Kuaishou, a short video platform with 3 million daily active users, has less than one-fifth of the advertising revenue compared to rival Douyin, local media outlet LatePost reported. Kuaishou told LatePost the ratio is inaccurate. Beijing-based ByteDance generated RMB 330 billion ($48.74 billion) in advertising revenue in China, with TikTok’s sister app contributing more than 80% at around RMB 264 billion, the report said, while several analysts estimate Kuaishou’s full-year advertising revenue at around RMB 48.4 billion in 2022. In 2018, Kuaishou established a monetization unit and recorded triple-digit year-on-year growth in advertising revenue before 2022. However, in 2022, the Hong Kong-listed company saw only 20% growth in the January-June period. Not precise enough algorithm-based recommendations, over-reliance on top advertisers, and failure to align ads with specific industries led Kuaishou’s monetization progress to fall short of internal expectations, the report said. [LatePost, in Chinese]
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