Kuaishou is one of the most famous short video apps in China having more than 200 million daily active users. 80% of the users were born after 1990, among which the average usage time can be around 60 minutes per person per day. Moreover, 19 million people have started to earn regular cash flow from Kuaishou. Looking at the overall user distribution, users in first-tier cities only account for 10%, while users in second and third-tier cities are the main users of Kuaishou.
People record, edit and share their lives through photos, short videos, and live streaming almost every day. E-commerce focuses on turning offline sales into online ones, so Kuaishou has made it possible to turn offline operation mode online with the help of live streaming and short videos.
The rise of short video e-commerce on Kuaishou benefits from three factors:
- Social Participation
People on Kuaishou make high-quality videos and regular quality live streams that receive a lot of social support that turns into profit. There are 4 ways to enable people to participate on the platform:
- Advertising on short videos, which is a consistent way of generating income but does not guarantee audience interest in the product or conversion.
- Short video e-commerce, which provides value to the products, instigating people to make a purchase just on the product merit. This ensures conversion but lacks a little bit of customer retention and resale.
- Live streaming profits, which are probably the most effective way of conversion, customer interaction and trust-building, which in turn also increases the chances of resale.
- Transparency of Products
With the help of short video and live-streaming, consumers can get a better look at the goods and their source, while sellers can show the characteristics of different products in the videos or streams. Kuaishou always insists on promoting activities related to brand traceability so the buyer is satisfied with the seller and the product before making the purchase.
- Sales Platforms
Kuaishou can connect itself with third-party e-commerce platforms like Taobao, Pinduoduo, and JD by taking advantage of the platform’s interoperability. This helps leverage an already existing e-commerce platform on Kuaishou to enforce a better and more familiar user interface while cutting down on the maintenance and development time.