July 02, 2020

618 - shopping festival China

In addition to the Double 11 event, another large shopping festival in China is called 618 campaign around June 18, which is one of the major battles for Chinese e-commerce platforms such as Taobao and JD.com. 

618 means the date June 18 (6 Chinese means June), which means China’s largest mid-year shopping festival. 

The 618 shopping festival usually starts with pre-sales activities in late May, and promotional activities continuing from the beginning of June till the end of June. 

Taobao, Tmall, JD.com and all other major e-commerce platforms and retailers have launched their activities for the event. This event is one of the two periods in which they expect huge sales.

Under the impact of the epidemic, China’s economy and social life have been greatly  affected.

In the Q1 2020, the total retail sales of goods fell by 19% year/year, compared with the same period last year, it dropped 27.8% points. However, the scale of online retail in the first quarter was the same as last year, and the online retail sales of physical goods increased by 5.9% against the trend, which shows that e-commerce has played a significant role in promoting consumption and helping to recover the Chinese economy. 

As of June 18, 2020, at 24 o’clock, the orders placed by JD.com were 269.2 billion yuan and, the order amount for Tmall was 698.2 billion yuan. Both leading e-commerce companies set new records. The 618 online shopping festival attracted 321,000 brands from all over the country, 5,994 million participating stores, and selling more than 140 million products for consumers. 

Tmall Global: Cross-border e-commerce breaks out  

Affected by the epidemic, the offline channels were blocked, and brands and consumers accelerated their migration to online. Consumer demand for overseas goods turned to a “global buy” Tmall.hk (Tmall Global) platform, expanding in both new supply and new requests. Under the current situation, the retail sales of cross-border imported e-commerce grew explosively.

During the period of 618, the retail sales of cross-border e-commerce were 14.58 billion yuan; an increase of 35% year / year. The number of overseas brands participating reached 76,000 during the 618 shopping festival, which was 29.8% higher than the same period last year. Products from Japan, South Korea, the United States, Australia and other countries are favored by Chinese consumers, with retail sales accounting for 13.0%, 7.5%, 7.4%, and 4.5%, respectively.

Nearly half of the overseas brands released new imported products in a concentrated manner, which drove foreign brands to bring new growth momentum. 

Judging from the types of imported commodities, facial cleansers, pet food, toners, skincare kits, have all achieved growth rates of over 40%. The best-sellers are baby milk powder, face mask, skincare kits, serum and sun lotion.

For Postnord flagship store on Tmall.hk, all our products joined the official campaign of 618 with campaign promotions and we accomplished to sell well in categories like food, skin care, health products and design products.

京东宣布618促销18天累计下单金额2692亿元- 高科技网手机端

Resources 

https://view.inews.qq.com/a/20200619A0GT7U00?uid=&devid=9F8886AF-1DE8-41D7-8E37-157218B87775&qimei=161aabb4-fb0e-49f1-b382-f5ff81112b6f