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Online retailers in 'Double 11' price war [China Daily: Hong Kong Edition](China Daily: Hong Kong Edition Via Acquire Media NewsEdge) E-commerce giant Alibaba Group Holding Ltd's Tmall and other mainland online shopping platforms have begun a fierce price war through "Double 11" promotions with only 20 days to go before the mainland's annual online shopping festival on Nov 11. The festival, which is also called "Single's Day" on the mainland for the four '1s' appearing on that date, raked in 35 billion yuan ($5.75 billion) in sales for Alibaba's marketplaces Taobao and Tmall during the 24-hour event last year. For the coming "Double 11" festival, Alibaba aims to break last year's sales record in its first major sales promotion following the group's record $25-billion initial public offering in New York last month. From food to cosmetics, electronic devices to clothes, many well-known local and international brands are involved in the promotion. Even Tesla Motors announced on Oct 20 that it will join the event, and those who have ordered their flagship Model S vehicles on Nov 11 will receive free installation of the home-charging unit. Tmall launched an early promotion from Oct 15 to Nov 10, including pre-sale, pre-order, and money-incentives to attract greater attention. The big day, however, is still Nov 11. Hong Kong residents are also anxiously awaiting the big day. "I often buy things such as clothes, mobile fittings and accessories via mainland websites," said Melody, 25, a Hong Kong consumer. "I know the 'Double 11' festival is very popular on the mainland with retailers offering big discounts for clients," she told China Daily. For mainland customers, they have found the prices for some of the products offered during the "Double 11" promotions much lower than in Hong Kong. "Last year, I bought a beauty bar for more than 1,200 yuan in Hong Kong, but I found the same product being sold by Tmall International for only 799 yuan during the festival," said Shenzhen resident Li Yan. "With such a low price, the company also provided free delivery." But, another Shenzhen consumer said she was worried about the services offered during the "Double 11" sales promotion. "It may take several weeks to get goods that I've ordered on Nov 11 delivered because there are just too many orders," said Huang Xinxin. Hong Kong customers said they are concerned about the quality of Taobao's products. A Hong Kong accountant said: "Alibaba's Taobao is not a good choice for electronics goods because I'm afraid I might get fake products." Traditional department stores in Shenzhen are also joining in for a piece of the cake. Maoye Department Store in the Nanshan district is offering discounts of up to 80 percent for women's shoes from Oct 20, while Haiya Department Store in the Bao'an district has started a promotion drive for its clothes and cosmetics products with discounts of 30 to 80 percent. Contact the writers at [email protected] and [email protected] An advertisement promoting the 'Double 11' festival on the mainland. E-commerce giants have launched fresh shopping incentives to lure young unmarried consumers on Nov 11 - a special day celebrated by single persons. Provided to China Daily (HK Edition 10/22/2014 page8) (c) 2014 China Daily Information Company. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info). |