Short-video platform Kuaishou started testing its lifestyle-centred program on 24 February, encouraging users based in Beijing and Hangzhou to make group purchases whilst inviting local food and beverage brands onboard.
This program is embedded in Kuaishou’s own ecosystem, aiming to connect users through online content and featured services, promoted through short videos and live stream. In celebration of the program’s release, storefronts in partnership with Kuaishou offered group buying coupons for users. To better integrate the local lifestyle ecosystem, Kuaishou merged its e-commerce team with marketing in a bid to divert online traffic in a more efficient way.
Apart from the self-operated program, users can also place food orders through third-party platforms such as takeout retailers Meituan. Kuaishou users can easily land on the checkout page of Meituan to complete certain product purchases via links displayed in short videos they’ve watched.
The local lifestyle market commands a vast room with lucrative business opportunities, amassing a value of 19.5 trillion RMB ($2.81 trillion) with an expectation to reach 35.3 trillion RMB ($5.09 trillion) by 2025. As such domestic social media players are scrambling to grab a foothold, with WeChat included, initiating takeout services in China and Douyin dipping its toes in the online supermarket segment.
As short-video platforms, Kuaishou and Douyin possess a noticeable edge compared to other contenders, enabling them both a smooth entry into the takeaway business, providing consumers with seamless experiences when placing orders while watching videos or live streams.
In contrast to Douyin, Kuaishou’s “Lao’tie culture” (refers to one’s close friend in northern China) has equipped the platform with benefits which resonates strongly with users and thus, witnessed a 70% returning consumer rate. Furthermore, Kuaishou has already expanded into the lower-tier marketplace in China, with 54.5% of its users coming from tier-3 and even lower areas.
By timely tapping into the territory, Kuaishou still has opportunities to carry out its lifestyle-oriented program and promote new practices with a sturdy user base and strong consumer bond.