debate; for us the 11th November is an important day of remembrance and contemplation.
“Elsewhere in the world we may well see retailers jump on the bandwagon and introduce Singles’ Day in their domestic markets, following in the footsteps of Black Friday, which has successfully spread beyond the borders of the States.”
- ENDS -
Zoe Sheppard, PR Manager at KPMG:
T: +44 (0)117 905 4337
KPMG Press Office: +44 20 7694 8773
KPMG LLP, a UK limited liability partnership, operates from 22 offices across the UK with approximately 11,500 partners and staff. The UK firm recorded a turnover of £1.8 billion in the year ended September 2013. KPMG is a global network of professional firms providing Audit, Tax, and Advisory services. It operates in 155 countries and has 155,000 professionals working in member firms around the world. The independent member firms of the KPMG network are affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. Each KPMG firm is a legally distinct and separate entity and describes itself as such.
This article represents the views of the author only, and does not necessarily represent the views or professional advice of KPMG in the UK.