Is WeChat launching live streaming to challenge TikTok and Kuaishou?

During the National Day holiday, WeChat quietly launched several new features. As a super app with 1.4 billion daily active users, it is impossible to keep a low profile. This major update has caused a stir, mainly because the new features include long videos and live broadcasts, and the entrance to WeChat Mini Stores has been opened.

WeChat has already launched the "Video Account" for short videos and moved it to the first-level menu. It seems that Tencent wants to create a closed loop of private traffic ecology on WeChat to achieve content, traffic and commercialization. This is exactly the same as the rapidly developing Douyin and Kuaishou. Is it an open declaration of war?

WeChat launches live streaming and long video features

On the second day of October, WeChat for iOS skipped version 7.0.16 and upgraded to the official version 7.0.17. In addition to the chat function and the update of the youth mode, the biggest changes are long videos and live broadcasts.

Video accounts can now publish "full videos", that is, long videos. However, the display is different for each user, some are 1 to 15 minutes, some are 1 to 30 minutes, and you can also play the preview of the previous minute.

The live broadcast function is also embedded in the video account. A "Start Live Broadcast" button has been added, which is at the same level as "Post Updates". After clicking it, you can enter the "Live Broadcast" and "Live Broadcast Preview" selection list.

At the same time, the video account also opened the entrance to the WeChat mini store, which is located in the settings column. Click to enter and you can open a store for free. The default store is bound to the video account. Store types include personal and corporate. As long as the store is opened, it can support live broadcasting, rush purchases, etc.

In order to connect stores and video accounts, WeChat has also added a "Small Shop Assistant" to achieve one-click access.

As a result, these three new features are aimed at the content, traffic and commercialization of video accounts, which initially reveal WeChat's complete worldview for video accounts. The video account, which is gradually gaining momentum, is now ready to go, just waiting for the right time.

Build a closed-loop ecosystem to grab traffic

In fact, at the recent Tencent Global Digital Ecosystem Conference WeChat special, the WeChat team revealed that they would connect WeChat live broadcasts, small shops, and e-commerce through mini-programs to accelerate the construction of a closed business loop.

Since its launch in January this year, Video Account has gradually developed into a new key content carrier in the WeChat ecosystem. At the beginning, Video Account launched short videos, relying on the powerful social attributes of WeChat, and its daily active users reached 300 million in half a year. In order to increase the opening rate, WeChat has been constantly improving Video Account, and recently updated a reminder function similar to Moments update.

Long videos and live broadcasting are undoubtedly a great help to WeChat. On the one hand, they can enrich the content system of video accounts, form strong connections with users through various forms of content, and better accumulate private domain traffic; on the other hand, they can also provide a traffic entrance for WeChat to enter e-commerce and deeply integrate various scenarios within WeChat. After all, the live broadcasting market is huge nowadays, and Tencent, with its capital and traffic, will definitely take the lead.

When Video Account was first launched, it was once considered to be a competitor to Douyin and Kuaishou in the short video field. Now it is clear that Tencent not only wants to make videos on WeChat, but also to do business. The competition between the big guys is not a point-to-point attack, but a higher-level contest.

Who will stand out in the battle between giants?

Four years have passed since Wang Xing first proposed the concept of "the second half of the Internet". Traffic has become more valuable, growth bottlenecks have emerged, and a multi-oligopoly situation has formed in various market segments. In the video field, the competition has shifted to the strategic level.

After Douyin’s daily active users exceeded 600 million, it tried every possible way to monetize its traffic. First, it changed “Douyin short video” to “Douyin” and deliberately erased the short video label. Then it announced new rules for live broadcasts. Product links from third-party platforms were published through Star Chart, and a 20% platform service fee was charged. From October 9, products from third-party sources were prohibited from entering the shopping cart in the live broadcast room.

This series of actions are all aimed at creating a closed loop around content, traffic and e-commerce, just like WeChat.

Another major short video content platform, Kuaishou, is not to be outdone and is closely following Douyin. After reaching 300 million daily active users, it also began to optimize Kuaishou stores. In terms of live streaming, it seems that Kuaishou has to go further. As of the first half of the year, Kuaishou has achieved the 100 billion yuan GVM target, which is 10 times that of 2019, so it is predicted that Kuaishou's closed loop will not be far away.

As for who will stand out, it depends on who completes the ecological closed-loop layout first.