The annual mid-year shopping festival — Tmall 618 — officially kicked off on May 17 at 8 PM, and the opening results were nothing short of extraordinary. Within the first hour, over 13,000 brands reported a year-over-year sales increase, and 43 brands surpassed RMB 100 million in sales, including prominent names such as Apple, Huawei, Xiaomi, L’Oréal, Estée Lauder, Nike, and CPB.
Explosive Growth Across Categories
Consumer enthusiasm was evident across sectors:
• Beauty: Brands such as Proya, Lancôme, L’Oréal, and Estée Lauder broke RMB 100M within the first 60 minutes.
• Fashion: Global names like ZARA, Acne Studios, COACH, and Victoria’s Secret outperformed their entire 2023 opening day sales — in just one hour.
• Outdoor & Athleisure: Lululemon, HOKA ONE ONE, SALOMON, and others grew by over 50%, with some exceeding 400% year-over-year growth.
Why This Year Feels Different
This surge isn’t just about rising consumer demand — it reflects strategic shifts across platforms, especially from Alibaba:
• Simplified Promotions: Tmall removed complex cross-store coupons. Consumers now enjoy direct discounts of up to 50% — no calculations, no bundling.
• Streamlined Pre-Sale Model: A shorter pre-sale period with extended payment windows made checkouts smoother and faster.
• Government-Backed Trade-ins: China’s national “old-for-new” appliance subsidy fueled a boom in home appliances and electronics.
–Apple exceeded its entire 618 GMV from 2023 within just 20 minutes.
From Lowest Price to Highest Value
Unlike previous years dominated by price wars, 618 in 2024 is about value, not just discounts. Platforms have shifted focus to:
• Supporting high-quality and original brands
• Elevating the user experience and product innovation
• Offering sustainable pricing strategies that preserve margins
Alibaba’s 2025 brand strategy, announced in March, reflects this shift — emphasizing support for “high-potential brands with creativity and consumer stickiness.” Similarly, Pinduoduo and Douyin have launched massive merchant and creator subsidy programs, injecting billions of RMB to support trustworthy sellers and engaging content creators.
The Merchant War Is On
This year marks a strategic turning point: from traffic competition to quality competition among merchants. Platforms are investing heavily to attract and retain premium sellers:
• Alibaba committed ¥50B in subsidies across Taobao Live and Alimama.
• Pinduoduo announced a ¥100B three-year merchant support program.
• Douyin continues to back top creators and stores with billion-level traffic incentives.
As China’s e-commerce market matures, platforms are increasingly recognizing that sustainable growth comes not from one-time sales spikes but from cultivating ecosystems of strong, differentiated brands.