Latest news with #618festival
Yahoo
7 hours ago
- Business
- Yahoo
China's extended 618 shopping fest fails to stir excitement
By Sophie Yu and Casey Hall BEIJING (Reuters) -China's biggest mid-year shopping festival, 618, ended on Wednesday evening without much fanfare after more than a month of promotional events aimed at enticing consumers to part with more of their hard-earned money. Originally a single-day celebration marking the founding of e-commerce giant on June 18, the festival has expanded to include all e-commerce platforms with ever-lengthening sales periods. This year, presale for (JD) and Alibaba (BABA) kicked off on May 13, making the shopping festival longer than a month. China's retail sector continues to struggle due to concerns over employment stability, stalled wage growth and the ongoing property crisis, leaving shoppers in no mood to splurge. Retailers and the government have sought to lift subdued spending by deepening discounts and expanding consumer subsidies. Though extending the sales period is likely to help overall sales growth for this year's 618 period, analysts say, longer festivals and year-round discounts on e-commerce platforms have dampened excitement for these kinds of events. "I don't have anything special to buy during the 618 shopping festival. Because there are always great deals, I can buy whatever I need whenever," said Xu Binqi, who works in Beijing's film industry. "Take skincare products as an example, I buy them whenever I run out, and the prices are no higher than during the 618 festival." Rachel Lee, general manager of market research firm Worldpanel China and co-author of Bain & Co.'s recent China Shopper Report, said that when consumers are budget-conscious, they seek affordable alternatives, and discounts play a lesser role. "Standalone promotional discounts will find it increasingly difficult to drive volume growth," she said. Major e-commerce platforms have not disclosed overall sales figures for 618 in recent years, but according to data provider Syntun, sales during the mid-year festival last year fell for the first time in 2024, down 7% at 742.8 billion yuan ($103.31 billion) from the year before. This year, said the number of users placing orders for the 618 event has more than doubled year-on-year, with over 2.2 billion orders across its online, offline and food delivery platforms. Alibaba said that 453 brands surpassed 100 million yuan ($13.91 million) in gross merchandise volume (GMV) over the 618 period. Brands that surpassed 1 billion yuan in GMV included Apple, Xiaomi, Huawei, Nike, Adidas, L'Oréal and Lululemon, Alibaba added. GMV is a metric used by e-commerce companies roughly analogous to sales revenue. RETAIL GROWTH, SUBSIDY IMPACT While the retail environment in China remains difficult, there are signs that consumption overall has picked up in recent months. Retail sales growth surpassed expectations in May, with official data showing a 6.4% increase, the fastest growth since December 2023. Analysts pointed to the earlier start of 618, along with government consumer subsidies for goods such as home appliances and mobile phones, as twin drivers. Jacob Cooke, co-founder and CEO of WPIC Marketing + Technologies, said the extended 618 festival front-loaded consumer demand, encouraging earlier spending and smoothing consumption trends into May. "A longer 618 festival with low prices helps sustain engagement across weeks and has contributed materially to May's strong retail performance," Cooke said. Analysts warn that a pause in subsidy programmes in several regions, as central government allocations dry up, could weigh on 618 sales and overall consumption this month, though more funds are likely to be allocated for those programmes in July. "Rapid sales growth of key subsidy categories (such as home appliances) driven by the 618 shopping festival starting from quickly depleted funds," HSBC analysts wrote in a note. "Suspension of national subsidies in selected regions may affect 618 sales and June retail sales" the analysts added. Eve Wang, 32, reflected on the shift in spending habits: "In the past, for example during events like Singles' Day and 618, I used to spend a lot of money on stockpiling goods, but now ... I only buy what I need." Wang didn't participate in this year 618 shopping festival. "I didn't buy anything at all." ($1 = 7.1897 Chinese yuan) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
9 hours ago
- Business
- Yahoo
China's extended 618 shopping fest fails to stir excitement
By Sophie Yu and Casey Hall BEIJING (Reuters) -China's biggest mid-year shopping festival, 618, ended on Wednesday evening without much fanfare after more than a month of promotional events aimed at enticing consumers to part with more of their hard-earned money. Originally a single-day celebration marking the founding of e-commerce giant on June 18, the festival has expanded to include all e-commerce platforms with ever-lengthening sales periods. This year, presale for and Alibaba kicked off on May 13, making the shopping festival longer than a month. China's retail sector continues to struggle due to concerns over employment stability, stalled wage growth and the ongoing property crisis, leaving shoppers in no mood to splurge. Retailers and the government have sought to lift subdued spending by deepening discounts and expanding consumer subsidies. Though extending the sales period is likely to help overall sales growth for this year's 618 period, analysts say, longer festivals and year-round discounts on e-commerce platforms have dampened excitement for these kinds of events. "I don't have anything special to buy during the 618 shopping festival. Because there are always great deals, I can buy whatever I need whenever," said Xu Binqi, who works in Beijing's film industry. "Take skincare products as an example, I buy them whenever I run out, and the prices are no higher than during the 618 festival." Rachel Lee, general manager of market research firm Worldpanel China and co-author of Bain & Co.'s recent China Shopper Report, said that when consumers are budget-conscious, they seek affordable alternatives, and discounts play a lesser role. "Standalone promotional discounts will find it increasingly difficult to drive volume growth," she said. Major e-commerce platforms have not disclosed overall sales figures for 618 in recent years, but according to data provider Syntun, sales during the mid-year festival last year fell for the first time in 2024, down 7% at 742.8 billion yuan ($103.31 billion) from the year before. This year, said the number of users placing orders for the 618 event has more than doubled year-on-year, with over 2.2 billion orders across its online, offline and food delivery platforms. Alibaba said that 453 brands surpassed 100 million yuan ($13.91 million) in gross merchandise volume (GMV) over the 618 period. Brands that surpassed 1 billion yuan in GMV included Apple, Xiaomi, Huawei, Nike, Adidas, L'Oréal and Lululemon, Alibaba added. GMV is a metric used by e-commerce companies roughly analogous to sales revenue. RETAIL GROWTH, SUBSIDY IMPACT While the retail environment in China remains difficult, there are signs that consumption overall has picked up in recent months. Retail sales growth surpassed expectations in May, with official data showing a 6.4% increase, the fastest growth since December 2023. Analysts pointed to the earlier start of 618, along with government consumer subsidies for goods such as home appliances and mobile phones, as twin drivers. Jacob Cooke, co-founder and CEO of WPIC Marketing + Technologies, said the extended 618 festival front-loaded consumer demand, encouraging earlier spending and smoothing consumption trends into May. "A longer 618 festival with low prices helps sustain engagement across weeks and has contributed materially to May's strong retail performance," Cooke said. Analysts warn that a pause in subsidy programmes in several regions, as central government allocations dry up, could weigh on 618 sales and overall consumption this month, though more funds are likely to be allocated for those programmes in July. "Rapid sales growth of key subsidy categories (such as home appliances) driven by the 618 shopping festival starting from quickly depleted funds," HSBC analysts wrote in a note. "Suspension of national subsidies in selected regions may affect 618 sales and June retail sales" the analysts added. Eve Wang, 32, reflected on the shift in spending habits: "In the past, for example during events like Singles' Day and 618, I used to spend a lot of money on stockpiling goods, but now ... I only buy what I need." Wang didn't participate in this year 618 shopping festival. "I didn't buy anything at all." ($1 = 7.1897 Chinese yuan) Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
9 hours ago
- Business
- Yahoo
China's extended 618 shopping fest fails to stir excitement
By Sophie Yu and Casey Hall BEIJING (Reuters) -China's biggest mid-year shopping festival, 618, ended on Wednesday evening without much fanfare after more than a month of promotional events aimed at enticing consumers to part with more of their hard-earned money. Originally a single-day celebration marking the founding of e-commerce giant on June 18, the festival has expanded to include all e-commerce platforms with ever-lengthening sales periods. This year, presale for and Alibaba kicked off on May 13, making the shopping festival longer than a month. China's retail sector continues to struggle due to concerns over employment stability, stalled wage growth and the ongoing property crisis, leaving shoppers in no mood to splurge. Retailers and the government have sought to lift subdued spending by deepening discounts and expanding consumer subsidies. Though extending the sales period is likely to help overall sales growth for this year's 618 period, analysts say, longer festivals and year-round discounts on e-commerce platforms have dampened excitement for these kinds of events. "I don't have anything special to buy during the 618 shopping festival. Because there are always great deals, I can buy whatever I need whenever," said Xu Binqi, who works in Beijing's film industry. "Take skincare products as an example, I buy them whenever I run out, and the prices are no higher than during the 618 festival." Rachel Lee, general manager of market research firm Worldpanel China and co-author of Bain & Co.'s recent China Shopper Report, said that when consumers are budget-conscious, they seek affordable alternatives, and discounts play a lesser role. "Standalone promotional discounts will find it increasingly difficult to drive volume growth," she said. Major e-commerce platforms have not disclosed overall sales figures for 618 in recent years, but according to data provider Syntun, sales during the mid-year festival last year fell for the first time in 2024, down 7% at 742.8 billion yuan ($103.31 billion) from the year before. This year, said the number of users placing orders for the 618 event has more than doubled year-on-year, with over 2.2 billion orders across its online, offline and food delivery platforms. Alibaba said that 453 brands surpassed 100 million yuan ($13.91 million) in gross merchandise volume (GMV) over the 618 period. Brands that surpassed 1 billion yuan in GMV included Apple, Xiaomi, Huawei, Nike, Adidas, L'Oréal and Lululemon, Alibaba added. GMV is a metric used by e-commerce companies roughly analogous to sales revenue. RETAIL GROWTH, SUBSIDY IMPACT While the retail environment in China remains difficult, there are signs that consumption overall has picked up in recent months. Retail sales growth surpassed expectations in May, with official data showing a 6.4% increase, the fastest growth since December 2023. Analysts pointed to the earlier start of 618, along with government consumer subsidies for goods such as home appliances and mobile phones, as twin drivers. Jacob Cooke, co-founder and CEO of WPIC Marketing + Technologies, said the extended 618 festival front-loaded consumer demand, encouraging earlier spending and smoothing consumption trends into May. "A longer 618 festival with low prices helps sustain engagement across weeks and has contributed materially to May's strong retail performance," Cooke said. Analysts warn that a pause in subsidy programmes in several regions, as central government allocations dry up, could weigh on 618 sales and overall consumption this month, though more funds are likely to be allocated for those programmes in July. "Rapid sales growth of key subsidy categories (such as home appliances) driven by the 618 shopping festival starting from quickly depleted funds," HSBC analysts wrote in a note. "Suspension of national subsidies in selected regions may affect 618 sales and June retail sales" the analysts added. Eve Wang, 32, reflected on the shift in spending habits: "In the past, for example during events like Singles' Day and 618, I used to spend a lot of money on stockpiling goods, but now ... I only buy what I need." Wang didn't participate in this year 618 shopping festival. "I didn't buy anything at all." ($1 = 7.1897 Chinese yuan) Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
9 hours ago
- Business
- Reuters
China's extended 618 shopping fest fails to stir excitement
BEIJING, June 19 (Reuters) - China's biggest mid-year shopping festival, 618, ended on Wednesday evening without much fanfare after more than a month of promotional events aimed at enticing consumers to part with more of their hard-earned money. Originally a single-day celebration marking the founding of e-commerce giant ( opens new tab on June 18, the festival has expanded to include all e-commerce platforms with ever-lengthening sales periods. This year, presale for and Alibaba ( opens new tab kicked off on May 13, making the shopping festival longer than a month. China's retail sector continues to struggle due to concerns over employment stability, stalled wage growth and the ongoing property crisis, leaving shoppers in no mood to splurge. Retailers and the government have sought to lift subdued spending by deepening discounts and expanding consumer subsidies. Though extending the sales period is likely to help overall sales growth for this year's 618 period, analysts say, longer festivals and year-round discounts on e-commerce platforms have dampened excitement for these kinds of events. "I don't have anything special to buy during the 618 shopping festival. Because there are always great deals, I can buy whatever I need whenever," said Xu Binqi, who works in Beijing's film industry. "Take skincare products as an example, I buy them whenever I run out, and the prices are no higher than during the 618 festival." Rachel Lee, general manager of market research firm Worldpanel China and co-author of Bain & Co.'s recent China Shopper Report, said that when consumers are budget-conscious, they seek affordable alternatives, and discounts play a lesser role. "Standalone promotional discounts will find it increasingly difficult to drive volume growth," she said. Major e-commerce platforms have not disclosed overall sales figures for 618 in recent years, but according to data provider Syntun, sales during the mid-year festival last year fell for the first time in 2024, down 7% at 742.8 billion yuan ($103.31 billion) from the year before. This year, said the number of users placing orders for the 618 event has more than doubled year-on-year, with over 2.2 billion orders across its online, offline and food delivery platforms. Alibaba said that 453 brands surpassed 100 million yuan ($13.91 million) in gross merchandise volume (GMV) over the 618 period. Brands that surpassed 1 billion yuan in GMV included Apple (AAPL.O), opens new tab, Xiaomi ( opens new tab, Huawei ( Nike (NKE.N), opens new tab, Adidas ( opens new tab, L'Oréal ( opens new tab and Lululemon (LULU.O), opens new tab, Alibaba added. GMV is a metric used by e-commerce companies roughly analogous to sales revenue. While the retail environment in China remains difficult, there are signs that consumption overall has picked up in recent months. Retail sales growth surpassed expectations in May, with official data showing a 6.4% increase, the fastest growth since December 2023. Analysts pointed to the earlier start of 618, along with government consumer subsidies for goods such as home appliances and mobile phones, as twin drivers. Jacob Cooke, co-founder and CEO of WPIC Marketing + Technologies, said the extended 618 festival front-loaded consumer demand, encouraging earlier spending and smoothing consumption trends into May. "A longer 618 festival with low prices helps sustain engagement across weeks and has contributed materially to May's strong retail performance," Cooke said. Analysts warn that a pause in subsidy programmes in several regions, as central government allocations dry up, could weigh on 618 sales and overall consumption this month, though more funds are likely to be allocated for those programmes in July. "Rapid sales growth of key subsidy categories (such as home appliances) driven by the 618 shopping festival starting from quickly depleted funds," HSBC analysts wrote in a note. "Suspension of national subsidies in selected regions may affect 618 sales and June retail sales" the analysts added. Eve Wang, 32, reflected on the shift in spending habits: "In the past, for example during events like Singles' Day and 618, I used to spend a lot of money on stockpiling goods, but now ... I only buy what I need." Wang didn't participate in this year 618 shopping festival. "I didn't buy anything at all." ($1 = 7.1897 Chinese yuan)
Phone Arena
14-05-2025
- Business
- Phone Arena
iPhone 16 Pro slashed by $350 in China amid Apple's struggles and Xiaomi's rise
Recently, we told you about how Apple has been struggling in its second-largest and incredibly important market – China. In fact, Q1 of 2025 was Cupertino's seventh consecutive quarter of decline in China (meanwhile, Xiaomi surges by 40%). Now, Chinese online stores and sellers are offering major discounts on the iPhone 16 models – yes, including the iPhone 16 Pro – in an effort to boost sales as Apple continues to have problems. The price cuts come ahead of China's major mid-year shopping event, known as the "618 festival", which takes place on June 18. For example, the popular platform is listing the iPhone 16 Pro (128 GB) at 5,469 yuan (~$759 when directly converted), which is 2,530 yuan less than Apple's official price of 7,999 yuan (~$1,100 when directly converted). Interestingly enough, the standard iPhone 16 (but with 256 GB storage) is also discounted, priced also at 5,469 yuan, down 1,530 yuan from its usual price of 6,999 yuan (~$970 when directly converted). These prices include government-issued digital product subsidies. Alibaba's Tmall is offering similar deals. After applying available coupons and subsidies, the iPhone 16 Pro (128 GB) is being sold for 5,499 yuan, a discount of 2,500 yuan. Image credit – PhoneArena It remains unclear whether Apple is directly involved in these price cuts or whether they are being driven by the platforms themselves. In previous years, Apple has occasionally lowered prices during the "618" festival, either through its own promotions or indirectly via partner platforms and authorized to IDC analyst Will Wong, Apple appears to be repeating its promotional strategy from last year. By discounting certain models like the iPhone 16 Pro , Apple may be aligning its pricing to qualify for local government subsidies designed to support digital in January, Apple launched rare promotions on its official site, offering discounts of up to 500 yuan (~$70 when directly converted). Chinese retailers have also historically offered similar limited-time deals around major sales events. Despite the promotional efforts, Apple's smartphone shipments in China fell by 9% in the first quarter of this year. In contrast, domestic rivals such as Xiaomi and Huawei saw shipment growth of 40% and 10% respectively during the same period, like we reported earlier.
