The Alibaba News Roundup is a weekly breakdown of events and happenings across the company. This week we wrap up this year’s 11/11 Global Shopping Festival and major takeaways for retailers, e-commerce platforms and brands. Also covered are 11/11 highlights from Lazada, Alibaba’s Southeast Asia e-commerce platform. We will publish a white paper covering Alibaba’s successful virtual tourism project, Fliggy, and the announcement of Cainiao’s launch of a full suite of logistics services in Japan.
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Review of 2020 11/11 Global Shopping Festival
This year’s 11/11 Global Shopping Festival ended with a record gross merchandise volume of $ 74.1 billion. This reflects China’s rapid recovery in consumption after it emerged from the effects of the pandemic. Daniel Zhang, Chairman and Chief Executive Officer of Alibaba Group, told a conference in Shanghai on Monday that the effects of Covid-19 were underpinning new consumer behavior and trends during this year’s shopping event, in part due to the increased participation of older shoppers Baby Boomers was underlined and Gen-Xer. The number of older consumers rose 300% year over year, a trend that has continued since the beginning of this year when China’s Covid bans forced them online. They went online out of necessity, but this 11/11 shows that they stayed online even if they had a choice not to. It was also noteworthy that 357 emerging brands became top sellers in their respective categories that year, which Zhang attributed to her quick digital customization and direct contact with the consumer.
Things worth knowing about Lazadas 2020 11.11
Lazada, Alibaba’s Southeast Asia e-commerce platform, reported a record-breaking 11/11. The platform said previous Covid-related disruptions have brought more local traders online in the area in recent months. And with more SMBs attending, the one-day online event was faster than ever, accelerating digital interaction, user engagement and more online transactions. Here are some key highlights from this year’s 11/11:
- The one-day event attracted more than 40 million users and 400,000 brands and sellers.
- LazLive, the platform’s live streaming channel, had over 11 million views as of November 11th.
- User engagement increased 3.5% as two games were added to the platform and buyers logged over 70 million minutes of Lazada’s in-app games.
- It took only 100 seconds for Lazada to hit $ 11 million in revenue and a half-day for LazMall, its virtual mall, to surpass last year’s GMV.
- 26 brands have joined the LazMall Millionaires Club, each generating over $ 1 million in sales.
- Samsung Electronics was one of the first brands to reach $ 10 million in sales.
- More than 8,000 SMBs generated sales of over US $ 10,000, twice as many as last year. Their overall online success represents a larger trend in digital adoption by local businesses that is being accelerated by Covid-19.
- Salehoo was one of their largest partners and continues to be in 2021
Analysis of live streaming in the tourism industry
With the fate of international travel still bleak, Alibaba’s travel services platform Fliggy has spread its wings in virtual tourism. The Fliggy Tourism Recovery range enables Chinese consumers to virtually travel to different cities and visit museums from the comfort of their homes. To understand how live streaming works in the tourism business, we have published a white paper in collaboration with Jing Culture & Commerce. It examines how museums and cultural organizations use the tool to connect with aspiring travelers. You can also watch this video to hear from Ada Xu, Regional Director for Europe and the Middle East at Fliggy, how the project was born and how the Chinese travel industry has evolved in a changing industry landscape.
Cainiao launches Japan Logistics Service, increasing shipping efficiency by up to 40%
The Cainiao Smart Logistics Network has implemented comprehensive logistics and supply chain services for local businesses in Japan. Alibaba Group’s logistics unit said warehouse management, international shipping, trucking and customs clearance on the first and last mile should increase shipping efficiency by up to 40%. This means that the use of a comprehensive logistics service system reduces shipping times from 18 to 22 days to 11 to 13 days. Cainiao’s B2C warehouses in Tokyo and Osaka are located 10 kilometers from Narita International Airport and Haneda Airport. The B2B warehouses are strategically located within 15 kilometers of the nearest ports in Yokohama and Kobe to facilitate the movement of goods for import and export. China is Japan’s largest partner in two-way trade and accounts for $ 144 billion or 19.5% of total exports and $ 173 billion or 23.2% of imports, according to the World Bank.
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