Is the daily sales of self owned apps reaching a new high and attracting traffic in violation of regulations? The Tiktok studio under Orient Selection was closed for three days Tiktok | ". Dongfang | Live broadcast room

It seems that there is "friction" between Dongfang Select and Tiktok platform after its own APP has opened live broadcast.

On July 26, Tiktok's live broadcast room "Oriental Selection Self operated Products" issued a notice of suspension: "Due to the requirements of the rules, the stores of Oriental Selection Self operated Products and the live broadcast room of Oriental Selection Self operated Products will be suspended for three days from 26th to 29th."

This live broadcast room belongs to Dongfang Zhenxuan Holdings Limited, a live streaming sales platform under New Oriental.

Sun Dongxu, CEO of Dongfang Selection, responded in the live broadcast that "it was very sudden" when the studio was closed by Tiktok. He said that he had just learned in the afternoon that the small yellow car used for placing orders in the live broadcast room was suddenly dragged away, resulting in self operated products being unable to sell for three consecutive days. In order not to affect the customer's consumption experience, Dongfang Zhenxuan has temporarily decided to offer a 15% discount promotion on the app. Users who purchased products a few days ago can contact customer service to make up for the price difference.

There are different opinions on the specific reason for the closure of the live broadcast room of Orient Selection by Tiktok. At the beginning of July, Oriental Selection just announced that it would launch live broadcast on its own APP, "Oriental Selection", which again raised questions about whether Oriental Selection would further break away from Tiktok.

In this regard, the surging journalists sought confirmation from both Tiktok and Dongfang Selection, but there was no official response.

A person close to Tiktok told reporters that the reason for the shutdown was that Tiktok staff sent a private letter to Dongfang Selection, and only Dongfang Selection knew the specific situation. Another person said that it was because Orient Select displayed the QR code of its own app in the Tiktok live broadcast room to channel its own app and guide consumers to place orders and purchase through Tiktok. In violation of Tiktok's regulations, Tiktok decided to close the live broadcast room of Orient Select.

However, it is not the large account of Dongfang Zhenxuan's live broadcast room that has been shut down this time, but its own "Dongfang Zhenxuan self operated product". At present, the number of fans in the live broadcast room of "Dongfang Zhenxuan's self operated products" is 1.832 million, and its official account "Dongfang Zhenxuan" has over 30.5 million fans.

The event that "Oriental Selection Tiktok Store was closed" also made a hot search on microblog. However, being shut down actually contributed to the popularity of the Oriental Selection app.

On the evening of July 26th at 19:00, Dongfang Zhenxuan APP announced a 15% discount on all self operated products. The live broadcast room has over 26000 concurrent online users, with self operated product sales exceeding 10 million yuan. Multiple self operated products such as sausages, white shrimp, chicken breasts, toast, pizza, peaches, eggs, etc. have all sold over 10000 orders.

As of 8pm on July 27th, the daily sales of Dongfang Zhenxuan APP have broken the record, reaching 23 million yuan. According to the data of Xindou platform, the live broadcast sales of the large Tiktok studio of "Oriental Selection" in the last 30 days were 250 million to 500 million yuan. Based on this calculation, the average daily live streaming sales are approximately 8.3-16.7 million yuan. By contrast, the one-day sales data of Orient Select APP today even exceeds that of Tiktok Live.

The download popularity of the "Oriental Selection" app has increased instead of decreasing. According to the reporter's observation, on that day, Dongfang Zhenxuan APP once surged to the top five on the Apple App Store shopping list, ranking fifth as of the time of publication.

The relationship between Dongfang Selection and Tiktok has been complicated since it became popular. Previously, the news that Oriental Selection announced to open live broadcast on the APP has triggered speculation that Oriental Selection would "break away from Tiktok".

On the evening of July 9, Yu Minhong, the founder of New Oriental, responded in the live broadcast that the relationship between Dongfang Selection and Tiktok was very good. They had a relationship of mutual achievements and cooperation, but also a relationship of dependence. Oriental selection needs Tiktok, and Tiktok also needs Oriental selection. Creating one's own platform is a normal behavior for companies to strive for progress. We hope everyone does not interpret it excessively.

As early as last August, there was a rumor that New Oriental's Oriental Selection suffered from Tiktok's current restriction. At that time, the relevant person in charge of Tiktok E-commerce denied this statement, "Dongfang Selection is a representative business in the high-quality ecosystem of Tiktok E-commerce, and Tiktok E-commerce encourages similar high-quality live broadcasting rooms to continue operating and developing on the platform."

Last year, Yu Minhong also publicly stated in an article that the lively business model established based on external platforms has strong fragility. "To solidify the foundation of long-term development, we still have a long way to go." In his words, it seems to imply the possibility of "flying alone" without external platforms.

The reporter from Pengpai News noticed that the Dongfang Zhenxuan APP was launched in major app stores in August 2022. On July 3rd of this year, Dongfang Zhenxuan announced the launch of a new version of the app and held a special live broadcast event in Gansu from July 5th to 11th on the app. At that time, a person close to Dongfang Selection revealed that the main reason for launching the new version of the app was to further develop live streaming business.

According to the reporter's inquiry on the app, the new version of the Oriental Selection app has a separate live streaming entrance, as well as channels such as "Selection Self operated", "Good Goods at Good Prices", and "New Product Tasting". Users can directly place orders on the app.

It is worth mentioning that at the beginning, relying on "bilingual shopping", Oriental Selection suddenly became popular on the Tiktok platform, and it took only one week to reach tens of millions of fans. On June 16 last year, the total number of fans selected by Dongfang exceeded 10 million. Since then, the speed of fans selected by Dongfang in Tiktok has continued to grow rapidly.

As of the close on July 27th, Oriental Selection closed at HKD 30.2, down 6.5%.