ByteDance (Douyin in China and TikTok in the rest of the world) has become a major rival in China to the established order of the three Chinese giants Alibaba, JD, and PinDuoDuo (Temu).
Douyin's mid-year GMV growth of 46% year-over-year follows a previous year of 80% growth. This is in stark contrast to Taobao and Tmall, which only achieved a combined GMV growth of 5%.
ByteDance has also launched Douyin Search, a standalone application with an interface as simple as Google's, allowing users to explore Douyin's content.
There are 50 million content creators worldwide, a number that has doubled in just two years. They generate revenue of $100 billion in the West and $400 billion in Asia. This is the creator economy, and it's the driving force behind this phenomenon.
This is why we have already assisted dozens of leading companies in the beauty, luxury, and pet food industries in their social commerce transformation.
Social commerce brings two key attributes: greater salience, especially among those under 35 who will constitute the bulk of tomorrow's consumer pool, and greater resilience, which is a business's ability to organically develop its sales.
Salience was once achieved through advertising. Creative excellence made a brand stand out from its competitive environment. Today, the main driver of salience can be summed up in one sentence: how does the creator economy talk about a brand, and how can we orchestrate a shared value creation with it? This is far more than influence marketing. It is a blend of social and commerce, hand in hand.
#socialcommerce #ecommerce
