Dealmoon.com, a Chinese-American shopping recommendation site, has brought Singles Day to the U.S.: 70% of the site’s 17.6 million monthly users purchase something on 11/11 every year. The Singles Day sale, which runs from Nov. 4 through Nov. 11, currently includes products from 400 retail clients.
While Black Friday shoppers often seek out deals on electronics, Singles Day customers are more interested in luxury goods, according to Jennifer Wang, Co-Founder and CMO of Dealmoon. In fact, shoppers of Chinese descent are expected to purchase 44% of luxury products globally by 2025, up from 33% currently, according to data from McKinsey & Company.
“The products we have are more luxury-focused, and very customized to the Chinese-American audience,” said Wang in an interview with Retail TouchPoints. “We see that trend growing each year, while Black Friday is fading a little bit compared to Singles Day.”
While Singles Day sales continue to increase each year, the holiday is more than just an opportunity for retailers to run promotions. Access to a vast audience makes Singles Day an optimal perfect time for brands to tout their best products to a fresh group of consumers.
“This is actually a good time for retailers to propose their brand to global customers,” said Wang. “We have multiple brands that a Chinese audience has never heard of. We don’t just list the product prices, but we describe a lot of their branding, like their history and why people should buy the products. This is a perfect time for people to hear about the brand for the first time.”
Dealmoon’s own Singles Day participation has grown since 2013, when the site ran its first sale with 20 clients. Many items sold out during that initial run, and the next year Dealmoon attracted 60 partners — and the number has continued growing. Additionally, the platform has expanded to reach shoppers in Canada, the UK and Australia as well as the U.S.
While Singles Day offers retailers the chance to put themselves in view of a wide, growing audience, initial sales are just the first step. Brands need to consistently provide these new customers with high-quality experiences to convert them into long-term customers.
“The conversion rate is much higher than normal, but it also takes consistent quality and customer service year-round if you want to grow even more next year,” said Wang. “We constantly give feedback. Our editors are collecting information about customer experiences outside of Singles Day so you can continue building your reputation throughout the year.”