Are Kiwis missing out on world's biggest sale event?

Seven out of 10 Kiwis have not heard of world’s biggest sale event

Key insights:

• The world's biggest sale event, Singles' Day, is set to kick this year's sale season off on 11:11 (11 November) - but do Kiwis actually know it's happening?
  • According to PriceSpy’s new consumer omnibus survey* results, perhaps not – with seven out of 10 respondents saying they have not heard of Singles’ Day.
• But PriceSpy insights reveal consumer interest in Singles' Day is on the rise in New Zealand:
  • Shopper numbers on PriceSpy on Singles’ Day last year (2021) increased by over a fifth (22 per cent) compared to Singles’ Day 2020;
• With Singles’ Day reportedly generating around $139 billion in sales for Alibaba and JD.com** and attracting some 900 million Chinese consumers*** in 2021, New Zealand retailers are recognising how lucrative the event is - with many set to run discounts in November.
• But as retailers and consumers continue to face the ongoing battle against the cost of living, how will this year’s sale season shape up?
  • 93 per cent of survey respondents say they are worried about the current cost of living crisis;
  • And, almost a third (29 per cent) of survey respondents say they don’t plan to spend across any sales days over the next year.
• And are the Single’s Days deals worthwhile?
  • Just over one in five (21 per cent) products listed on PriceSpy received a discount on Singles’ Day 2021
  • Out of the shopping categories that offered a discount of 10 per cent or more on Singles’ Day, the biggest average discount came from washing machines (-68 per cent), fitness watches (-31 per cent) and espresso machines (-32 per cent).

With six weeks to go until Christmas Day, the world’s biggest shopping event, Singles’ Day, is due to kickstart this year’s sale (and spending) season on 11:11 (or 11 November).

As Singles’ Day gains momentum globally, a new PriceSpy commissioned survey* reveals Singles’ Day in New Zealand is flying under the radar – with seven out of 10 Kiwis (70 per cent) saying they have not heard of it.

Liisa Matinvesi-Bassett, New Zealand country manager for PriceSpy, says: “Singles’ Day continues to be the largest of the international sales events that takes place annually across the last quarter of the year.

“Once a stand-alone day (11 November), it is now so big, it has become a shopping extravaganza - taking place over weeks rather than just one day.

“Even though Singles’ Day sales exceeded that of Black Friday, Cyber Monday and Boxing Day combined****, our survey findings revealed not many Kiwis knew of it.”

Source: PriceSpy

What is Singles’ Day?

Singles' Day is a Chinese shopping day that originated as an unofficial holiday for bachelors. It’s also known as the ‘anti-Valentine’s Day’. The date was chosen because it includes all ones (11/11) as a nod to the ‘single’ element.

Awareness for Singles’ Day is on the rise

"With interest surrounding Singles' Day reaching new heights internationally - and sales figures exceeding that of any other event, awareness is set to grow in New Zealand," says Liisa.

• This year, PriceSpy’s consumer omnibus survey revealed a six per cent increase in the number of respondents saying they have heard of Singles’ Day vs four years ago (2022 vs 2018 results*).
• And on Singles’ Day last year (2021), the number of Kiwis looking to buy (clicks) on PriceSpy increased by over a fifth (22 per cent) in comparison to Singles’ Day 2020.

And New Zealand retailers recognise the growth potential

“Last year, Singles’ Day reportedly generated $139 billion in sales for Alibaba and JD.com**** - and New Zealand retailers are recognising its growth potential here.

As well as providing an opportunity to sell more stock per season, it gets Kiwis spending even earlier ahead of Christmas and helps improve profit margins, says Liisa.

“Over the next few years, we expect more consumers to shop on Singles’ Day, and more retailers to take part. The month of November will become even more significant in generating a burst of pre-Christmas sales.”

But with retailers and consumers both facing a cost of living battle, how will this year’s sale season actually shape up?

“Following Covid-19 lockdowns, continued supply chain disruptions, inflation and troubled times in Europe, significant price increases have happened across the board, impacting both retailers and consumers, says Liisa.

“With consumers evidently worried by the cost of living crisis, it will be interesting to see how the discounts offered across this sale season stack up.”

According to PriceSpy’s recent survey, consumers are worried about the cost of living crisis:

Source: PriceSpy

“In light of the current economic climate, unlike previous years, shoppers may tighten up their purse strings this sale season, says Liisa.

“On the flip side, shoppers may also hold out for the big sales to buy an item that may otherwise cost more at another time of year.”

And are the Singles’ Day deals worthwhile?

“Ultimately, a key factor that may influence whether consumers spend is the discount at hand. Last year, our historical pricing data showed the discounts offered on Singles’ Day were surprisingly good,” says Liisa.

• Just over one in five (21 per cent) products listed on PriceSpy received a discount on Singles’ Day 2021
  • Of the discounted items, six per cent delivered a drop in price equating to ten per cent or more, and;
  • The average price change amongst the products that dropped in price by 10 per cent or more was -22 per cent.
• But shoppers need to conduct essential price research - 14 per cent of all products listed on PriceSpy received a price hike on Singles’ Day 2021!

Liisa concludes: “Even though Singles’ Day is not well-known in New Zealand yet, our pricing research highlights there are some good discounts available.

“For example, across the items that delivered a discount of ten per cent or more, the biggest average discount came from the shopping categories of washing machines (-68 per cent), fitness watches (-31 per cent) and espresso machines (-32 per cent).

“At a time when price is everything, these types of savings may offer some welcome relief to consumers.

“But as our research highlights – not all products are discounted on big sales days. So, if you happen to be planning on making a purchase, whether it be on Single’s Day or in the lead up to Christmas, we strongly encourage consumers to carry out essential price research using a free comparison site or app, like PriceSpy, first.”

Download the PriceSpy app here.

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