By SHE Xiaochen
This is the 15th Singles Day shopping spree and both stores and customers have gotten a bit bored of “mind-boggling discounts.” The aura surrounding live streamers like Austin Li is fading.
But Xiaohongshu, the social networking that started out mimicking Instagram, has decided to double down on live streaming.
Is less really more?
E-commerce on Xiaohongshu this year is almost four times that of last year. Although Xiaohongshu says it will not rely on live streaming as its only business channel, it is evident that live streaming is just about all Xiaohongshu has.
But compared to its noisy rivals, Xiaohongshu wants its live streaming sessions less about shipping stuff, and more about an intimate chat. Many on Xiaohongshu refuse to push products because they fear it will cost them their fan base.
Nor are they keen to join any big agencies for more online traffic. Actor DONG Jie is a top influencer and a renowned actress. She streams only once a month. Another influencer ZHANG Xiaohui hosted only one session in the past three months. Many top live streamers on Taobao and Douyin seem to be screaming from the screen all day every day.
War remains heated
The first wave of store live streaming on Xiaohongshu was more inclined towards individual influencers, such as brand owners or store managers. And during this year's Singles Day, in-store live streaming grew, with more dedicated employees live-streaming for the brand.
Xiaohongshu recently highlighted 30 breakthrough brands in new sectors worth paying attention to. Most are actively live streaming, many quite a lot. Some have worked with top influencers, such as Dong Jie.
The war among live streamers remains heated. While live streaming has changed shoppers’ behavior, it doesn’t meet the desire for higher-quality products.
Catering to the trend
In this regard, Xiaohongshu does not differ from other platforms; the main distinction lies in the style of the influencers. Both users and live streamers have grown weary of traditional live formats. A calmer and more intimate style offers something new.
Xiaohongshu said both Dong and Zhang had seen revenue over 100 million yuan, with other 21 influencers’ revenue reaching 10 million yuan. Such performance might seem insignificant compared with Taobao or Douyin, but it is the best Xiaohongshu can do.
Since last year, transactional advertising has become the preferred allocation for brand budgets, and live streaming models boast higher conversion rates. Platforms naturally need to cater to this trend. With competition highly competitive, customer acquisition costs continue to rise, squeezing small and medium-sized brands as well as newcomers.
Not for everyone
Aligning with the platform's tone, live streaming has brought new stores to Xiaohongshu, but the logic of live streaming has not changed. The "differentiation" in Xiaohongshu's live streaming sessions is also a double-edged sword in its expansion.
The quiet and intimate style is not for everyone. Those who already have a fan base on the platform do not need to do live streaming to attract viewers and advertisers, while those with limited influence don’t have anyone to watch.
