Every year for the last decade, consumer spending in China during its Singles Day event has soared.

From a one-day shopping festival created by Taobao Mall in 2009, the autumn sale in China has become a national event that lasts for nearly a month. Sales have gone from 50 million yuan (US$ 7.8 million) to 500 billion yuan (US$ 78.3 billion) in the last 12 years, according to Alibaba Group data.

However, this year saw the slowest growth yet, with an 8.5 percent rise from 2020, compared to the 85 percent growth the previous year, according to data from the ecommerce behemoth.

For retailers, this means “having to think much more strategically about how to maximize the Double 11 season,” says Seaky Qian, Head of Supply Chain and Logistics Solutions, JLL Greater China. “The supply chain network needs to be optimized and adjusted.”

“With network design modeling, retailers can know whether their current quantity, location and amount of space in plants and warehouses are appropriate, and where to adjust and optimize,” Seaky says.

Other groups are reviewing their business continuity plans, which should be less superficial and more of a practical guide for business units to refer to in times of plant shutdowns, warehouse port closures, or other unexpected incidents.

There’s also a need to rethink redundancy levels in warehouses, with a push away from “zero inventory” models.

“This can greatly improve supply chain resilience and help companies to cope with the impact of the pandemic and avoid supply chain disruptions,” Seaky says.