Once a Grand Shopping Spectacle, Singles’ Day in 2024 Shifts Focus to Sustainability and Charity.
China’s biggest online shopping event, Singles’ Day, typically marked by extravagance and consumerism, is facing a quieter celebration this year, influenced by economic challenges, government regulations, and President Xi Jinping’s “common prosperity” initiative.
November 11, known as Singles’ Day or Double 11, is a pivotal occasion for China’s e-commerce giants. In 2023, Alibaba, the largest online retailer, recorded a staggering $74 billion in sales over the course of the 11-day festival. Its smaller competitor JD.com reached $40 billion in similar sales.
Previously, Alibaba celebrated the occasion with elaborate galas featuring global stars such as Katy Perry and Taylor Swift. This year, however, the live-streamed event will have a more subdued approach due to COVID-19 restrictions in some regions of China. The company, in line with government priorities, is focusing on themes like sustainability, inclusivity, and charity, supporting initiatives that resonate with Xi’s goals to address inequality and overconsumption.
Michael Norris, from consultancy AgencyChina, points out that the quieter festivities are the result of multiple pressures, including increased regulatory scrutiny. E-commerce platforms are grappling with aligning their promotional activities with government priorities. Pinduoduo, another major player in the e-commerce space, has pledged $1.5 billion in profits to aid farmers, while Alibaba has committed $15.5 billion to support small businesses and gig workers.
This year, Alibaba is placing a stronger emphasis on environmental responsibility, promoting packaging recycling and collaborating with brands on eco-friendly solutions. They are also encouraging customers to contribute a portion of their spending to charity organizations.
The shift to a more subdued Singles’ Day comes after Alibaba was hit with a record $2.8 billion fine for antitrust violations. The government’s crackdown on monopolistic practices in the tech sector continues to intensify, alongside broader concerns about excessive consumption.
Weaker consumer demand, supply shortages, and logistical difficulties also contribute to the reduced expectations. Many merchants have lowered their sales forecasts due to weak retail growth and challenges such as power rationing and supply chain disruptions.
In response, retailers are shifting away from the extreme discounts that defined previous years. Jacob Cooke, CEO of WPIC, a marketing firm, suggests that limited-edition products and exclusive gifts are likely to replace the heavily discounted items that used to dominate the event.
Adding to the competition for traditional e-commerce platforms, short-video apps like Kuaishou and Douyin (Bytedance’s version of TikTok) are tapping into the growing online shopping market. These platforms enable live-streaming, allowing influencers to sell directly to viewers. Last year, Douyin generated 2 billion yuan ($313 million) in transactions on Singles’ Day alone.
