Brands focus on stories in refining China livestreaming to boost profits

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When tech giant Apple joined China's livestreaming frenzy, a major driving force of the e-commerce boom in the world's second biggest economy, it launched without deep discounts or a celebrity host to pull millions of viewers.

Livestreaming sessions by Chinese livestreamers Li Jiaqi and Viya, whose real name is Huang Wei, are seen on Alibaba's e-commerce app Taobao displayed on mobile phones in this illustration picture taken December 14, 2021. Picture taken December 14, 2021.

"You have to move towards content instead of promotion," said William Lau, chief executive of multibrand beauty retailer Bonnie and Clyde. One of China's best known hosts is Li Jiaqi, the so-called "lipstick brother," who sells everything from toilet paper to home appliances on a show offering viewers the best discounts via Alibaba'sWhile Tmall and Li Jiaqi remain powerful, brands moving away from that strategy are cutting reliance on massive discounts and even his famous exhortation, "Oh my god! Buy it!" in favour of a focus on storytelling.

"If the product fits the character of the host, the consumer will tend to believe, 'Oh, this is the product you use,'" said Zephyr Liu, Asia-Pacific head of women's apparel brand Ba&sh.Liu once thought her brand's price point of about 2,000 yuan for its dresses made it incompatible with bargain-heavy livestreaming.

 

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