Alibaba Group Holding will roll out a programme called “Super Saturdays” over the next 100 days to lure more consumers to its platform, while escalating a price war against Meituan and JD.com in the mainland’s on-demand delivery services market.
Under Alibaba’s instant commerce brand Taobao Shangou, “Super Saturdays” would offer consumers up to 188 yuan (US$26) in subsidies for the purchase and delivery of low-cost goods such as milk tea and breakfast meals, according to a report by state-owned financial newspaper Securities Times. Alibaba owns the Post.
Alibaba declined to comment on the new programme. Details of the initiative were still subject to change, according to sources with knowledge of the matter.
Meituan earlier rolled out coupons offering milk tea for free. JD.com on Friday said it would offer 100,000 servings of crayfish every night at a fixed price of 16.18 yuan from 6pm until 2am.
While concerns have been raised about the price war’s impact on the revenue of the rival firms, China’s instant commerce market was forecast to surpass 2 trillion yuan (US$279 billion) in sales by 2030, according to data from the Chinese Academy of International Trade and Economic Cooperation.
