Chinese short video app Kuaishou has announced Thursday that it has placed RMB 1 billion (USD 140 million) in subsidies to encourage merchants to use the platform as a marketing and sales channel.
As a result of the platform’s support to waive fees and provide preferential services, Kuaishou saw over 500,000 new active merchant from February 7 to March 31, local media Techweb reported.
The Beijing-based company initiated a campaign on February 7, allowing brands, merchants, and mid-and-small-business owners to create merchant accounts on Kuaishou for free, providing them with additional exposure in feeds of short videos, in an effort to help them offset the losses caused by the coronavirus pandemic.
Previously, a verified merchant account required to pay a yearly fee of RMB 600 (USD 85). Merchant account owners can sell goods via livestreaming, open online stores, send out coupons, and contact with customers directly on Kuaishou. In August last year, Kuaishou claimed to have more than 600,000 merchant accounts.
This article is part of KrASIA’s “China Brief” section, where KrASIA’s reporters will provide quick daily updates about the tech ecosystem in China.