Tencent doubles down on WeChat live streaming to take on TikTok after user base quadruples in 2022
- Tencent will provide more incentives for influencers and merchants to use its short video and live-streaming service in 2023
- WeChat also pledged to launch new programs for brands to help them kick-start their video presence on Channels
Tencent Holdings is doubling down on its WeChat live-streaming services to take on TikTok and its China cousin Douyin, after the internet giant reported a fourfold increase in its livestreaming user base and growth of more than 800 per cent in live streaming e-commerce gross merchandise value (GMV) in 2022.
Tencent, which has been reducing its investment portfolio and laying off workers in the face of market headwinds, will provide more incentives for influencers and merchants to use its short video and live-streaming service in 2023, according to company executives speaking at the annual conference of WeChat, known as Weixin in Chinese.
The move follows an internal speech last month by Pony Ma Huateng, founder and chief executive of Tencent, in which he said that short video has become the new hope for the company. The Shenzhen-based firm’s short video function, also marketed as Channels, was centre stage at the online WeChat conference but the company only revealed the rates of growth in key metrics, and not the absolute numbers of current active users and GMV.
WeChat said it will continue to support influencers, by including more original content creators in its incentive schemes and step up help for those in categories such as music and comedy. It also pledged to launch new programs for brands to help them kick-start their video presence on Channels.
User time spent on WeChat’s Video Accounts, which is celebrating its third anniversary this month, has already exceeded 80 per cent of Moments, the popular social media page within the super app, and its total number of video views grew over 200 per cent in the past year, the company said, echoing the data revealed by Tencent executives in August.
Channels accumulated 200 million users in less than six months after its launch in 2020, “father of WeChat” Allen Zhang revealed at that time, but WeChat has not provided updated user numbers since. Zhang was absent from this year’s event.