Fashion etailers are hoping for a spike in sales this weekend following the start of Chinese New Year.
The festivities are set to last 15 days, with families celebrating with huge feasts and parties. A key custom is to give a loved one a red envelope, known as a ‘hongbao’ with money inside it as a gift.
“What’s striking is how this tradition has changed so rapidly thanks to e-commerce,” says Chris Boaz, head of marketing for PCA Predict. “People have begun gifting this present online, with 46 billion hongbao exchanged digitally last year.
“This follows a wider trend of nearly three-quarter (73 per cent) of Chinese consumers shopping online for Chinese New Year. There is a huge opportunity for UK retailers to capitalise on the Chinese e-commerce market around this time, especially as it is estimated more than a fifth (23 per cent) of consumers in China will make at least one cross-border purchase via the internet in the next year.”
He adds: “While Chinese New Year can’t compete with the size and scope of Singles’ Day in terms of e-commerce opportunity for international brands, it is becoming an increasingly important date for retailers outside of China.”