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Influx of overseas users offers Chinese brands opportunity to expand global reach: expert

China

China

China

Influx of overseas users offers Chinese brands opportunity to expand global reach: expert

2025-01-16 22:49 Last Updated At:01-17 00:17

The influx of self-described "TikTok refugees" to the Chinese social media platform Xiaohongshu, also known as RedNote, is expected to create significant business opportunities for Chinese companies in overseas markets, according to an analyst.

On Xiaohongshu, a Chinese platform which combines the features of Instagram and Pinterest, hashtags such as #TikTokRefugee have been used in hundreds of thousands of posts from accounts mostly registered in the United States, where TikTok is feared to be banned this week.

TikTok, owned by Chinese internet company ByteDance but operated independently, has approximately 170 million users in the United States, nearly half that country's population.

Washington has sought to ban TikTok for many years, citing unfounded national security concerns and alleged risks to data privacy. The app faces a possible ban on Jan 19 as the U.S. Supreme Court is set to rule on enforcing a law that could either ban TikTok or force ByteDance to sell it to an American firm.

As these "TikTok refugees" engage in positive and enriching exchanges with Chinese users, they are finding innovative ways to overcome language barriers and navigate cultural differences.

Beyond fascinating cultural exchanges, the surge in users presents promising business opportunities for Chinese companies.

According to a Reuters report, over 700,000 new users joined Xiaohongshu in just two days. Share prices related to the platform have surged after the app shot to the top of Apple's US App Store download charts.

For Xiaohongshu, with 300 million monthly active users and operating on a business model that integrates content creation, advertising and e-commerce, this represents a significant opportunity for it to expand in the international market.

"When it comes to monetizing the business model, RedNote's seeding advertisements represent a well-established and mature approach. Having proven its success in the Chinese market, we believe this model holds significant potential for success in overseas markets as well. The influx of 'TikTok refugees' presents a remarkable opportunity for the platform to accelerate its international market expansion," said Zhang Yi, CEO and chief analyst of data analysis provider iiMedia Research, in an interview with China Global Television Network (CGTN) in Beijing.

Over the years, Xiaohongshu has served as a bridge for lesser-known overseas brands to connect with the Chinese market.

By October 2024, the number of overseas brands promoted on the platform had tripled compared to the previous year.

Now, with the influx of overseas users, it could potentially help Chinese brands to expand their global consumer reach.

"For brands on RedNote, the key challenge lies in effectively leveraging this surge of traffic. This is not only a critical aspect of the event but also a highly meaningful one. It caters to the needs of Chinese brands and companies to expand into global markets. Traditionally, many Chinese brands have relied on other overseas social media platforms for online marketing. However, this incident marks a pivotal shift. Driven by the influx of 'TikTok refugees', there is now a reverse education effect on overseas consumers. This presents a significant opportunity for Chinese brands to expand and establish a stronger presence in international markets," said Zhang.

Influx of overseas users offers Chinese brands opportunity to expand global reach: expert

Influx of overseas users offers Chinese brands opportunity to expand global reach: expert

Nicaragua's co-foreign minister Valdrack Jaentschke has warned that militarism must never be allowed to rise again, as Japan's recent moves to lift its arms export ban and revise the pacifist Constitution continue to draw international concern.

This year marks the 80th anniversary of the opening of the Tokyo Trials, where Japan's Class-A war criminals from World War II were brought to justice.

In an interview with China Global Television Network (CGTN), Valdrack Jaentschke voiced his concern that today's world order is being undermined by interventionism and other challenges.

"It is necessary for us to remember that after the end of World War II, countries worked hard to build a new international order based on international law. However, regrettably, more than 80 years later, we are seeing that this once explored and attempted order is being challenged by interventionism, a confrontational mindset, and tendencies like 'might makes right.' These are precisely the conditions that gave rise to fascism and militarism in the past, which ultimately led to the tragedy of World War II," he said.

He said the international community has a responsibility to pursue a new international order -- one fundamentally grounded in peace.

"Looking back at the history more than eight decades ago and comparing it with today's reality, it is our responsibility to recognize that the world should, and must, build a new international order that is more just, fairer, rooted in international law, based on a logic of mutual benefit and shared success, and fundamentally grounded in peace," said the minister.

"Today, as we revisit the Tokyo Trials, it is meant to remind the world that such a tragedy must never be repeated -- and that we must do everything in our power to prevent it from happening again. We must stop that dark world -- born from militarism, interventionism, and fascism -- from ever returning," he said.

Nicaraguan FM warns of militarism revival

Nicaraguan FM warns of militarism revival

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