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.
Chinese authorities have released new guidelines to regulate the country’s booming livestreaming industry that are due to be implemented by May 25.
The measures, jointly released by the Cyberspace Administration of China (CAC) and six other government bodies, including the Ministry of Commerce (MOC) and the State Administration for Market Regulation (SAMR), set standards for livestreaming e-commerce platforms, operators and hosts.
They require livestreamers and operators to be at least 16 years old, or for minors under 16 to have the consent of a legal guardian, and ban fake advertising claims and data fraud (including bogus comments, likes, views and sales figures). They also put the onus on livestreaming platforms to handle complaints from consumers in a timely manner and to protect the personal information of their users.
China saw more than 24 million livestreaming marketing activities take place in 2020, but the explosive growth in the industry has been accompanied by complaints about some sellers boosting their own popularity and profits at the expense of consumer interests.
Mainland shoppers have flocked to local tourism hubs like Macau and Hainan over Chinese New Year and are expected to visit Asian destinations like Thailand and Singapore before returning in droves to European fashion capitals later this year.
Beijing’s Covid-19 policy shift will give the sector a boost in 2023 but a surge in infections and sluggish economic growth could dampen the recovery after an uplift from Chinese New Year.
This week, China rolled back some strict zero-Covid measures, opening a road to recovery for luxury and retail. But the journey is likely to be long and bumpy, experts warn.
Despite disappointing Singles Day sales results, harsh Zero Covid restrictions and supply chain woes, international beauty conglomerates continue to see China as a growth engine.