Header image source: Xiaohongshu via Jing Daily.
On January 14, Xiaohongshu, a Chinese lifestyle app, reached the top of download charts in Apple’s iOS App Store. This might be the first time an app named entirely in Chinese characters has achieved such a ranking in the US.
The app’s unexpected rise has captured attention on both sides of the Pacific. Chinese users logging into Xiaohongshu were greeted with an influx of English-language posts tagged with US-based IP addresses, sparking a mix of amusement and confusion.
Meanwhile, in the financial world, Xiaohongshu’s breakthrough triggered a rally among companies tied to its operations. Stocks such as Yowant, Inly Media, Chancemate (Onechance Tech), Aimer, Ellassay, Piano Customized Furniture, Inmyshow (IMS), Hylink, and Yaoji Technology opened higher and hit their daily price caps on January 14, reflecting heightened market optimism.
The sudden surge in Xiaohongshu downloads appears to be an indirect result of TikTok’s legal troubles in the US. On January 10, the US Supreme Court heard oral arguments regarding a bill that would force ByteDance, TikTok’s parent company, to either sell the app or face a nationwide ban. The court’s focus on national security and data privacy has left ByteDance with a looming January 19 deadline to decide TikTok’s fate in the US. Adding to the speculation, Bloomberg reported talks of a potential sale of TikTok’s US operations to Elon Musk.
Many TikTok users, anticipating the app’s potential shutdown, have begun migrating to other platforms, with Xiaohongshu emerging as a key refuge. These users have coined the term “TikTok refugees” to describe themselves and have actively started posting on Xiaohongshu. Their activity likely played a pivotal role in propelling the Chinese platform to its top spot in the US app store.
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Why Xiaohongshu and not Douyin?
TikTok’s sibling app Douyin might seem like a more natural alternative for displaced users, but technical hurdles have made it less accessible. Douyin operates on region-specific servers and content pools, meaning its content is limited to mainland China unless users take extra steps such as switching app store regions or registering with a Chinese phone number.
Xiaohongshu, by contrast, simplifies access through its global content pool. Originally designed as a cross-border shopping community, the app was built to facilitate seamless engagement for both domestic and international users. This allows users to download, register, and participate on Xiaohongshu through US app stores with minimal friction.
However, TikTok users stepping into Xiaohongshu will likely encounter a distinctly different experience. Unlike TikTok and Douyin, which focus on algorithm-driven short videos, Xiaohongshu centers on curated content that combines images, text, and videos. Its primary audience has historically been Chinese users seeking a space for lifestyle recommendations, making it more of a community platform than an entertainment-driven app like TikTok.
About Xiaohongshu
Launched in 2013, Xiaohongshu began as an online space where women shared tips on cross-border shopping. Its name, which means “little red book,” reflects its initial focus on compiling and recommending global products.
As of August 2024, the app is said to serve over 300 million monthly active users, 70% of whom are female. Its growth is backed by investments from Tencent, Alibaba, and Temasek. Xiaohongshu is often likened to Instagram, but it offers a broader range of content, functioning as a lifestyle guide where users seek recommendations for fashion, dining, travel, and more. Its algorithm, praised for its precision, has been key to bolstering user engagement.
Despite Xiaohongshu’s accessibility, TikTok users may face challenges adapting to the platform. Xiaohongshu’s content is rooted in Chinese cultural contexts, creating a language barrier for international users who may need to rely on translation tools to utilize the platform.
Moreover, Xiaohongshu’s emphasis on detailed posts and recommendations may feel less intuitive to users accustomed to TikTok’s fast-paced, visually engaging content. These differences in format and purpose could present hurdles for Xiaohongshu in retaining its new US-based users over the long term.