In his keynote speech, Douyin E-commerce President Kang Zeyu explained the concept of “interest e-commerce” for the first time, which is an e-commerce based on people’s yearning for a better life, satisfying users’ potential shopping interests, and improving consumers’ quality of life.
On April 8, 2021, the first Ecological Conference of Douyin E-commerce was held in Guangzhou.
In the keynote speech, Douyin E-commerce President Kang Zeyu explained for the first time the concept of “Interest E-commerce”, which is based on people’s yearning for a better life to satisfy users’ potential shopping interests and increase consumption E-commerce for the quality of life of the people.
He said that Douyin has a good content ecology, with many high-quality creators, diversified users and relatively mature interest recommendation technology, and there is a great opportunity for interest e-commerce.
Kang Zeyu said that despite the rapid development, GMV is not the first indicator of Douyin e-commerce at this stage. Improving the platform’s basic service capabilities for merchants, providing users with high-quality purchase guarantee and customer service experience is the top priority.
The following is the full text of Kang Zeyu’s speech:
Hello everyone, my name is Kang Zeyu, and I am the business person in charge of Douyin e-commerce.
You may not be very familiar with me. Let me introduce myself briefly. I came from a technical background and later changed my career to become a product manager. I like to make big and valuable products. Before, I was responsible for several international products in ByteDance, and Helo did a better job, which has some local influence. In fact, when I was doing Helo, Lidong (Zhang Lidong, chairman of Beijing ByteDance) came to me several times, hoping that I could try it and become a Douyin e-commerce company.
Actually, I was a little hesitant at first. At that time, I felt that the domestic e-commerce business seemed to be very mature. What gains can we gain from doing e-commerce?
But I can’t stand Lidong and always tell me that I think Douyin e-commerce is a very big thing, so I’ll just give it a try first.
Before joining Douyin e-commerce, Lidong once talked to me. Lidong asked me: “What do you want to buy today?” I thought for a long time, and said, “Nothing!” Lidong said, “You can use the vibrato and see good things, buy and buy!” Later, I was in I saw a live broadcast room on Douyin. Grandma Tian’s grandson introduced a Tianhai Tibetan fast-food crayfish on the live broadcast. The shrimps were full of meat and rich in soup, which looked particularly delicious. I decisively placed the first order on Douyin e-commerce. After I received it, I tasted it, it was real, delicious, and really fragrant! I discovered for the first time that the food industry has developed so fast.
In addition to placing orders by myself, I also started doing some user research simultaneously. This is also the tradition of our company. To do business, we must understand our users. I asked a lot of friends and found that everyone’s shopping experience on Douyin is very similar to mine. I didn’t plan to buy anything at first, but I brushed it up and found out: Hey, this thing is good, so convenient and so good, so I bought it. .
Then I gradually realized that this is indeedA very big opportunity, many users are not satisfied. I feel that this thing may be really interesting, we should be able to bring some new value to the industry, so I also took this job.
The theme I shared today is “Interests Create a Better Life”.
What is interest e-commerce?
In fact, our company only officially started e-commerce last year. The outside world has many interpretations of Douyin’s e-commerce business, saying that we are live broadcast e-commerce or content e-commerce, but we feel that these definitions are not accurate enough.
For example, content e-commerce, for any form of e-commerce, content may be very important. In an era without e-commerce, the outer packaging of consumer goods is very important, and that is also the content.
For example, live broadcast e-commerce. Live broadcast is just a form of carrying information. Short videos and graphics are all forms of carrying information. We think the form may not be the most critical.
Our internal view of this new form of e-commerce is “interest e-commerce”-an e-commerce based on people’s yearning for a better life, satisfying users’ potential shopping interests, and improving consumers’ quality of life.
The core of interest e-commerce is to actively help users discover their potential needs.
Interest e-commerce is actually a bit like shopping. In the early mass consumption era, everyone needed to buy what they wanted; later, everyone’s life became richer, and there were many shopping malls and boutiques. When people went shopping, they didn’t have any specific needs. They just bought what they liked.
Just like my first order in Douyin e-commerce, in the interest e-commerce scene, consumers’ needs are not clear. This is the biggest feature of interest e-commerce. So we said that the form is not very critical, and more importantly, how do you help users discover their potential needs and help merchants recommend products to interested people.
The need for shoppingIt has always been. Why did Douyin not enter this field on a large scale until last year?
Because of the popularity of short videos and live broadcasts, the display of products has become more vivid and intuitive, which has greatly reduced the threshold for consumers to make decisions. Last year’s epidemic caused more businesses to bring goods through short video live broadcasts for the first time, and it was also the first time many people tried to shop through short videos and live broadcasts.
Secondly, interest recommendation technology has become more and more mature, and interest-based personalized recommendation has become a market standard.
Finally, a large number of excellent content creators appeared, allowing a large number of high-quality products to be displayed through better content forms. Merchants can also reach more consumers through these creators.
Value and opportunity of interest e-commerce
We believe that interest e-commerce is very valuable.
First of all, helping consumers find potential needs is very valuable. Everyone buys things, in addition to just need, there are many pursuits for a better life. I am a person who loves to travel. I like good mountains, beautiful rivers and beautiful scenery. What I love most on Douyin is the travel shots shared by travel experts. One of my problems is that the hotel’s electric kettle is not so hygienic, and I can’t take it out. Later, I saw a review of a Mofei portable kettle on Douyin. This kettle is exquisite, compact, easy to store, and convenient for hot water. Seeing this video, I immediately placed an order. Later, this kettle became a must-have for my home trip, and I brought it with me this time in Guangzhou. If I am not interested in e-commerce, I might have missed the joy of life. Interested e-commerce companies can tell us that “life can still live like this before.”
For merchants, on the one hand, more consumption is unearthed, and on the other hand, they can also find their consumers more accurately. In the past, if you have a new product, you need to spread them all over the “duotou” of various shopping malls and supermarkets, or open a lot of specialty stores and hire a lot of shopping guides. Now, every live broadcast room is a “brand flagship store”, “specialty store”, “boutique store”, and Douyin e-commerce can help you quickly reach users across the country. According to feedback from merchants, more than 85% of their consumers on Douyin e-commerce are new customers. Interested e-commerce brings greater market and opportunities for merchants.
Speaking of so many values and opportunities, I believe you must be very curious, how big is the future of interest in e-commerce?
According to third-party calculations, the GMV of interest e-commerce companies will probably exceed 9.5 trillion by 2023. More and more participants in the entire e-commerce industry will turn to interested e-commerce.
There are great opportunities to be interested in e-commerce, and of course Douyin e-commerce has a great opportunity in it.
Douyin has more than 600 million daily active users, the largest number of creators in China, and the most complete and healthy content ecosystem. Of course, there is no doubt about our technology in interest recommendation. So I think we have a great opportunity to do this well.
Quality GMV is the core indicator
After talking about our thoughts on interested e-commerce, I also want to talk about our attitude towards e-commerce.
The consensus of our team is: For Douyin e-commerce at this stage, GMV is not the first indicator. Improving the platform’s basic service capabilities for merchants, providing users with the ultimate purchase guarantee and customer service experience is the top priority of Douyin e-commerce at this stage. Quality GMV is the core indicator.
Last year, when I first came to an e-commerce company, live streaming delivery was very popular, and everyone did it all. Some celebrities in the industry were not ready and overturned their cars with goods. There were many doubts in all aspects. I asked many colleagues and found many partners. Although everyone said a lot of difficulties, none of them said that they did not want to bring “good goods”. Then I have confidence. In the final analysis, it is to make the goods well.
The first thing I led the team to do after I came to the e-commerce company wasPutting platform governance to the highest priority, we have drawn a large number of products, technologies, and operational backbones from all the GMV teams, and would rather sacrifice GMV to do a good job in the governance and control of merchants and products.
Not long ago, we released the “2020 Douyin E-commerce Consumer Rights Protection Annual Report”. Since June last year, we have used technical means to identify more than 40,000 store violations and successfully intercepted illegal products before they were put on the shelves. Over 300,000 pieces, and over one million illegal products have been removed from the shelves. Platform governance is a long-term task. We will continue to invest heavily regardless of cost to create a benign business environment for our businesses, talents, and institutions.
We hope to provide a good business environment for the majority of merchants, to ensure the shopping experience of each consumer, and not to let bad coins drive out good coins. Only high GMV is not an e-commerce company on Douyin, and it is the one who can provide good prices at good prices. Douyin e-commerce.
In addition, the Douyin e-commerce team also attaches great importance to social responsibility. In the past year, a total of 110 city and county mayors walked into the Douyin live broadcast room to help sell 123 million yuan in agricultural products, of which more than 60 million yuan were sold in poor counties. Chen Canping, the former deputy magistrate of Anhua County, Hunan Province, helped tea enterprises and tea farmers sell tea through the vibrato account “Chen County Magistrate Says Anhua”. More than 300 live broadcasts within half a year, with total sales of 15 million yuan. Accumulatively helped nearly a thousand people out of poverty.
Finally, share my Feishu signature with you:
| Very far, far away, guard against arrogance and rashness
These eight words show our attitude towards e-commerce: we are very optimistic about the prospects of e-commerce, but at the same time we are patient with the platform’s performance and are not in a hurry.
I hope that the majority of business friends can be patient with Douyin e-commerce and be able to continue to invest, just like us.
Leng Daren: Bring good prices and good things to your fans.
Help the merchant: Give your good price and good things to youUsers of the entire network.
I also hope that users: A better life is within reach.
The story of Douyin e-commerce has just begun. I hope everyone can grow and gain together with us.
Thank you everyone!