The sudden disappearance of China's "Lipstick King" from Alibaba Group Holding's (NYSE:BABA) Taobao may come as a blow to the live-streaming platform.
What Happened: According to analysts, the abrupt disappearance of China's top online sales host Li Jiaqi may be a short-term blow to the e-commerce giant but highlights the larger risk of relying on a few celebrity influencers, Nikkei Asia reported.
Rumors around the fate of Li have been steaming up after Taobao abruptly stopped his live-streamed show last Friday, leaving millions of fans of Li clueless about what happened.
Li cited technical issues but then later failed to show up at an online sales and has since gone off the radar. This has prompted widespread suspicion that mainland China censors might have sidelined the 30-year-old influencer.
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Li had recently featured ice cream and cookie cake shaped like a tank on 3 June, a day before the 33rd anniversary of the Tiananmen Square massacre.
He became the "Lipstick King" after reportedly selling 15,000 Lipstick in five minutes on Taobao. Li's popularity spurred in recent years as COVID-19 lockdowns kept millions of eager buyers at home.
Why It Matters: 618 Festival and Singles' Day in November are the two-biggest shopping extravaganzas of the year in China, and the disappearance of Li – who ranks at the top of China's sizzling live streaming sales sector – could cost big tickets to online giants that contracted him.
In the list were big brands that contracted Li ranging from Dior Foundation and La Mer skin cream to domestic furniture and pet supply makers.
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