China‘s economic slowdown continues to tighten consumer spending, but this year’s Singles’ Day—one of the world’s biggest online shopping fests—is getting a price-conscious revamp. Alibaba’s Taobao & Tmall and rival JD.com are both wheeling out aggressive low-price strategies, but is this enough to keep the shopping carts rolling?

Singles’ Day is a pretty big event in China for customers

From October 12 to 23, Alibaba is giving away a whopping 1 billion yuan (about $137 million) in cash coupons through its live-streaming platform, Taobao Live. The company aims to be the go-to place for the best online deals, offering consumers more bang for their yuan. Meanwhile, JD.com is not to be left behind; it’s kickstarting its own Singles’ Day extravaganza on October 23 with an event themed “real cheap.” Over 800 million products will go on sale, and JD.com is also offering 10 billion yuan worth of price subsidies and free shipping for selected items.

Alibaba

Interestingly, the e-commerce giants are changing their game plan due to economic pressures, signaling a move away from lavish promotions and shifting toward what Chinese consumers seem to want most—low prices.

However, this new approach comes with its own set of challenges. JD.com, for example, is already feeling the heat with less-than-impressive retail revenue growth in the last quarter. Alibaba too is aware of the stakes, with founder Jack Ma advising a renewed focus on Taobao and its consumer base to sustain in a fiercely competitive market.

As both companies brace for the annual shopping spree stretching from late October to mid-November, it’s unclear if their bet on low prices will pay off. Consumers, like 27-year-old Lucy Liu from Shanghai, remain on the fence, cautious about how they’ll engage with this year’s Singles’ Day.

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