Xinxuan, a top live-streaming e-commerce team on Kuaishou, announced a major adjustment, changing its cooperation model with streamers from a contract system to a partnership system

Summary

Kuaishou’s leading live-streaming e-commerce team, XinXuan, announced a major adjustment, changing the collaboration model with streamers from a contract-based system to a partnership model. Under this new model, streamers will operate as independent companies, taking on their own operational and legal responsibilities, while XinXuan will focus on supply chain and resource empowerment, charging a service fee of about 5%.

Impact Analysis

So basically, XinXuan is shifting its collaboration model with streamers to a partnership system where streamers will operate as independent companies. This move is likely a response to the recent regulatory scrutiny on Kuaishou’s e-commerce practices, aiming to reduce operational and legal risks for XinXuan by decentralizing responsibilities.InfoCast+ 3InfoCast The interesting part isn’t just the risk mitigation; it’s also about increasing streamer loyalty and potentially boosting their earnings, as streamers will now get a higher share of the revenue. This could make XinXuan more attractive to top influencers, enhancing its competitive position in the live-streaming e-commerce space. However, the execution risk is significant—streamers now need to manage their own operations, which could lead to inconsistencies in quality and performance. Market’s missing that this move could also lead to a more resilient and diversified business model for XinXuan in the long run. Watch for how competitors respond and any shifts in streamer performance metrics.