- Nov 09, 2020
- Chinese Consumers
Singles Day Grand Promotion: Home Appliance Sales Spike, with Focus on Smart Products
by Kelly Dawson
In a year during which many consumers spent more time at home, sales for home appliance products on JD.com have hit record highs during this year’s Singles Day Grand Promotion. On November 6th, about halfway through the Singles Day promotion period (November 1st to 11th ), JD held a special home appliances promotion day that revealed an increased focus on health among customers; rapid growth of Customer-to-Manufacturer (C2M) and smart products; increased environmental concerns through products that conserve energy; and continued confirmation that JD’s expansion across omnichannel efforts accurately reflect the evolving needs of customers.
Even as COVID-19 recedes in China, health-consciousness has only grown. Home appliances labeled “healthy” saw transaction volume grow by 150% on November 6th, the special home appliance promotion day, compared with the same period last year.
For many consumers, increased health-consciousness translated to a focus on cleanliness and sterilization. Sales of degerming refrigerators utilizing anti-bacterial technology increased by 4.5 times compared with the same period last year; and subzero temperature refrigerators that carefully control conditions to prolong the lifespan of fresh food increased by 300% during the same period.
High-end vacuum cleaners costing more than RMB 2000 yuan (US $300) were favored by families with pets, with sales increasing by more than 4.5 times. Sales of Ecovacs 2-in-1 vacuuming and mopping robots exceeded that of the whole day last year by 12 noon on November 6th. In general, sales of portable vacuum cleaners increased by more than four times year on year.
Demand for mid- to high-end air purifiers also spiked, with sales at 10 am on November 6th exceeding that of the entire day last year.
Tailored to fit
Another area that saw rapid growth was Customer-to-Manufacturer (C2M) products, co-developed by JD and partners to address customer preferences according to big data. Sales of C2M home appliance devices increased by nearly 5 times year on year. Brands like Haier, Midea and Sony all saw sales of C2M devices increase by more than 200% year on year in the first 12 hours of November 6th.
New C2M success stories included Sony’s 65-inch gaming television; an 1,000-gallon per day Midea water purifier and a customized Haier refrigerator series, all of which saw sales increase by 100% year on year.
Other C2M products that sold well offered some smart capabilities, including an automatic mopping and sweeping robot; cartridge washing machine that automatically refreshes laundry detergent when low; and an eye massager with voice function.
In fact, customers have gravitated toward smart products across all categories, and this was equally true for home appliances.
Younger families are investing more and more in smart home products. Sales of a smart lock increased by more than 250% year on year; and sales of Huawei and Xiaomi smart screens increased by more than five times from the previous month. Sales of smart security increased by more than sevenfold year on year.
Additionally, sales of whole-house smart systems increased by 50% month on month.
Consumers are also paying more attention to energy conservation and environmental protection. Sales of premium energy efficient air conditioning units increased by more than four times from the previous month. Other similar products also saw sales increase.
Additionally, JD’s innovative home appliance trade-in program increased exchanges by 330% month on month; with small home appliance recycling also achieving month on month growth of 100%. This program helps domestic households trade in old appliances for new products that are more environmentally friendly.
As JD continues to integrate offline and online channels of reaching customers, 15,000 JD home appliance stores joined in the special home appliance promotion day on November 6th. By noon that day, sales of 600-liter volume refrigerators increased by five times compared with the same period last year. Sales of a washing machine and dryer set increased by 10 times; and a popular floor washer also saw sales increase by 200%. An all-in-one steaming and baking machine priced at more than RMB 10,000 yuan surged, with the transaction volume for the product accounting for more than 90% of all stoves sold on the day.
Foot traffic increased by 200% at more than 1,000 JD-affiliated offline stores. Popular products included a 10kg washing and drying machine, and a 75-inch LED flat panel television that saw sales increase by more than eight times year on year.
Customers also rushed to try out home appliances at E-Space, JD’s home appliances experience stores in Chongqing. Featuring 50,000 square meters devoted to providing customers the chance to try out new products in person, the store saw sales surge for items including smart products and heating-related commodities, which increased by 50% month on month. Popular products at the store included Phillips hair dryers, Galanz microwave ovens and Supor rice cookers, all of which set single-day retail records for opening day sales.