As Douyin (internationally known as TikTok) expands its local services sector—consisting primarily of restaurant dining, comprehensive local services, and travel—it has rapidly claimed a significant market share, matching the performance of established giants like Meituan.
According to an exclusive report by LatePost, Douyin's sales in these services exceeded 100 billion yuan in the first quarter of this year alone, doubling year-over-year and matching the last quarter's performance.
Shifting Strategies in the Face of Stiff Competition
Initially, Douyin leveraged its massive traffic and aggressive pricing strategies to quickly build a substantial volume of business. However, as the competition stabilized, ByteDance, Douyin’s parent company, began recalibrating its approach to sustain its growth without relying solely on traffic redirection and subsidies.
In November last year, ByteDance's head of commercialization, Pu Yanzier, who oversees the local services sector, ...
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