Alibaba delivers 80 million orders in one day

Alibaba set a record by delivering 80 million orders in just one day. Photo: Bloomberg .

Alibaba set a new record with 80 million delivery orders in just one day, as China's food and consumer goods delivery market enters a period of unprecedented fierce competition.

Alibaba Group announced that it had reached 80 million deliveries on July 12 through platforms such as Taobao Shangou and Ele.me, a major milestone as the company ramps up investment in instant e-commerce, taking on rivals such as Meituan and JD.com.

Taobao Shangou, Alibaba's new instant commerce platform, said its daily active users increased 15% week-on-week to about 230 million. While it did not provide details, Alibaba said the growth was a direct result of its large-scale promotional campaign.

Recently, a series of platforms including Meituan, JD.com, Taobao and Ele.me have simultaneously launched strong incentive programs. From free milk tea, coupons up to 188 yuan (about 26 USD ), to super discount programs that last all night. The main goal is to stimulate consumption and gain market share.

JD.com said it hit 150 million orders in a single day, helped by deals like giant freshwater prawns for 16.18 yuan (US $2.26 ).

As a result, many small stores were overwhelmed by the sudden surge in orders. Liu Hang, the owner of a milk tea franchise in Dazhou, said weekend sales increased 10 times the normal, to more than 300 orders a day. Another store in Chengdu even received 800 orders a day.

“The price war is very fierce. Many large stores receive up to 3,000 orders a day, and employees are under great pressure,” said Mr. Liu.

But consumers are responding to these campaigns. Huang Yuxiang, a 22-year-old engineer in Beijing, said he bought coffee for 0 yuan through a coupon on Taobao. “I only paid 2 yuan ( US$0.28 ) for delivery. It’s worth a try,” Huang said.

The battle for market share in China's instant delivery sector has escalated since JD.com officially entered the market in February, with a strategy of subsidizing and rapidly expanding its hourly delivery services.

Source: https://znews.vn/alibaba-dat-ky-luc-moi-post1568730.html