How Alibaba sold $9.3bn on 11/11

STRATEGIES THAT

SELLHow Alibaba sales Hit $9.3 bn on 11/11

NYU Competitive Strategy Class Individual Presentation Prof. Tariq Khan

Presented By Elsa (Ying) Wang @elsamushroomgir yw1449@nyu.edu

AGENDA

BACKGROUND

SITUATION ANALYSIS

STRATEGY

RESULTS

BACKGROUNDWhat is Alibaba?

What happened on 11/11?

“It is a marketplace, search engine and bank, all in one.”WHAT IS ALIBABA?

The Largest IPO ever

Raised $25 Billion

“I never thought the money I have belongs to me.

It belongs to society.” -Jack Ma

MISSION

VISION

To make it easy to do business anywhere

To build the future infrastructure of commerce

11/11

“Singles Day ” or ”Anti-Valentines Day ”

Online shopping festival

SITUATION ANALYSISSWOT

Persona

WEAKNESSES

STRENGTHS

Credibility

Service

Price

Alipay and Taobao’s support

PERSONAAlice

24

Single

Teller @ Bank, moderate income

Active online, 1400+ followers @weibo

Busy, time crunch

Smart, price matching

Spent ¥30，000 online last year

STRATEGYSocial Media

Promotion

STRATEGY

BIGGEST Sale Annually,

only ONE DAY

#Mydouble11 Fightting!

SOCIAL MEDIA BUZZ“Is 11.11 really cheaper?”

“Reveal” the real sale

“What should we buy on 11/11?”

Recommendation lists went viral

Mysterious Gifts

PROMOTIONFirst, dig holes in users’ pockets

Win bonus for filling Alipay Accounts

“It’s stupid to put your money in your savings account. Even though the chance to win the bonus is really small due to the large volume of accounts, there is nothing to lose if you don’t win one. ”

someone won ¥100 bonus money after filling ¥300

PROMOTIONHourly Sec-kill Product

Over 90% off

Samsung 4G memory card ¥1.9 = 30cents

OTHERS

Physical stores embrace 11.11

Celebrities’ picked

Coupons

RESULTS

RESULTSSold $9.3 billion,

42.6% were payed by mobile devices.

Broke two Guinness World records

Most (1,894,867) mobile phones sold in a single online platform in 24 hours

Highest online retail sales ($9.3 billion) in 24 hours in a single company

Heavenly Cat

Money Cat

Thanks!

Feel free to ask me if you have any questions about digital marketing, SEO/SEM, business in China.

@elsamushroomgir yw1449@nyu.edu www.linkedin.com/in/elsawangnyu/

REFERENCEhttp://www.forbes.com/sites/ryanmac/2014/09/22/alibaba-claims-title-for-largest-global-ipo-ever-with-extra-share-sales/ http://projects.wsj.com/alibaba/ http://tech.sina.com.cn/i/2014-11-11/03309778862.shtml http://www.marketwatch.com/story/alibabas-singles-day-bigger-than-black-friday-2014-11-10 http://www.zhihu.com/question/20573715/answer/20006203