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Pinduoduo heats up price war during China’s 618 shopping festival with tool for merchants to quickly adjust cost of goods

  • Pinduoduo’s new ‘automated price-tracking system’ will enable merchants to swiftly adjust the cost of goods online during the 618 shopping festival
  • Users can set up a specific range that the system would follow when adjusting the price of goods

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Pinduoduo promotions for the 618 shopping festival kicked off on May 19 and will conclude on June 21. Photo: Shutterstock
Ann Caoin Shanghai
Pinduoduo, the mainland budget-shopping platform of PDD Holdings, has introduced an “automated price-tracking system” for merchants to swiftly adjust prices online, as China’s e-commerce giants gear up for this year’s 618 shopping festival.
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The novel system, which Pinduoduo rolled out on Wednesday, provides merchants on the platform a fast and intelligent way to “keep pace with [the pricing strategy of] competitors”, according to a report by Chinese digital media DoNews on Thursday.

The system, for example, will automatically adjust the online prices of its user as soon as it finds a rival merchant offering lower prices, the report said.

According to screenshots of the system posted by Pinduoduo merchants on Chinese social media, subscribers can set up a specific range that the system would follow when adjusting the price of goods. The system will be in operation until June 21, which is the end of Pinduoduo’s 618 sales campaign.
Pinduoduo’s automated price-tracking system is expected to give merchants on the platform a competitive edge during this year’s 618 shopping festival. Photo: Shutterstock
Pinduoduo’s automated price-tracking system is expected to give merchants on the platform a competitive edge during this year’s 618 shopping festival. Photo: Shutterstock
Pinduoduo’s latest initiative reflects the escalating price war among China’s e-commerce services providers amid a slowdown in retail sales.
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ByteDance-owned Douyin recently started internal tests for a similar smart pricing system for merchants, according to Chinese media reports.
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