Staff members work at an express delivery sorting center in Taizhou, East China's Jiangsu province, on June 17, 2026. [Photo/Xinhua]
One of the country's largest midyear e-commerce events, the June 18 shopping festival, or "618" as it is commonly known, highlighted this year a structural shift in the country's retail landscape, moving decisively away from price-driven competition toward margin protection, product innovation and artificial intelligence-enabled consumer engagement, according to industry insights.
Kathy Jiang, a partner expert at consulting firm Roland Berger, said across major e-commerce platforms, the long-running "lowest price guarantee" era appears to be fading. Platforms have increasingly deprioritized aggressive discounting strategies, while brands are recalibrating toward profitability, elevating net margin as a core KPI.
This marks a notable departure from previous 618 cycles, where promotional intensity and traffic acquisition costs dominated strategy. Instead, the focus is shifting toward sustainable growth and healthier unit economics.
On the demand side, consumer behavior during the shopping festival period is increasingly disciplined. Industry observations suggest that roughly 70 percent of shoppers now have pre-prepared shopping lists ready for the festival, significantly reducing impulse purchases and bundling-driven upselling.
