Streaming ecommerce is worth $ 30 billion in China

A company linked to Viya, the queen of Chinese livestream, was recently fined for violating advertising laws and has generated general concern about the quality of products sold through livestreaming ecommerce platforms. We are talking about a business valued at over 30 billion dollars in China: influencers known as Key opinion leaders (KOLs) who sell products and services during even endless live shows that reach 30% of online consumption. Qianxun Culture Media Co was fined 530,000 yuan for illegal promotion of food and cosmetics, while Viya, a livestreamer with more than 80 million followers, was accused of selling counterfeit products on the Taobao livestream platform last month. A market that in China involves companies like JD.com, Suning.com, video clip platforms like Douyin and Kuaishou and social apps like WeChat and Weibo. And that right now is facing precisely the problem of counterfeiting: in 2020, the number of users who watched ecommerce shows in livestream reached 388 million and the number of sellers on 23 platforms exceeded 130 million, making it precisely a huge business. Some livestreamers explained to the Global Times how the business works: behind the frontman who presents and introduces the product to the public, there is a large team that selects the products and is responsible for research as well as negotiating with manufacturers and brands. Although public security authorities have stepped up their efforts to crack down on the sale of counterfeit goods through live streaming with laws and regulations, for major platforms such as Taobao and Kuaishou, despite asking merchants to sign an agreement to ensure authenticity. and the quality of the product, it is difficult to supervise the entire process and ensure that consumers get what they ordered.The phenomenon of streaming platforms that shift the commercial attention of companies is also forming with us around the most popular streamers . Ludwig Ahgren recently made a ten-day straight on Twitch reaching peaks of 75,000 concurrent users and channel subscriptions that have earned over $ 350,000. Large companies have routinely started planning their advertising campaigns on Twitch as well, such as KFC’s new Chicken United communication. Burberry already in 2020 was the first to broadcast a show live via Twitch’s Squad Stream function and streaming social ecommerce is just around the corner.