Shanghai bets on live-streaming economy to boost China’s anaemic consumption
Under a three-year plan, the local sector should generate nearly US$85 billion in online sales by 2026
The Shanghai municipal government said it plans to boost the city’s live-streaming sector, targeting nearly US$85 million in online sales by 2026, as the Chinese financial hub looks to raise consumer spending in a lacklustre national economy.
Under the “Three-Year Action Plan for High-Quality Development of Shanghai’s Live-Streaming Economy (2024-2026)” released on Monday, the local sector by 2026 should generate an annual gross merchandise value of 600 billion yuan (US$84.6 million), establish 10 top-tier live-streaming platforms, foster a batch of multichannel networks (MCNs) and brands, and come up with a hundred “distinctive scenarios” for live-streaming.
MCNs are companies that help live-streaming influencers manage their businesses.
The new three-year plan, which builds on the previous 2021-2023 programme, highlighted the role of the live-streaming industry in encouraging consumer spending and promoting Shanghai’s image.
The municipal government aims to “leverage the live-streaming economy’s potential to empower consumption, trade, industry and culture, injecting new momentum into Shanghai’s overall economic and social development”, the Shanghai Municipal Commission of Commerce said in its blueprint.
Shanghai joins major cities like Beijing, Shenzhen and Hangzhou that have released similar measures, leveraging the booming live-streaming industry to stimulate flagging consumption.
