TikTok’s Chinese Version to Hike Commissions for Service Providers
Liao Shumin
DATE:  May 30 2022
/ SOURCE:  Yicai
TikTok’s Chinese Version to Hike Commissions for Service Providers TikTok’s Chinese Version to Hike Commissions for Service Providers

(Yicai Global) May 30 -- Douyin will increase its fees for providers of life services, such as wedding planning, training programs and takeouts, to as much as 8 percent of revenue from next month as more and more companies offer their services on the Chinese short video platform.

Different services have different commissions, Douyin said today. Wedding services has the highest rate of 8 percent, the rate of parent-child educational services is set at 4.5 percent and that for food delivery is one of the lowest at 2.5 percent. The Beijing-based firm previously charged a flat rate of 0.6 percent.

The video site has been moving into the life services field since 2020, introducing new features such as group buying and meal delivery services. It has even released a new app to attract more service providers to use its platform, tech media 36Kr reported. The app, which is available on Apple’s App Store, gives merchants preferential policies for a period of time.

Operator ByteDance Technology might be looking for other streams of revenue. Last November it said that income from advertising on the mainland has not grown during the past half year.

Editor: Kim Taylor

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Keywords:   Douyin,Software Service Fee