As the highly anticipated Double 11 festival (also known as Singles’ Day) approaches, local businesses strive to implement innovative strategies to stay competitive against e-commerce platforms like Taobao.
Celebrated on November 11 every year, the Double 11 festival originated in China and was initially a celebration for single individuals, with the four “1s” symbolizing the visual representation of singles. This festival has since transformed into an annual mega-retail event, with both online and offline retailers offering aggressive discounts and promotions. Each year, retailers strive to seize this opportunity to maximize their sales by innovating their marketing strategies.
Amid the excitement of this mega shopping event, Taobao, the e-commerce giant, has launched several appealing offers that have attracted extensive media coverage, including a welcome red packet worth up to ¥300, promotional codes, and free shipping to Hong Kong on purchases over ¥99.
Innovative Offline Promotions by Local Businesses
Local stores, recognizing the potential returns during this festival, also seize this opportunity to boost their sales through various online and offline strategies. They strive to stay competitive against the e-commerce giant during the festival.
Limited-time offers tied to the “11” theme
Offering limited-time discounts—often related to the number “11”—is a significant strategy that many businesses have adopted. Walking around the major shopping malls in Tsim Sha Tsui, many shops display their promotion posters for the Double 11 sale outside their stores, featuring a variety of promotions, including bundle deals and discounts tied to the “11” theme.
“We are offering limited-time discounts and promotional offers, like the $11 deals from Nov 1 to Nov 6, along with bundle sales to provide extra value,” said Michelle Lam, the marketing assistant at Vita Green.
Gifts with purchase
Apart from direct discounts, many retailers have adopted gifts with purchases as a strategy during the festival. By increasing the perceived value and encouraging larger purchases, these offers are often tied to gifts or free samples, motivating customers to spend more, hence increasing the overall transaction size.
Lam said they have included a multitude of gifts with purchase offers to boost the brand’s sales. “We have a handcart as a gift with purchase,” said Lam.
As one of the booming categories seeing significant growth this year, beauty brands have leveraged the Double 11 shopping craze with higher-valued offers.
“We have added more deluxe samples to the existing monthly set offers to provide greater savings for customers,” said Kari Chan, a marketing team member at YSL Beauty. For these offers, shoppers only pay for the finished goods but receive a bundle of samples for free.
Kari added that providing exclusive offers and double membership points during the SOGO Thankful Weeks, which coincide with the festival, also encourages shoppers to explore their local retail shops. “We also collaborate with local retailers like Langham Place to join their marketing campaigns, which we believe can help drive foot traffic to our stores,” Chan said.
“The Double 11 Festival is the best time of the year to shop. I can get a good price directly from offline shops without worrying about waiting for shipping from online shops and quality because I can try on the products,” said Carol Chan, a local customer who purchased some new clothes during the Double 11 Promotion period at Fred Perry. “Stores often enhance their service alongside competitive pricing to attract more customers during the festival.”
Boosting Brand Visibility Online with Digital Marketing Strategies
Beyond in-store promotions, local businesses in Hong Kong also leverage their e-stores and digital marketing efforts to capture a larger group of online shoppers during Double 11.
Media Coverage
Many brands, such as Kloo, NIKE, and Sushi Express, resort to digital marketing strategies to expand media coverage of their festival promotional offers.
“Our company (Vita Green) has invested in ad spend, including social media posts, TV commercials, train ads, and print advertisements, to target price-sensitive customers,” said Lam.
E-stores
While some stores chose to invest in media spending, others opted to leverage their existing e-stores. At the e-store of Lancôme, the brand offers discounts exclusively for online purchases, including flash offer sets and limited-time promotion codes for their bestsellers like Génifique Ultimate Dual-Repair Augmented Serum & Clarifique Double Treatment Essence.
Blending Online and Offline Promotions
Some local retailers blend online promotions with offline pop-up experiences to boost brand visibility and showcase special festival deals. For example, Ulike has a pop-up store in K11 Art Mall, leveraging digital campaigns and partnerships with Key Opinion Leaders (KOLs). Meanwhile, Ya-Man offers exclusive e-store discounts alongside skin analysis services at their K11 MUSEA pop-up, allowing customers to try their products in person.
As the Double 11 craze gains global popularity, businesses worldwide eagerly tap into this prime opportunity to boost their revenue. Local businesses are no exception; they aim to follow the trend and capitalize on the festival. By combining various marketing strategies and leveraging both online and offline platforms, they strive to make the most of this festive shopping extravaganza.