Singles’ Day rivals compete on price and logistics

Four-hour express delivery in Hong Kong is JD.com’s latest shot in the annual skirmishes leading up to China’s Singles’ Day, which is taking on greater significance this year as consumer demand remains weak. 

What’s happening

• As well as speedy delivery in Hong Kong, JD Express is offering extended delivery hours and free door-to-door delivery options, the South China Morning Post reports.
• Earlier this year, rival Alibaba’s delivery partner Cainiao announced next-day delivery from mainland warehouses to shoppers in Hong Kong and promised 60 yuan compensation for any order taking more than 48 hours to arrive.
• Alibaba’s Taobao Live is currently handing out 1 billion yuan (US$137m) worth of cash coupons ahead of the start of the sales season later this month.
• JD.com is offering 10 billion yuan in price subsidies and free shipping for a range of products priced at only 9.9 yuan.

Why Singles' Day matters

Hoped-for post-lockdown “revenge spending” has largely failed to materialise, as an economic slowdown and deflationary pressures mean consumers are not rushing to spend money. Big tech’s share prices have been hit and they need to get people back shopping to boost sales and valuations.

Sourced from South China Morning Post, Financial Times