Chinese Retailer Miniso's Founder Criticises Douyin for High Fees
- tech360.tv
- Nov 30, 2024
- 2 min read
Miniso's founder criticises Douyin for high promotion fees. Douyin disputes figures cited by Miniso regarding GMV and advertising revenue. Prominent Chinese figures publicly criticise Douyin for spreading misinformation.
Miniso operates multiple stores on the ByteDance-owned platform, where they sell a range of lifestyle products including beauty tools, toys, and apparel.
In a WeChat post, Ye shared a video from online influencer Johnknow-nothing, highlighting concerns about the diminishing ability of merchants to sell goods on Douyin. Ye referenced figures from the video, revealing that Douyin recorded a gross merchandise volume (GMV) of 2 trillion yuan (US$276 billion) in 2023, with 40% being refunded, and total advertising revenue of 400 billion yuan in the same period.
Responding to the criticism, a Douyin representative disputed the figures cited by Ye, stating that they were untrue. Neither Miniso nor the online influencer have provided immediate comments on the issue. Both Ye's and the influencer's WeChat posts targeting Douyin were removed by Thursday noon.
This incident marks the second recent public criticism of Douyin by prominent figures in China. Zhong Shanshan, founder of Nongfu Spring, China's largest packaged drinks company, previously accused ByteDance founder Zhang Yiming of spreading false information on Douyin that harmed Zhong's reputation. Zhong, with a net worth of US$47.9 billion, demanded an apology from Zhang, who is China's richest individual with a net worth of US$49.3 billion.
Douyin's e-commerce business has faced scrutiny for its high take rate, which measures the marketplace's earnings from transactions. In 2023, Douyin's take rate was 9%, higher than its competitors such as Pinduoduo, JD.com, Taobao, and Tmall. Douyin's GMV from August 2023 to July this year increased by 46% compared to the previous two years, according to Wei Wenwen, president of the platform's e-commerce unit.
Miniso's founder criticises Douyin for high promotion fees
Douyin disputes figures cited by Miniso regarding GMV and advertising revenue
Prominent Chinese figures publicly criticise Douyin for spreading misinformation
Source: SCMP
