Home Stocks Alibaba’s Double-11 Sales Slow Down But Beat Expectations

Alibaba’s Double-11 Sales Slow Down But Beat Expectations

Bank analysts react to Alibaba‘s third quarter Double-11 sales slowed down (27% yoy) compared to last year (39% yoy).

Reaction to Alibaba’s Double-11 Sales

Deutsche Bank

Double-11’s 27% yoy GMV growth appears in line with 26% ad growth outlook for 3Q The 10th Singles Day (aka D11) GMV ended up with RMB213.5bn, up 27% yoy, compared to 39% yoy last year. The results are largely in line with the expectations given we assume 26% yoy for CMR and commission revenue combined for 3Q FY19 and since we do not assume any meaningful increase in take rate during the quarter per BABA management’s recent comments.

Get Our Activist Investing Case Study!

Get the entire 10-part series on our in-depth study on activist investing in PDF. Save it to your desktop, read it on your tablet, or print it out to read anywhere! Sign up below!

Q3 hedge fund letters, conference, scoops etc


Alibaba ended 2018 Singles Day with total GMV in RMB +27% y/y vs. +39% in 2017. We believe this suggests a weaker macro environment in China, on top of the law of large numbers. Tmall orders increased 28% y/y, with average order value -1% in RMB vs. 2017 and +11% vs. 2016. This year, 237 brands on Tmall exceeded RMB 100M GMV, +42% y/y. During the event, post-90s generation accounted for 46% of total buyers. Starbucks participated in Double 11 for the first time, with the first cup of Starbucks coffee delivered by Ele.me 9 mins after the event kicked off. In 2018, new participants in BABA's Double 11 include Ele.me, Hema, Easyhome, Lazada and RT-Mart, which were not included in 2017 GMV calculation. Overall, we continue to see BABA's ecosystem evolving with new elements: New Retail (Intime, Hema...), Local Services (Koubei+Ele.me...) and Travel (Fliggy). Going forward, we expect GMV growth will become more reliant on the cooperation and synergies b/w different channels and services.


Alibaba’s Double-11 sales slowed amid a macro slowdown but beat our expectation. Total GMV was up 27% YoY, ahead of the expected c.25% YoY.


The Life and Career of Charlie Munger

You can learn from Charlie Munger firsthand via this incredible ebook and over a dozen other famous investor studies by signing up below:Charlie is more than just Warren Buffett’s friend and Berkshire Hathaway’s Vice Chairman – Buffett has actually credited him with redefining how he looks at investing. Now you can learn from Charlie firsthand via this incredible ebook and over a dozen other famous investor studies by signing up below:

  • Learn from the best and forever change your investing perspective
  • One incredible tidbit of knowledge after another in the page-turning masterpiece of a book
  • Discover the secrets to Charlie’s success and how to apply it to your investing

Never Miss A Story!

Subscribe to ValueWalk Newsletter. We respect your privacy.


    We won’t send you spam. Unsubscribe at any time.
    Exit mobile version