Shanghai’s Strategic Bet on Live-streaming Economy: Aiming for $85 Billion Boost in China’s Consumption by 2026

Shanghai is banking on the live-streaming industry to stimulate China's weak consumer spending. According to a three-year strategy, the regional sector is expected to produce close to US$85 billion in online sales by 2026.

The city administration of Shanghai has announced its intentions to enhance the city's live-streaming industry, aiming for approximately $85 million in online sales by 2026. This effort comes as the Chinese economic powerhouse seeks to increase consumer expenditure amidst a sluggish national economy.

As per the "Triennial Strategy for Superior Growth of Shanghai's Live-Streaming Economy (2024-2026)" unveiled on Monday, the domestic sector aims to produce an annual gross merchandise value of 600 billion yuan (US$84.6 million) by 2026. The plan also involves setting up 10 leading live-streaming platforms, nurturing a series of multichannel networks (MCNs) and brands, and developing a hundred unique live-streaming situations.

Multi-Channel Networks (MCNs) are firms that assist influencers who live-stream in handling their operations.

The freshly unveiled triennial strategy, that extends the prior 2021-2023 scheme, underscored the significance of the live-streaming sector in boosting customer expenditure and enhancing Shanghai's reputation.

The city authorities plan to harness the power of the live-streaming economy to stimulate consumer spending, commerce, industry, and culture, thereby infusing fresh energy into Shanghai's comprehensive economic and societal growth, according to the blueprint released by the Shanghai Municipal Commission of Commerce.