Benzinga - by Nabaparna Bhattacharya, Benzinga Editor.
Forget the fanfare surrounding Black Friday and Cyber Monday; China's Singles' Day reigns supreme as the globe's most significant shopping extravaganza.
Initially celebrating the joys of singlehood as an alternative to Valentine's Day, this event has morphed into an extended online retail festival, climaxing on Nov. 11 each year.
The inception of Singles' Day traces back to 1993 at Nanjing University, where it was initially christened "Bachelor's Day," according to Reuters.
This day allows singles to indulge in self-gifting and to partake in various social events.
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According to consultancy firm Bain, last year's Singles' Day, also dubbed "Double 11," saw sales reach a staggering 1.15 trillion yuan ($157.97 billion), dwarfing the $35.3 billion spent by U.S. consumers during Cyber Week, as reported by Adobe Inc.'s Adobe Analytics.
The shopping event has also evolved in the U.S., with trends leaning towards electronics, toys, and kitchen appliances, as per Adobe's data, which Reuters noted.
Comparing Singles' Day with Black Friday, the Chinese event has consistently outperformed its American counterpart, boasting an average annual growth rate of about 34% from 2014 to 2021, against Cyber Week's 17%, according to Bain and Adobe Analytics, Reuters added.
Major Brands In The Limelight
Since its promotion by Alibaba Group Holding Limited (NYSE: BABA) in 2009, Singles' Day has seen a surge in participation from key e-commerce players like JD.Com, Inc. (NASDAQ: JD) and Pinduoduo (PDD.O), a subsidiary of PDD Holdings Inc. (NASDAQ: PDD).
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Alibaba and JD.com achieved unprecedented sales during Singles' Day in 2021, totaling 889.4 billion yuan ($122 billion), according to a Bloomberg report. However, for the first time, they refrained from releasing sales data last year amid challenges posed by the pandemic in China.
Global Giants Eyeing Singles' Day Success
American corporations like Nike, Inc. (NYSE: NKE) and Lululemon Athletica Inc. (NASDAQ: LULU), alongside beauty and consumer goods conglomerates such as Estee Lauder Companies, Inc. (NYSE: EL) and Procter & Gamble (PG), have a significant presence on Alibaba's Tmall platform, positioning them to capitalize on Singles' Day sales.
Major players like Apple Inc. (NASDAQ: AAPL), Nike, and L'Oreal Co. (OTC: LRLCF) emerged as top performers in previous events.
However, some global brands, including L'Oreal and Estee Lauder, approach this year's event with caution, amid a comparatively softer market trend.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Shutterstock
Photo: Shutterstock
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