China's Double 11 festival fuels ecommerce growth - Kantar

The Double 11 festival fuelled the ecommerce growth and Alibaba Group announced that it generated RMB 268.4 billion of gross merchandise volume (GMV) on ... GetmoreInspiration China’sDouble11festivalfuelsecommercegrowth KantarWorldpanel’slatestfiguresforthe12weeksending29thNovember2019showsconsumerspendingonFMCGinChinagrewby5.6%comparedwiththesameperiodlastyear. 14January2020 Jason Yu ManagingDirector,WorldpanelDivision, GreaterChina Getintouch ConsumerShopper&RetailCPGRetailChina Moderntrade(includinghypermarkets,supermarkets,andconveniencestores)struggledtogrow,experiencingadecreaseinpenetrationof0.7pptsversusthesameperiodlastyearasshoppersswitchedtheirspendtoe-commercetotakeadvantageoftheDouble11shoppingfestival.Ecommercegrowth,whichfaroutstrippedanyotherchannels,reported35.9%valuegrowthanda10pptspenetrationincrease. Againstthebackdropofadecliningshareformoderntrade,compacthypermarketandsmallerformatsbuckedthetrendwithavaluegrowthof10.1%byattractingmoreshoppersandincreasingthenumberoftripsshoppersmake.VanguardopenedtwoVanguardMartsinHangzhouandSuzhouinNovemberwithplanstoopen100moreinthenextthreeyears.TheVanguardMartisamorecompactformatwithsmallernon-foodsectionsandexpandedfreshfoodonesaswellasfullscan-and-goandO2Odeliveries. TheDouble11festivalfuelledtheecommercegrowthandAlibabaGroupannouncedthatitgeneratedRMB268.4billionofgrossmerchandisevolume(GMV)onNovember11,2019,anincreaseof26%comparedto2018.Itsgrowthispoweredbylower-tiercitiesandlivestreaming.Threeoutof10urbanhouseholdsincounty-levelcitiesandacrossthecountypurchasedFMCGproductsfromAlibabainthepast12weeks,whichisanincreaseof11pptscomparedwithlastyear.Thisyearbrandsarerunninginfluencerlivestreamingcampaignsinordertoactivateviewers’purchasingintentandtransactions,TaobaoLiveforexamplegeneratednearlyRMB20billioninsales.Morebrandssurpassedthe100millionRMBGMVmarkthisyear,indicatingthatbiggerbrandsareaccountingforalargerproportionofsales. Share Getintouch