Kuaishou, one of China’s leading short video platforms, has a userbase of over 500 million active users, yet it is barely known in the west. While it is easy to get overshadowed by a giant like Douyin, Kuaishou has managed to create its own unique identity by focusing on a very targeted audience: users in rural China and lower-tier cities.
China’s city-tier classification is an unofficial system popularly used by businesses to guide their market entry strategy. City tiers often reflect differences in consumer behaviour, income level, population size, consumer sophistication, infrastructure, talent pool, and business opportunity, among others (source), which naturally translates into different online interests.
By targeting the lower-tier cities, the platform thrives on authenticity, community engagement, and innovative e-commerce integration.
Kuaishou’s secret sauce
Unlike Douyin, which dominates urban areas with very polished content, Kuaishou appeals to a diverse audience with a more genuine approach towards content. The users feel more connected and represented. Its algorithm prioritizes relationships and interactions over viral trends, creating a more direct and less commercialized experience.
Another standout feature is its emphasis on authenticity. Users share unfiltered glimpses of their lives, which means the content is relatable. This approach has helped Kuaishou develop a sense of trust and belonging among its users, which translated into the loyal fanbase.
The platform’s integration of live-streaming e-commerce is also worth mentioning. By blending content creation with online shopping, Kuaishou has created a lucrative business ecosystem for influencers and brands. The numbers reported by the platform as of the third quarter of 2024 are impressive: total e-commerce Gross merchandise volume was RMB334.2 billion, 15% more than the same period last year.
Challenges Ahead
Despite its successes, Kuaishou also faces challenges. For one, competing with Douyin in urban markets remains difficult. Douyin’s dominance in these areas leaves Kuaishou with limited room to expand domestically.
Internationally, Kuaishou struggles to replicate its domestic success. While it has intended entering markets like Brazil and Indonesia, the platform struggles to monetize their international traffic. The market expansion strategy of Kuaishou is yet to be defined, in such way to become successful without losing its core identity and values that made it a success in the first place.
If successful, we might see the next TikTok-like success story take place in the West. The InternationalSearchNews.com team will be closely observing and reporting on the evolution of Kuaishou’s popularity and potential expansion.
