Alibaba Group Holding Ltd (NYSE:BABA) has found the leprechaun’s pot of gold in China. Singles’ Day, which is a variant of Valentine’s Day in the US, got the e-commerce juggernaut’s transactions amounting to 57.1 billion yuan ($9.3 billion) in just 24 hours, according to Bloomberg. This paves the road to a promising future for Alibaba Group Holding Ltd (NYSE:BABA), whose price of approximately $114.50 is up almost 22% in a little less than 2 months.
“There’s really some eye-popping numbers here. Yesterday, Alibaba’s Singles’ Day promotion chocked up 57 billion yuan worth of goods sold. That is about $9 billion. They were able to surpass last year’s record of 36 billion yuan in only about 14 hours,” said Ed Lococo.
The report further cited Jack Ma as saying that in about 4 years, the date of November 11 will be promoted by the largest retailers worldwide. Alibaba Group Holding Ltd (NYSE:BABA) has a lot to benefit from such shopping bonanzas and if this holiday reaches global dimensions, there will be even more upside to the business. Brands like Calvin Klein, Inc. and Tesla Motors Inc (NASDAQ:TSLA) were also encouraged to work the hype in their favor. However, major performers on Alibaba Group Holding Ltd (NYSE:BABA)’s platform were consumer electronics, especially mobile devices, which happen to be in the top 10 most sold phones.
“Some of the big winners were definitely companies that are involved in electronics and smartphones. So, for example Xiaomi Corp., which is now China’s largest smartphone vendor and also number 3 in the world during third quarter. Yesterday they announced that they sold 720,000 phones valued at 1 billion yuan in just 12 hours,” informed Ed Lococo.
Alibaba Group Holding Ltd (NYSE:BABA) already more capacity in terms of merchandise volume than Amazon.com, Inc. (NASDAQ:AMZN) and eBay Inc (NASDAQ:EBAY) have together, and it’s speculated that things will get even more serious as the business steps out of its homeland borders.
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