Since its inception in 2009, the Double Eleven shopping festival, also known as Singles' Day, has become a significant event in China’s retail calendar each November, capturing global attention. As the festival enters its second decade, however, questions are emerging about whether it is starting to lose its spark. With year-round discounts reshaping consumer habits in China, e-commerce platforms should look to drive long-term value by fostering genuine engagement and building loyalty throughout the year.
Has discount fatigue set in?
The sheer frequency of shopping festivals throughout the year has lessened the impact of Double Eleven. For example, on Alibaba’s business-to-consumer (B2C)-orientated Tmall marketplace, almost two thirds of the year is now covered by special promotional periods, including the 618 festival in June and countless seasonal sales. The relentless cycle of discounts has led consumers to express frustration, with many using words like “boring” and “year-round” on social media platforms like Weibo to describe Double Eleven.
To make matters more complex, platforms like Tmall now offer promotions to coincide with global events and holidays, such as International Women’s Day. While these frequent sales have boosted online sales, they have diluted the excitement surrounding Double Eleven.
Competition on the rise
One of the major factors contributing to the diminishing excitement around Double Eleven is the rise of fierce competition from other e-commerce platforms, particularly Douyin and Pinduoduo.
Douyin, the Chinese version of TikTok, has rapidly transformed from a social media platform into a powerful e-commerce player. Originally known for its short-form video content, the platform has seamlessly integrated livestream shopping into its ecosystem, creating a highly engaging and immersive shopping experience. Douyin's strength lies in its ability to offer real-time interaction between sellers and consumers, with influencers and key opinion leaders (KOLs) actively promoting products in a dynamic, entertaining format. This form of shopping is more personal and interactive compared to the traditional mass-market approach of Double Eleven.
Pinduoduo, another disruptor in Chinese e-commerce, has also contributed to the event’s fading allure. The platform’s group buying model, where users can team up to purchase products at heavily reduced prices, has introduced a new form of social shopping that appeals to price-conscious consumers. Pinduoduo’s daily promotions and deep discounts on everything from groceries to household goods have made it a go-to destination for bargain hunters, particularly in lower-tier cities.
Despite the competition, Tmall remains the central player for Double Eleven, accounting for 60% of sales among tracked retailers during the 2023 event. Many well-established brands prioritise Tmall during this period, aiming to secure a top-seller rank to enhance their brand image and gain extensive exposure.
Overwhelming complexity
What started as a simple discount event has evolved into a month-long period of promotions. Each year, platforms launch sales earlier to gain a first-mover advantage and lock in buyers, with this year's Double Eleven starting as early as mid-October.
Shoppers must navigate a maze of vouchers and coupons, many of which require hitting high spending thresholds to unlock the best savings
Source: Euromonitor International
This gamified approach, while intended to increase engagement, often frustrates consumers who find themselves strategising to maximise discounts. The pre-sale deposit system adds another layer of stress, locking buyers into purchases weeks before the event.
Looking ahead: Is the festival truly losing its appeal?
While there is clear evidence of shifting dynamics, Double Eleven is unlikely to disappear anytime soon. It still holds immense cultural and commercial significance in China. More than just a shopping event, it is a celebration of consumerism, innovation, and digital transformation. However, as Double Eleven approaches its second decade, its once unassailable position in the e-commerce landscape is increasingly threatened.
As costs for promotions and heavy discounts rise, brands face shrinking returns on investment, making it harder to justify the extensive efforts that the festival demands. To remain relevant, the festival may need to evolve by offering more sustainable marketing approaches, balancing growth for both consumers and merchants alike.
To learn more about the e-commerce landscape in China, download our report, Unlocking E-Commerce in Asia and Beyond: Lessons from China, Japan and South Korea, for in-depth trend descriptions, case studies and strategic recommendations.