Brands’ Best Strategies in Xiaohongshu (Little Red Book)

Tips to thrive in a popular e-commerce platform in China.

Digital marketing

11 September, 2023

Table of contents

Xiaohongshu, also known as Little Red Book, is a social media e-commerce platform founded in 2013. Its implied valuation totalled to $10-16 billion. The channel produces more than 3 million new feeds and 300 million searches every day. It recorded around 121 million active users in December 2020, 159 million in December 2021 and 163 million in December 2022. By March 2023, the platform had 175 million active users Xiaohongshu’s target market includes the APAC region led by China and getting attention from Chinese consumers in Singapore, Malaysia, and Japan. Its main consumer target is Chinese cosmopolitans with a strong focus on Gen Z and female audience, and emerging into fame among Gen X. Statistically, it holds 40% of users from Tier 1 and 2 cities, 70% of its users are female, and 50% are born in the ‘90s. Around 56% of the total 140.000 brands operating in the platform are local brands.

Now, Xiaohongshu is extending its arena by centering on product authenticity and releasing more tools driven by commerce. It is pushing itself into a tight and safe environment by combining final buy-to-product seeding. The brands have to upgrade themselves in order to persevere in this.

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