According to the latest data from QuestMobile, as of February 2022, Douyin and Kuaishou's live streaming users accounted for 87% vs 86.0% respectively. The proportion of users aged 25-40 is as high as 40.3%, and the proportion of users over 51% is 18.9%. 28.8% of users over the age of 51 spend more than 2,000 yuan online per month, clearly showing that the group's spending power over 51 is considerable and far exceeds expectations. Thus, Kuaishou and Douyin, which started from short videos, have become the main force platform of live streaming e-commerce.
China's government has introduced new policies to encourage the development of the live streaming e-commerce industry, by strengthening the industry norms to ensure the healthy development of the live streaming e-commerce industry and focusing on cultivating live streaming talents and encouraging live streaming to penetrate the market of lower-tier cities. Kuaishou and Douyin have an upward trend in the proportion of users, and they are composed of users under the age of 40, while users in cities below the third tier are active, which indicates that the live streaming market penetration in lower-tier cities strategy has paid off.
It is worth noting that users over age 51 have gradually joined the ranks of people watching live streaming. The proportion of their online spending of more than 2,000 yuan is almost similar to the overall population that watches live streaming, which shows that the spending power should not be underestimated. Fashion, price and quality are the core spending concerns of the user groups that watch live streaming.
Kuaishou and Douyin, the differentiated competition form of the two platforms are obvious, and the commodity layout and structures of typical consumer industries are significantly different.
Douyin focuses on high-frequency and low-priced fast-moving consumer goods, mainly in food and beverage categories; while Kuaishou’s core is in the high-unit-price beauty category. In Douyin live streaming, the leading sales of FMCG products are casual snacks, and convenient instant food products, for Kuaishou the strongest sales products are in skin care, while the sales gap of other categories is particularly obvious.
Currently, the live streaming sales of Douyin are driven by mid-tier KOLs with 1 million to 10 million fans, while 70% of the sales on Kuaishou live streaming platform are mainly from KOLs with tens of millions of fans.
According to the live streaming sales in February 2022, there is a new “sales secret passcode” on Douyin KOL’s list – “celebrity” & “couples” are more diversified in categories for live streaming e-commerce. On the contrary, the KOLs on the Kuaishou list are mainly based on the beauty category.
The growing demand for fast-moving consumer goods on the Douyin platform has resulted in intensive KOLs in the food category, which has evolved into fierce competition. The number of KOLs in celebrities, fashion outfits, and longing, is lower than the overall average of the platform, but the ability of live streaming e-commerce is notable. Since the core of Kuaishou’s live streaming sales is skincare products, the sales on the platforms are dominated by fashion, lifestyle and beauty KOLs, but the live streaming e-commerce effect is slightly average. However, the niche category KOLs in Kuaishou and Douyin are in a state of “competition” on both platforms, slightly inferior. Since the core focus of live streaming consumer groups is on fashion, price, and quality, KOLs on various platforms are also competing in these three areas.
Since the challenge of the epidemic, the roles of live-streaming have become richer, and various types of KOLs are competing for the live-streaming market to explore the path of commercialization. Brand self-streaming has become a new infrastructure for consumer companies and has jointly established a brand live streaming matrix with influencers.
With the continuous improvement of the industrial chain and deepening of consumers’ live-streaming shopping habits, the live streaming channels and participants have become more diversified, which will enable the live streaming e-commerce industry to achieve explosive growth.
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