The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
TikTok’s Chinese sister app, which signed on to be the annual CCTV Spring Festival Gala’s top sponsor, poured 1.2 billion yuan ($185 million) into digital red packet giveaways during the celebratory broadcast. The giveaway brought over 70 billion digital interactions to its platform, where red packets were claimed, Chinese media outlet The Paper reported.
For years, digital red packets sponsored by tech giants like Alibaba and Tencent have upped engagement for the Spring Festival Gala — the most-watched television program in the country, which drew a record-breaking total of 1.14 billion people this year, according to state-owned media China Daily.
Where Douyin is a newcomer to the tradition (its rival Kuaishou handed out 1 billion yuan in red packets last year), the power move highlights the Chinese population’s sky-high digital engagement rates and the increasingly competitive battle for screen time. This year, internet firms poured over 18 billion yuan ($2.7 billion) into the blockbuster event, according to Sohu.
As the country’s economy moves into deflationary territory, manufacturing output declines and a real estate crisis worsens, some consumers are becoming increasingly cautious.
Its flagship brand struggled following the departure of its creative director but better growth was seen at other labels.
After years of outsized growth in prestige cosmetics, consumers have pulled back on the typically recession-proof category.
Last year’s harsh pandemic restrictions and recent raids on foreign firms have made it harder for Western fashion companies to persuade top international talent to move to the country.