Xiaomi claims a record $3.11 billion in sales on Singles Day
YICHANG, CHINA – OCTOBER 29, 2023 – Customers experience Mi 14 series phones at a Xiaomi store in Yichang, Hubei province, China, October 29, 2023. (Photo by Costfoto/NurPhoto via Getty Images)
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BEIJING – A Chinese smartphone and consumer electronics company Xiaomi Higher sales across platforms were claimed during the Singles Day shopping festival.
From October 23 to the end of the day on November 11, Xiaomi said it sold more than 22.4 billion yuan ($3.11 billion) of products on platforms such as Alibaba’s Tmall and Taobao, JD.com, Pinduoduo and Douyin.
Xiaomi shares were up just over 2% in Hong Kong trading late Monday morning. Local trading shares of Alibaba and JD.com delivered earlier gains.
For the second straight year, the two online shopping giants declined to share total figures for the Singles Day shopping festival.
JD only said that trading and order volume reached an all-time high. Alibaba said total product value, order numbers and participating merchants grew from a year ago. GMV measures sales over time.
By brand, JD said a trading volume of Apple results exceeded 10 billion yuan ($1.39 billion). That’s the same figure JD shared for Singles Day results in 2021. He didn’t provide a comparable figure for 2022.
Lululemonbrand relatively new to the Chinese market, trading volume on JD saw a 260% increase during the shopping festival from a year ago, the Chinese retailer said.
Alibaba did not share many details about sales by product or brand for the entire shopping festival period.
Xiaomi said the newly released Xiaomi 14 smartphone was the top seller on Alibaba’s Tmall from November 4 to 11.
“Mi14 sales are far better than expected creating earnings and valuation upside potential ahead,” HSBC analysts wrote in a Nov. 6 report.
“We increase our smartphone shipment forecasts for Xiaomi by 7% in 2023e to c150m units and 6% in 2024e to 160m units,” the analysts said.
Over the past ten years, Singles Day has expanded from a one-day shopping festival to a multi-week period of shopping promotions across various online platforms in China.
In 2022, during the Covid-19 pandemic, Alibaba had said that its Singles Day sales were “in line” with the previous year, which had recorded the equivalent of $84.54 billion GMV at the time .
Uncertainty about future income has weighed on retail sales in China over the past few years.
Ahead of this year’s shopping festival, a survey by Bain and Company found that 77% of consumers in China did not plan to increase spending.
Live streaming sales
Live streaming and short videos on platforms such as Alibaba’s Taobao and ByteDance’s Douyin remained a growing sales channel.
GMV from live streaming rose 19% at this year’s shopping festival, according to estimates from data firm Syntun and Morningstar senior equity analyst Chelsey Tam.
Tmall accounted for the majority of sales, or 60%, in a category Syntun called “comprehensive e-commerce platforms,” Tam said in a note.
JD accounted for 28%, while Pinduoduo had a 7% share, the report said.
Kuaishou, a short video and live streaming app, reported a nearly 50% increase in orders during the Singles Day shopping period.
More information on Singles Day results and Chinese consumer trends could come out during corporate earnings calls later this week. JD.com is expected to report quarterly results on Wednesday evening, while Alibaba is due to release earnings on Thursday evening Beijing time.