Alibaba scores a win with Taobao debut of China’s ‘most famous teacher’ as live-streaming e-commerce race heats up
- Dongfangzhenxuan, led by New Oriental’s Yu Minhong, sold US$13 million worth of goods within 12 hours of its debut on Taobao, the company said
- Taobao Live, which lost two of its top live streamers during a government tax crackdown, competes against Douyin and Kuaishou
China’s most famous teacher-turned live streamer has set up shop on Alibaba Group Holding’s Taobao e-commerce platform, as internet giants in the country jostle to attract customers in a saturated market by bringing in popular influencers.
Alibaba owns the South China Morning Post.
Dong Yuhui, who had been one of New Oriental’s English-language tutors, joined the company’s newly formed e-commerce live-streaming team and started pitching a range of goods on TikTok’s Chinese sibling Douyin.
Viewers soon became drawn to Dong’s unique pitching style, which involves reciting poems, English phrases and musical accompaniment while attempting to sell books, cooking pans, steaks, shrimp and more.
During their debut live stream on Taobao, Dong, Yu and others pitched a variety of products including smartphones, skincare, make-up, shoes and home decorations. Their live-streaming channel, which began operations at 8am on Tuesday, accumulated a million followers by 5pm, Dongfangzhenxuan said.
Dongfangzhenxuan’s launch on Taobao marks one of its most important steps to diversify its reach. Earlier this month, the brand conducted its first live-streaming session on Tencent Holdings’ WeChat.
That came after Douyin blocked Dongfangzhenxuan from streaming on the app for three days in July, citing violations of platform rules. The brand’s Douyin traffic had been on the decline even before that incident, with viewership falling 30 per cent in May from the previous month, according to data provided by research firm Baiguan.
Dongfangzhenxuan ended up conducting a sales event on its own app during that month.
While Douyin remains Dongfangzhenxuan’s biggest source of traffic and a popular sales channel for fresh groceries, snacks and local specialities, “the success of [the brand’s] stand-alone app and its [debut on] Taobao Live underscore its diminishing reliance on Douyin”, said a research report by Huafu Securities on Tuesday.
However, Dongfangzhenxuan’s Taobao debut came with a hiccup: a computer bug resulted in customers getting a 25 yuan rebate for a 23 yuan product, prompting thousands of users to put in an order. That product was delisted as soon as the company discovered the loophole, several local media outlets reported.