· PDD to invest 2.5 billion yuan to support May 5 shopping festival
· Additional 1 billion yuan set aside by PDD to promote Shanghai’s heritage brands
Call it the Great Post-Lockdown Sale.
E-commerce giant Pinduoduo Inc. (PDD) and many of Shanghai’s businesses and department stores will come together to support local spending, with attractive discounts on a range of products and services planned for a shopping festival on May 5.
After weeks of lockdown, the city’s majestic Bund and hip Xintiandi shopping district are once again teeming with activity. But temperature checks at shopping malls and restaurants remain common, and most people are still wearing surgical masks when out in public, a sign of a new normal even after the decline in number of COVID-19 infections in Shanghai.
To encourage reluctant consumers to spend, PDD will invest 2.5 billion yuan in cash and subsidies to support the May 5 shopping festival, which will kick off the night before. And in a first, PDD will extend its 10 Billion Yuan Subsidy Campaign to support offline shopping, working with more than 10,000 brands and companies in Shanghai to ensure a seamless shopping experience.
As part of the campaign, PDD will offer a minimum of 100,000 yuan off selected models, including the Cadillac XT5 (starting list price — 329,700 yuan) and Volkswagen Tiguan. They are among the 55 automobiles from Shanghai-based SAIC Group that will be put up for sale through the platform.
About 100 shopping malls will be taking part in the May 5 event and participate in online promotions, including livestreaming their goods and services on e-commerce platforms. Other promotional activities include the distribution of coupons, offline raffles, limited-edition launches and virtual reality shopping.
In addition, PDD will set aside 1 billion yuan worth of coupons for consumers buying Shanghai heritage brands. The company will also extend technical support and consumer insights to these brands to help them with their digital transformation.
PDD is one of several major technology companies to take part in the Shanghai festival. Others include Tencent, Alibaba and Meituan, as well as companies like department-store operator Bailian Group and Bright Food, a large food-and-beverage manufacturer.