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China turns to artificial intelligence to boost sales during Singles Day shopping festival

Reported by Vivek Joshi (Copy Editor) Β· Livemint - Technology Β·

Source: Livemint
Worth knowing
China turns to artificial intelligence to boost sales during Singles Day shopping festivalPhoto: Wikimedia Commons

China is putting artificial intelligence to the test during its month-long Singles Day shopping festival, where chatbots are helping buyers research, recommend, and complete purchases. E-commerce companies like Alibaba, JD.com, and PDD Holdings are using artificial intelligence to keep cautious buyers engaged while facing tough competition. Platforms such as Tmall and Taobao now offer virtual clothing try-ons and discount tools. On the social commerce platform Douyin, AI chatbot links drove about 5% of purchases in October, according to WPIC Marketing Technologies data. For considered purchases like supplements, that share went past 20%. Jacob Cooke, chief executive of the research firm, notes that this is a new gateway and expects it to grow like livestreaming or social commerce. Interim figures from Syntun show that sales grew 2.4% between October 7 and October 31, compared to a 1.1% rise in retail sales for the year up to September. JD.com reported that its shopping assistant, Dongdong, drew nearly 80 million users for advice, which is more than triple last year's user count. AI-enabled devices are also seeing strong demand. Alibaba states that AI toys crossed 100 million yuan in sales within one year of launch, while sales of AI companion robots jumped nearly fivefold in late October compared to the previous year. Tmall records show that sales of AI tokens surged over 700% from October 15 to November 5. Livestreamer Austin Li sold 100,000 monthly subscriptions for Alibaba's QwenWork in just 30 minutes. Experts point out that artificial intelligence integration works differently depending on how platforms and brands price their products. Ben Cavender from the China Market Research Group warns that brands can lose out if they disappear from searches because buyers rely on AI assistants. Meanwhile, shoppers like 40-year-old Beijing office worker Amanda Gao are already using virtual try-ons for clothing.

Context

China's digital retail market relies heavily on super apps that let users complete transactions and schedule deliveries within a single platform. This ecosystem makes it easier to embed artificial intelligence tools directly into the buying process. Singles Day has grown from a single-day event into a month-long shopping festival across major e-commerce platforms.

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