China’s trade-in incentive schemes significantly boosted consumption during this year’s Double 11 shopping extravaganza, which concluded on Monday.
The trade-in program was introduced to festival discounts provided by e-commerce platforms for the first time during the major annual shopping event. Leading e-commerce platform Tmall collaborated with various brands, investing a total of 6 billion yuan (approximately $829 million) to stimulate consumption. The initiative included category-specific coupons and official brand discounts, aiming to attract consumers across different product segments.
Meanwhile, Pinduoduo launched a super incentive campaign, focusing on incentives for items in key categories such as mobile phones, electronics, and home appliances. This strategic move targeted consumers seeking upgrades in technology and household products.
The integration of trade-in incentives with existing festival discounts created a significant uptick in consumer engagement and spending. Analysts believe that these strategies not only boosted sales during the Double 11 festival but also reflect a broader trend toward innovative approaches in stimulating consumption within the Chinese market.
The success of these incentive programs underscores the dynamic nature of the Chinese mainland’s e-commerce landscape, as platforms and brands continue to explore new methods to appeal to consumers amidst a competitive market environment.
Reference(s):
Trade-in incentives boost consumption during Double 11 festival
cgtn.com
