Jack Ma talks about “Singles Day”

Before introducing how to play the double eleven, first review the “Singles Day” record in the past years.At the end of the text have double eleven shopping guides.

The 2018 “Singles Day” shopping carnival is getting closer and closer, and the major e-commerce companies have been rushing to take the lead in investing in a large number of marketing advertisements on social platforms and official apps. In 2017, the retail sales of China\'s Singles Day Shopping Festival has exceeded 250 billion yuan. What new record will be set this year?

“Singles Day” net turnover exceeded 250 billion yuan, Tmall market share decreased, Jingdong Suning rises

The “Singles Day” Shopping Carnival is an online promotion day of November 11th each year, which originated from the online promotion held by Taobao Mall (Tmall) on November 11, 2009. It has become an annual event in China\'s e-commerce industry. In 2013, the retail sales of China\'s “Double 11” shopping festival totaled 63.66 billion yuan. By 2017, it has exceeded 250 billion yuan, with a compound annual growth rate of 41.32%. As the founding e-commerce of Carnival Taobao Mall (Tmall), its “Singles Day” turnover has increased year by year, all the way to triumphantly to 2017\'s 168.269 billion yuan! However, with the development of China\'s e-commerce industry, the number of incoming players continues. Although Tmall\'s turnover is bright, the market share has declined in the past two years. From the top five cases of China\'s “Singles Day” shopping carnival in 2013 and the turnover in 2017, Tmall increased from 57.1 billion yuan in 2013 to 168.27 billion yuan, with a compound annual growth rate of 31%. In 2013, Jumei, which had a turnover of 6 billion yuan, won the second place, and Yi Xun, which ranked fifth in the transaction with a turnover of 500 million yuan, disappeared in the TOP5 of 2017. The fourth and fifth of the new list are: Vipshop and Amazon. In 2013, Jingdong ranked third in 2017 and rose to the second place in 2017. The turnover reached 54.37 billion yuan, with a compound annual growth rate of 98%! Suning Tesco rose from the fourth place in 2013 to the third place in 2017. The turnover exceeded 10 billion yuan, with a compound annual growth rate of 82%! In this way, Jingdong and Suning are strong and strong, and they are the strongest opponents of Tmall. Consumer goods category turned to traditional retail penetration, brand TOP10 structural changes.

Consumer goods category turned to traditional retail penetration, brand TOP10 structural changes

From the top ten turnovers of Tmall\'s “Singles Day” brand stores in 2013, Xiaomi, as the only mobile phone brand, defeated one of the only home appliance brands Haier on the list. Apparel footwear (Jack Jones, Camel, Uniqlo, Inman and Artka) occupies half of the list, and there are two other household goods brands (Royla Home Textiles and Fu Anna) and furniture e-commerce brand Lin\'s Wood. In 2014, Huawei and Meizu began to appear on the list, while the number of apparel brands decreased to three (Uniqlo, Jack Jones and HSTYLE). In 2015, the home improvement brand Sitrust into the list, became the first to enter the “Singles Day” TOP10 brand sales service class, the apparel brand Uniqlo remaining one seat. In 2016, three squirrels of food brands, sports shoes brand Nike, Adidas were shortlisted for the “Singles Day” TOP10 list. In 2017, the home appliance brand Sharp and Midea were shortlisted to create a new land list. In 2017, Tmall “Singles Day” sales TOP10, integrated e-commerce Suning Tesco ranked first, mobile phone brands (Xiaomi and Huawei) ranked second and third, the rest are home appliance brands (Haier, Sharp and Midea) , sports brands (Nike and Adidas), apparel brand Uniqlo and furniture brand Lin\'s Wood.

Tmall “Singles Day” sales TOP10 brand changes reflect changes in consumption levels: From the storage products of clothing + furniture and homes in 2013, to the three squirrels in 2016, consumers\' consumption needs are more diverse. It is no longer limited to daily necessities such as clothing and cosmetics. Food, mobile phones and even home appliances have become popular categories of “Singles Day” in the past two years. The penetration into other traditional retail industries has made the “Singles Day” activity continue to be vibrant and attract more user traffic.

New record for sales of maternal and child products, increased consumption of food and cosmetics

Judging from the sales of different categories of “Singles Day”, the top six in 2016-2017 have no new categories, but some rankings and retail sales have changed. In 2017, the number one household electric appliance ranked first with a sales of 38.6 billion yuan, and there was no major change in 2016. The second-ranked mobile phone achieved sales of 22.1 billion yuan, but its market share in 2016 decreased by nearly 4%. It is worth noting that maternal and child products jumped from the 5th place in 2016 to the 4th place in 2017. The retail sales accounted for 3% of the total, reaching 9.14 billion yuan, exceeding the retail sales of living appliances. From the “Singles Day” online shopping consumer category TOP6 distribution, in 2013 and 2017, consumers’ spending on clothing has always been the highest. In 2017, the proportion of food consumption rose to 49% of the online consumer group\'s consumer goods category, while cosmetics still ranked sixth, but the consumption ratio increased from 17% to 34%.

The average consumption amount has increased, and after 95, it has become the main consumer, and mobile consumption accounts for up to 90%.

With the development of society and the growing disposable income of Chinese residents, compared with the per capita consumption of China\'s “Singles Day” shopping carnival in 2013 and 2017, the per capita consumption of less than 500 yuan and the proportion of 500-1000 yuan fell, while 5000-10000. The rise of the yuan range reflects the improvement of the spending power of online shopping people in China.

Judging from the age distribution of the “Singles Day” online shopping, the main factor of China’s “Singles Day” consumption in 2015 is 85. In 2017, the main consumer has become 95, and after 00, it has begun to enter this shopping carnival. After the 95s and after 00, the crowd had frequent contact with the concept of Internet shopping, and had strong ability to accept new things, occupying an absolute proportion in the shopping crowd. In 2013, China\'s “Singles Day” shopping carnival mobile phone turnover was only 9.55 billion yuan. In 2017, the mobile transaction volume reached 231.11 billion yuan, accounting for 91% of the total turnover!

The region has the strongest ability to sell, and the constellation ability TOP5 has not changed much.

According to the situation of provinces and cities, there is almost no change in the TOP5 provinces and cities in Tmall\'s “Singles Day” turnover in 2013-2017. In 2017, Guangdong Tmall “Singles Day” turnover was the highest, reaching 20.3 billion yuan, followed by Zhejiang Province and Jiangsu Province, with transaction volume of 16.77 billion yuan and 14.793 billion yuan respectively.

It is worth mentioning that the “Singles Day” TOP5 constellation list with the strongest ability in the “Singles Day” has almost no change in 2013 and 2017. In 2013, Libra had the best ability but failed to enter the top five in 2017. While Cancer has risen to one, Capricorn has entered the list, while Scorpio, Gemini and Virgo have remained in the top five.

A reporter interviewed Jack Ma last year.

He said: “ ‘Singles Day’, we don\'t make money, the purpose is to bring happiness to consumers.”

100 million - 11 seconds, 100 billion yuan - 9 hours. Tmall “Singles Day” turnover, broke a new record! what is this concept? Give you a look at the data: From January to October this year, the top ten companies in the country\'s housing sales, the tenth place 11117 billion!

Reporter: Before you said that BAT, Ma Yun is the one who doesn\'t know the most about technology, but from the heart, he really loves technology. Some time ago, you just set up Dharma. Is this to satisfy your personal wishes or is Alibaba\'s future possible to become a technology-led company?

Jack Ma: Not the future, we have always been a technology-led company. From the first day, only three of the 18 people in Alibaba were engineers, and only one of the three engineers was a computer graduate. We deeply know that there is no strong technical support in the development of Alibaba. No matter how good the business philosophy is, there is no way for you to last.

In the future, we must rely on innovation to win the market. We rely on technology to win profits. You can\'t use the money to open up the market, but you can\'t squeeze profit because large scale. But because you have excellent technology, you can do things that others can\'t do, and you can solve problems that others can\'t solve. If we want profit, we must invest in technology. In the past ten years, our technology investment and investment may be no less than any high-tech company in the world, and 25,000 engineers and technicians are working in this company. The set of technologies we have established, why do we engage in “Singles Day”, the most important point of the “Singles Day” is to enhance our technical strength. In fact, the Singles Day made us all very tired, the logistics industry is tired, the technology is tired, the bandwidth is tired, and the Alipay is also tired. But without the double 11, we can\'t make 120,000 transactions per second last year, and we have 380,000 transactions per second this year. This technology is not available in today\'s world because no such company has had such challenges and experiences.

In fact,“Singles Day” is not that we make money, the double 11 itself doesn’t make any money for us. Singles Day hopes to bring happiness to consumers, bring happiness to businesses, bring us technological advancement, and bring us organizational talents. Therefore, we must upgrade our technology in a big way every year. Whether it is logistics technology, whether it is the technology we pay, whether it is the technology of the whole platform, we believe that every year, the Singles Day is the average amount after ten years.

For us, Ali may have more technical needs than all other companies. Because it stopped Ali, it meant stopping more than 30 million jobs. Stop the ants, means that all of a sudden a lot of financial cut off. Stop us, many small businesses stop for a day, and may be completely troublesome. There are alternatives to stopping others. For us, we have no substitutes. This is a responsibility. We must do this. We must have strong technology to support it.

Report: Some people say that 2017 is the first year of artificial intelligence in the e-commerce field. Do you think that the combination of artificial intelligence and business will create much value in the future?

Jack Ma: I think that 2017 is not the first year of Chinese e-commerce here. In 2016 and 2017, the American academic community and society have a fairly understanding of artificial intelligence.

In fact, Alibaba\'s large-scale use of machine intelligence in 2005, 2006, and 2007 is artificial intelligence, which we now call “artificial intelligence.” But today we think it is a study of machine intelligence. Because there is no artificial intelligence and machine intelligence, we can\'t complete Alipay and Ant Financial to complete a large number of all safety and credit system construction. How many bad guys ah, every day to find ways to steal money. Without artificial intelligence, it is impossible to see the entire network, Taobao, Tmall’s attack on counterfeit goods, intellectual property protection. This kind of labor can\'t be done. There are more than one billion items in a day. You can see it by hand. You must use a machine to look at it. So from this perspective, Alibaba has improved the data and technology, so we set up the Dharma Institute.

The difference between Dharma and other research institutes, I tell you that Dharma is to solve the problem of how to empower the machine, how to make people live better and better, not to make people worse. Therefore, the first technology of Dharma is to do a good job in helping human life to be healthier and better. In addition, the Dharma Institute hopes to bring all human technologies to the forefront. For example, if you want to pay 10,000 yuan, I hope that I can make a dollar, and I will sell you a dollar, I can still earn 50 cents. Only in this way can everyone inspire innovation and make all the world\'s technologies universal. Today we understand very well that only good people, we will be good, only business is good, we will be good, consumers are good, we are good. The technology is the same, the technology of the merchant is very bad, the technology of the shop on Taobao is very bad, how does he develop? We want to develop technology and make them strong.

Reporter: In the past two years, Alibaba has done a lot of technical attempts, like smart impressions, internet cars, etc. In many areas, what is the biggest traffic entry in the future or a new black horse?

Jack Ma: I never thought about traffic portals. I think that any domain, any column domain, can become traffic. But don\'t feel that if you have a traffic portal, you will become the king of the world and you will be the first.

The development of various industries in the future is particularly fast, but we hope that for companies like ours, we shouldn’t chase the market again. We should create a vent, so that more companies can enjoy this enthusiasm. We are large, we have to find the vent, we will be exhausted.

For example, we are helping the poor out of poverty, using the Internet and e-commerce to solve poverty alleviation. How do we build a thing, making it very meaningful for everyone to do this thing, feel that making money, helping others, and being very good.

Another, we in environmental pollution, social governance, how do we make it better? It’s environmentally friendly. Everyone feels that there is no money. How can we make environmental protection people earn money? Others make money, we have the opportunity to make money, we can make a little money, others have not made money, others have gone bankrupt, how do we make money?

Third, in the future, this aspect of medical health, including big entertainment, we will make a whole lot of movies and TV every year, but today I want to ask this question, how do we plan for ten years later? In addition to the things that the Chinese people eat, the things that look in and listen to are also the improvement of quality and the improvement of enjoyment.

At the Singles Party, we are trying to let the Chinese not only watch the Spring Festival Evening. 80% and 90% of the Spring Festival Gala are excellent domestic literary and artistic works. What do we let the Chinese see the world\'s outstanding cultural works. We hope that as a company, we must take responsibility for the country, society, and the world, so that our young people will be meaningful to the officers. So hard, I can still influence a little world, otherwise everyone is busy making money, it makes no sense.

These are the reporter\'s interview with Jack Ma.

It’s been two days since the double eleven, how much did you spend on shopping? What is the first package received? As a seller of AliExpress and Taobao, the first piece we sent was a set of juggling ball.