Lowering The Threshold Of Brand Entry, Live Delivery With Goods Is The Way Out For Xiaohongshu?

On July 22, xiaohongshu released a series of brand support policies, including 0 threshold entry, 10 billion traffic support and Koc connection plan (Koc: key opinion consumers, corresponding to KOL).

Among them, xiaohongshu will provide 10 billion traffic for brand certification fee of registered and certified enterprise number before July 31, focusing on the support and introduction of new enterprise number, high-quality anchor with goods, new grass planting and live broadcast of merchants.

In November last year, xiaohongshu officially announced its entry into the Bureau of e-commerce live broadcasting and launched an interactive live broadcasting platform. Compared with other platforms, it is not too early for xiaohongshu to enter the Bureau. However, in the first half of this year, under the epidemic situation, online live delivery with goods was pushed to the peak and became a gale.

Now, focusing on brands, xiaohongshu provides support from capital, flow and anchor with goods. Can it solve the commercial cash flow problem?

Speed up commercialization

After six years of growth, from cross-border e-commerce, grass planting community to today's lifestyle platform, xiaohongshu is still unique in China's Internet world, but in terms of commercialization and realization, it has always attracted attention from all parties.

A long time ago, xiaohongshu has been weakening its e-commerce label, and is not willing to define itself as "cross-border e-commerce". However, the content community is also faced with many problems, such as the decline of content quality, false notes, the amount of illegal production and cash flow difficulties. "Rectification" is one of the key words of xiaohongshu in 2019. Last year, xiaohongshu handled 4.4357 million cheating notes, banned 21.28 million accounts related to illegal production, and intercepted 1.423 billion times of illegal production cheating.

At the same time, it is also speeding up the process of small business. In November last year, in the name of helping creators, xiaohongshu launched brand cooperation platform, Haowu recommendation platform and interactive live broadcast platform. This also marks the small red book officially entered the Bureau, network live broadcast with goods.

This year, little red book has become more direct. Almost every support policy released by xiaohongshu today focuses on brands.

This support plan mainly includes three parts: the core of the first policy is to reduce the fees. From now on to July 31, brands will enter xiaohongshu and set up enterprise numbers free of entry certification fees. On the e-commerce side, the basic Commission for brands entering xiaohongshu mall was reduced to 5%, and the Commission for some categories including food, milk powder supplementary food, digital appliances, health products, etc. was reduced to 3%, and 2% commission was returned for products sold through live broadcast.

The core of the second support is to provide 10 billion traffic support for brands, anchors and live broadcast businesses, including 1 billion traffic to support 10000 newly settled enterprise numbers, 2 billion traffic to support 1000 anchors with goods, 2.5 billion traffic to improve the efficiency of 100 new varieties of grass planting, and 4.5 billion traffic to help 200 high-quality live broadcast businesses.

In addition, we will help users to communicate with each other in the trial run of new products, such as the trial of new products, and the third one will help users to communicate with each other through the brand collection of new products.

In an interview with the international financial journal, Internet analyst Ding Daoshi said that in the past, in order to improve the content of social networking, xiaohongshu's attitude towards commercialization was somewhat ambiguous. In this process, xiaohongshu officials may not have made much money through xiaohongshu, but the third-party marketing agencies, we media and KOL have all made money through xiaohongshu. This year, xiaohongshu has increased its commercial layout, supporting businesses through resources and flow, attracting businesses to settle in and cooperate with businesses, and then earn some considerable income through e-commerce Commission and service fee.

10 billion traffic focuses on live broadcast with goods

In March this year, the China Consumer Association released the online survey report on consumer satisfaction with live e-commerce shopping. According to the content about the intergenerational distribution of consumers' ages, the post-80s and post-90s are the main force of shopping, of which the post-90s account for 49.7%, the post-80s account for 32.9%, and the post-00s are 3% more than the Post-70s.

According to xiaohongshu's recent disclosure, its monthly life is more than 100 million, 70% of its users are post-90s, and 8 billion notes are exposed in a single day. From this point of view, it seems that the development of small books is a good thing.

However, it is not enough to have a huge potential consumer group. When every major platform pays attention to and competes for the anchor with goods, we can not see the figure of little red book temporarily. According to the statistics of Guoji, there are 28 Taobao anchors, 19 fast anchors and only 3 twitter anchors on the list of "June top 50 live e-commerce anchor GMW monthly list" jointly released by Bian Niushi and wemedia.

It is worth noting that Weiya, Simba and Li Jiaqi, who have been popular since last year, dominate the top three. Among them, weia and Li Jiaqi are from Taoxi, Simba from express, and only three of them have Gmv reaching 1 billion. The Gmv of the fourth anchor in June exceeded 400 million yuan, which is more than 1 billion yuan lower than that of Li Jiaqi, the third.

Although the current live broadcast industry is paying attention to the cultivation of waist anchor, but from the Gmv data, the influence of the head anchor is still hard to shake in a short time.

This is what xiaohongshu will do next. Of the 10 billion traffic support of xiaohongshu, 2 billion traffic will be used to support 1000 anchor operators with goods. Compared with the time required for internal support, attracting stars or celebrities with their own traffic from the outside can open the market more quickly. Similar to the cooperation between tremolo and Luo Yonghao, xiaohongshu has found Yang Tiantian, CEO of one heart Entertainment, who has a certain popularity and topic among young women. Recently, Yang Tiantian revealed in the live broadcast of xiaohongshu that she will officially open her live delivery business in xiaohongshu on July 25, and will send out a Hermes bag during the live broadcast.

Compared with traffic support, some brands and businesses seem to pay more attention to the stability of infrastructure when choosing live delivery. A person in charge of MCN, who has been cooperating with the brand side for a long time, once told the reporter that although some platforms have a large amount of live broadcasting experience on multiple platforms, due to the fact that the platform has not been involved in e-commerce for a long time, many infrastructure such as payment, logistics and some direct broadcasting tools are not perfect, which will affect the user experience and share the brand's subsequent purchase intention with consumers Analysis, marketing decisions and other behaviors can not bring much help.

At present, there are many people who are worried about the small book's internal red book, such as the small book, which is not enough to meet the demand of the internal trade infrastructure.

In Ding Daoshi's opinion, the saying of e-commerce gene is a false proposition. The playing methods and modes of e-commerce have been opened up, and there is no secret. Some short video platforms do not have e-commerce genes and enter the game late, but they still do a good job in live delivery with goods.

As long as you are not willing to invest in Taobao's live broadcast mode, you will not be willing to do live streaming as long as you are willing to invest in Taobao.