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Alibaba’s Taobao Live reports over US$60 billion in GMV in 2020 as China intensifies scrutiny of live-stream e-commerce industry

  • Taobao Live saw triple-digit growth in its number of daily active users and live-streamers last year, Alibaba said
  • Online shoppers became more accustomed to watching merchants sell goods through live videos during the Covid-19 pandemic

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Chinese internet celebrity Viya Huang Wei prepares for live streaming on the e-commerce platform Taobao on May 19, 2020 in Hangzhou, China. Photo: VCG
Jane Zhang

Taobao Live, the live-streaming platform for merchants on Alibaba Group Holding’s online marketplace Taobao, has set ambitious plans for the year after generating over 400 billion yuan (US$61.7 billion) in gross merchandise volume (GMV) in 2020, despite rising regulatory scrutiny on the live-streaming e-commerce sector.

Taobao Live saw its number of daily active users and live-streamers grow 100 per cent and 661 per cent respectively from 2019 to 2020, according to a statement released by Alibaba, the owner of the South China Morning Post, on Wednesday.

“We kept the momentum going through a dedication towards driving unique value propositions for long-term engagement and business opportunities for the ecosystem,” said Yu Feng, Alibaba’s vice-president who oversees Taobao’s content e-commerce. “Looking ahead, we are committed to further investing in and developing innovative technologies and services to better support our partners.”

A blacksmith sharpens a chopping knife, a chef cooks a giant pancake, and workers sew quilts in Taobao Live videos during the Singles' Day sales bonanza in 2020. Photo: Screenshots
A blacksmith sharpens a chopping knife, a chef cooks a giant pancake, and workers sew quilts in Taobao Live videos during the Singles' Day sales bonanza in 2020. Photo: Screenshots

Live streaming gained popularity as a new way to reach out to online shoppers during the Covid-19 pandemic, when many stayed home and relied on the internet to meet their daily needs.

Between January and December 2020, the number of Taobao Live users who watched live-stream sessions six times a day and placed an average of more than 10 orders a month increased by 150 per cent, Alibaba said, adding that the average monthly spending of these loyal users exceeded 1,500 yuan. 

Taobao Live is now working with Alibaba’s research institute DAMO Academy to develop a smart camera designed to give real-time feedback to anchors during broadcasts to improve the live-stream experience, the company said. DAMO’s artificial intelligence algorithms have already been adopted to provide more accurate recommendations to customers. 

On Wednesday, the platform also launched two new tools to better support sellers and influencers, known as key opinion leaders (KOLs), in managing live-stream content, sales, products and fan engagement.

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