On Sunday, JD.com, a Chinese e-commerce business announced that its sales reached 127.1 billion yuan ($19.14 billion), up 50% from a year ago.
JD.com is considered China’s second biggest e-commerce company. A surprising profit came in the third quarter on from their Singles’ Day shopping extravaganza. It has been reported that the even beats combined sales for Black Friday and Cyber Monday in the U.S. The company’s posted net earnings of 1 billion yuan ($151 million), is its highest ever quarterly profit, in the three months leading up to Sept. 30.
The company has noted also a net loss of 807.9 million yuan in the third quarter last year.
JD included they have lost about 100 merchants in to a rival during the promotion period for Singles’ Day, which is considered China’s biggest online sales event. JD suspects their immediate opponent, Alibaba, of engaging in coercive tactics to influence consumers.
“Based on the feedback we received from these merchants, the move was mainly due to the coercive tactics from our competitor,” company CFO Huang said in an interview.
Alibaba denied the claims, and responded that merchants were free to choose whichever platforms they like.
“Merchants make their own choices. Alibaba’s scale and technological advantages make it the preferred partner for the world’s top brands,” said Alibaba spokeswoman.
The Singles’ Day sales event was started on November 1 by JD, to reduce delivery jams and to allow users more time for decisions. JD sold about 500,000 Thailand black tiger shrimp and 55 million facial masks, which shows that fresh food and cosmetics are some of the online retailer’s biggest achievers.
JD also sold 500 million yuan in air conditioners in half an hour, and another 100 million yuan selling televisions in one minute.