What’s new: Food delivery giant Meituan has jumped on the livestreaming e-commerce bandwagon by hosting its first livestreamed shopping event, a move widely seen as a counteroffensive aimed at video platform operators such as ByteDance Ltd., which earlier rolled out offerings in the local services and delivery arena.
Takeout coupons worth 86 million yuan ($12.5 million) were sold on Tuesday during a marketing event, which included an 11-hour livestream shopping show, according to a Meituan statement. Major companies that participated in the event included Luckin Coffee Inc. and budget bubble tea chain Mixue Bingcheng Co. Ltd., which sold more than 15 million and 1 million cups of drinks, respectively, according to Meituan.
Having tested the waters, Meituan will host a livestreamed shopping show on the eighteenth day of each month in the future, according to the statement. Multiple brands have also said they agreed to be involved, it added.
The background: Meituan’s dominance in the areas of local on-demand services including food delivery has been challenged by short-video and livestreaming platform operators in recent months.
In October, Douyin, ByteDance’s TikTok cousin in China, launched a new segment — linking users with nearby restaurants, entertainment venues, beauty services and accommodation — that could help businesses sell products and services to livestreaming viewers. And since early this year, ByteDance started providing food delivery services on the Douyin app in several cities including Beijing, Shanghai and Chengdu.
But Meituan’s counteroffensive with the latest livestreaming push won’t be an easy ride. A major challenge is for it to build up an ecosystem that can attract livestreamers to join its platforms, analysts said. The company relied on recruiting livestreamers who are active on other platforms to join in its Tuesday shopping event.
Related: Cover Story: TikTok’s Chinese Twin Is Taking On Alibaba and Meituan for E-Commerce Market Share
Contact editor Bertrand Teo (bertrandteo@caixin.com)
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