BEIJING: Chinese language brief video app makers have taken their rivalry abroad, with TikTok going through stiff competitors from a newcomer that has surged in recognition overseas – by paying customers to maintain scrolling.
Zynn, a product of China’s number-two video app maker Kuaishou, launched in Might and have become the preferred free app within the US Apple App Retailer only a month later.
With Zynn, Kuaishou is attempting to dethrone TikTok, the app by its Beijing-based competitor Bytedance that has develop into a worldwide sensation.
Zynn’s interface is a near-clone of TikTok, permitting customers to view a steady feed of brief movies that includes different customers dancing or performing stunts to upbeat music.
However not like TikTok, Zynn guarantees extra than simply leisure.
Zynn, which isn’t accessible in China, rewards customers within the US and Canada with money after they invite associates to obtain the app — as much as $20 per invite, relying on how lively the buddy is on the app.
Customers additionally earn factors for merely watching movies, which might then be transformed into money.
Zynn’s mannequin is acquainted to customers in China, the place startups have thrown hundreds of thousands of yuan in presents and money at customers in an effort to seize a bigger share of the market than opponents providing almost similar providers.
Nasdaq-listed information aggregator Qutoutiao was among the many first apps to supply customers money rewards in what it calls “loyalty programmes” that “cost-effectively acquire new users”.
“It requires people who are sensitive to small financial incentives of which there are plenty in China’s vast inland rural areas,” Shanghai-based cell know-how knowledgeable Matthew Brennan advised AFP.
TikTok overtakes Fb to develop into world’s second most downloaded app
Kuaishou is taking a big gamble in exporting its mannequin to North America, the place few apps have managed to construct long-term audiences by paying individuals to make use of them.
Success will depend upon whether or not the primary attraction of the app is the cash up for grabs, or whether or not cost is “merely a secondary ‘side benefit’ to using Zynn”, Rui Ma, a tech advisor and host of the Tech Buzz China podcast, advised AFP.
Most on-line opinions of Zynn are centered on the money reward system, with reviewers both complaining about being unable to withdraw their winnings or grateful for the quantities they’ve made off the app.
‘Money-making app’
Kuaishou has chosen a “smart” time for Zynn’s debut, with many younger individuals caught at residence due to COVID-19, and with the summer time holidays approaching, stated Man-Chung Cheung, an analyst at Insider Intelligence.
However in the long term, retaining customers will depend upon Zynn’s “ability to attract top content creators, talent and brands to share videos”, Cheung advised AFP.
Kuaishou will even should cope with rising China-US tensions, which have already put rival TikTok and different Chinese language tech corporations underneath elevated scrutiny from the US authorities.
US officers have warned that TikTok, which has denied any ties with the Chinese language authorities, might develop into one other device exploited by Chinese language intelligence providers.
Zynn has sought to downplay its Chinese language origins, with its web site providing little details about its background and giving an tackle in Palo Alto, California.
Zynn spokesman Rocky Zhang confirmed that Kuaishou is behind the upstart app.
“Zynn is a product only for the US, and we launched Zynn for the US,” he advised AFP.
Zhang stated Zynn plans to proceed paying customers in the long run, however will shift in direction of rewarding “content creators” sooner or later, whereas producing income via promoting.
Previous rivals
A years-long rivalry between huge Chinese language tech corporations lies behind Kuaishou’s new foray throughout the Pacific and into North America.
Kuaishou is backed by Tencent, the Chinese language tech large behind cost and social media app WeChat, which has lengthy sought to broaden its share of the short-video market.
The Chinese language short-video business is predicted to generate almost 100 billion yuan ($14 billion) in promoting income by 2021, in response to Daxue Consulting.
Tencent has launched a variety of short-video apps of its personal, however none have reached the extent of recognition loved by Kuaishou and TikTok’s Chinese language model, Douyin.
Kuaishou in February stated it had reached 300 million day by day lively customers, simply behind Douyin, which stated it hit 400 million customers in January.
In Might, Kuaishou sued Douyin for redirecting searches for “Kuaishou” on a third-party Chinese language app retailer to provides for the Bytedance app, a court docket in Beijing stated.
When requested in regards to the similarity between TikTok and Zynn, Zhang stated the app was not “targeting any brands existing on the market”.
