BEIJING: Short video app Douyin, the Chinese version of TikTok, is ramping up its e-commerce efforts and expanding into the movie ticketing market as owner ByteDance accelerates efforts to turn its large user base into a steady stream of income.
The Beijing-based business is looking to take advantage of the combined user base of two of its most popular apps. With 600 million daily active users in China, ByteDance's leading short video app has introduced an exclusive shopping channel on its news aggregation app, Jinri Toutiao. Customers can use the News app to purchase or watch product videos by linking their Doyin accounts.
The channel can now be found in one of the many tabs that lie beneath Toutiao's top search bar, as well as options for news, sports, novels, and other content. The order of tabs can be changed by the user.
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The action could help Douyin's e-commerce initiatives and broaden its market reach as the business seeks new revenue streams. As of June, Toutiao had around 300 million active users, according to data from Analysis.
Douin is preparing to launch a movie ticketing service in addition to selling goods. Late last month, Beijing Zitiao Network Technology Co., a division of Douyin Group (Hong Kong) Limited, submitted an application for the "Doyin Movie Ticket" advertising and entertainment trademark.
The company hasn't specified a launch date for the service, but Alibaba Group Holding and Maoyan's Tao Piao Piao, which is backed by Tencent Holdings, currently dominate the market.
According to a January survey by market research firm iiMedia, Tao Piao Piao and Maoyan are regularly used by 66% and 61%, respectively, of Chinese movie watchers.
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As of Wednesday afternoon, shares of Maoyan fell 2.7% to HK$4.98 and Hong Kong-listed Alibaba Pictures, the e-commerce giant's film production and distribution division, fell 1.5% to HK$0.34.
The South China Morning Post is owned by Alibaba. An email request for comment from ByteDance did not immediately elicit a response.
Douyin is expanding its range of products and services to include restaurant and grocery delivery services. It ended its 921 Goodies Festival last month.
The e-commerce campaign was launched to compete with JD.com's 618 Festival and Alibaba's Singles Day, both of which took place in November.
According to Douyin, 84 brands generated gross trading volume of over 10 million yuan (US$1.4 million) during the 13-day festival.
Also in September, the platform partnered with several Chinese courier companies, including JD Logistics, SF Express and ZTO Express, in an effort to establish itself as a major force in the country's e-commerce space.
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ByteDance and Alibaba's food delivery service Ele.me partnered in August to allow Douyin users to order food without leaving the app while watching live streams from nearby restaurants.