Alibaba Group Holding (NYSE:BABA) voiced notable progress with its digital marketing tool, Quanzhantui, which launched earlier this year and aims to drive revenue on its Taobao and Tmall platforms.
The tool helps merchants improve their sales by leveraging AI-powered technology.
According to Eddie Liu, head of marketing and branding at Alimama, the tool was crucial in supporting 1.3 million products on the first day of Singles' Day, the SCMP reports.
Also Read: Alibaba And JD.com Ease Rivalry, Share Logistics In Response To Economic Challenges
Alibaba launched Quanzhantui to help merchants grow their revenue, especially during competitive shopping events like Singles' Day.
The company introduced Quanzhantui, alongside a new technology service fee, as part of its strategy to increase monetization.
During the initial day of Alibaba's Singles' Day promotion, Quanzhantui supported over 250,000 merchants and helped increase their gross merchandise value (GMV) by 66% compared to the previous day.
Alibaba launched a 1 billion yuan ($142 million) promotion on October 1, waiving delivery fees for Taobao orders over 99 yuan in Hong Kong.
Taobao's GMV and order volume have grown significantly, with vital positive feedback on the free shipping initiative.
China is reportedly planning a massive fiscal stimulus of 6 trillion yuan ($850 billion) over three years to boost its economy. This will be accompanied by central bank measures to lower interest rates and reserve requirements.
As part of their Singles' Day preparations, Alibaba, JD.com Inc (NASDAQ:JD), and PDD Holdings Inc (NASDAQ:PDD) launched early promotions on October 16. Alibaba committed over $5.7 billion to offering discounts and free nationwide shipping.
Alibaba's fiscal first-quarter topline grew by 4% to $33.47 billion, missing the analyst estimate of $34.81 billion. Taobao and Tmall Group revenue declined by 1% to $15.60 billion.
Alibaba Group stock has gained over 37% year-to-date. Investors can gain exposure to Alibaba through Goldman Sachs Hedge Industry VIP ETF (NYSE:GVIP) and Amplify Transformational Data Sharing ETF (NYSE:BLOK).
Price Action: BABA stock traded lower by 2.47% at $99.90 premarket at the last check on Monday.
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