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Micro Dramas Take Off in China as Platforms Chase Users’ Attention

Published: Dec. 6, 2024  5:16 p.m.  GMT+8
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A director oversees a micro-drama shoot in Dongyang, Zhejiang province, in December 2023. Photo: Zheng Haipeng/Caixin
A director oversees a micro-drama shoot in Dongyang, Zhejiang province, in December 2023. Photo: Zheng Haipeng/Caixin

A TV show with episodes under 60 seconds — a bizarre and unrealistic concept, until recently. But in an online era increasingly designed for short attention spans, the budding market for micro dramas booms in China, with video platforms and other companies rushing to capitalize on the novel format.

Micro dramas are a new video format streaming on platforms like Douyin, the Chinese version of ByteDance Ltd.’s TikTok. Episodes are typically brief, ranging from less than a minute to 20 minutes, and feature attention-grabbing plots — in one a 50-year-old woman finds unexpected love with a secretly wealthy man who happens to be raising her long-lost child.

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Explore the story in 30 seconds
  • Micro dramas in China have grown significantly, with the market expanding 267.7% in 2023, valued at 37.4 billion yuan, while video platforms like Douyin and Kuaishou invest in AI-generated content.
  • Companies across industries, including F&B brands and e-commerce platforms, are utilizing micro dramas for advertising and product placement, boosting engagement and sales.
  • Innovations in monetization, such as ByteDance's app model, show potential for substantial revenue, with apps like Hongguo Short Drama securing 122 million monthly active users.
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Explore the story in 3 minutes

Micro dramas, with episodes as short as 60 seconds, have emerged as a booming market in China, reflecting the populace's preference for content suited to shorter attention spans in the digital age [para. 1][para. 2]. These brief narratives often showcase gripping plots, like unexpected romantic entanglements or sudden family reunions, capturing the attention of millions across various demographics [para. 2][para. 3]. With the economic challenges in China, such as a tough job market, people are gravitating towards emotionally fulfilling content provided by micro dramas [para. 4].

In 2023, China’s micro drama market experienced significant growth, expanding by 267.7% to 37.4 billion yuan ($5.15 billion). It is expected to increase by another 35% this year, indicating its rising popularity and acceptance [para. 5]. Major video platforms are investing heavily in this genre to seize the potential windfall. ByteDance and Kuaishou Technology, in particular, are leveraging artificial intelligence (AI) innovations to develop micro dramas [para. 6][para. 7]. Their efforts bore fruit in July with the introduction of China’s first AI-generated sci-fi and fantasy short series, which garnered over 50 million views by November [para. 7].

The monetization strategy typically involves enticing viewers with several free episodes before charging for subsequent ones. This method allows for the generation of substantial revenue, as evidenced by the success of ByteDance’s endeavors [para. 8][para. 9]. It has introduced an app specifically for short dramas, which reported 122 million monthly active users as of September, showcasing a year-on-year increase of 1,046% [para. 10]. Furthermore, the daily average usage of this app exceeds major long-form video platforms in China [para. 11]. As a result, traditional platforms like iQiyi, Tencent Video, Youku, and Mango TV are reinforcing their involvement in the micro drama trend, with some even altering their revenue-sharing models to better attract and incentivize content creators [para. 12].

Besides video streaming platforms, companies from various industries are also entering the micro drama landscape. These companies, which include those in cosmetics, e-commerce, catering, and gaming, are using micro dramas for advertising and marketing purposes [para. 14]. This strategy has been invigorated by the sluggish domestic spending that has ramped up competition within sectors such as e-commerce and chain coffee [para. 17]. Product placement within these dramas is shown to significantly boost consumer purchase intent, with a survey indicating that 26.5% of viewers are willing to buy featured products, and 41.6% would consider doing so [para. 18].

Specific collaborations highlight the commercial benefits of micro dramas. For instance, the collaboration between Chinese cosmetics brand Kans and a Douyin influencer resulted in a drama focusing on personal and professional transformations, further amplifying brand reach and engagement [para. 22]. Kans reported significant growth in followers and an increase in their gross merchandise value on the Douyin platform by 374% in 2023 [para. 23].

Overall, the burgeoning micro drama market in China signifies a shift in media consumption towards shorter, captivating storytelling formats that cater to contemporary viewing habits, offering a new frontier for content creators and marketers alike to explore and capitalize on [para. 3][para. 5][para. 18].

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Who’s Who
ByteDance Ltd.
ByteDance Ltd. operates Douyin, the Chinese version of TikTok, and is expanding its micro drama business using AI. In early July, it launched China’s first AI-generated sci-fi short series, which gained over 50 million views by mid-November. It also introduced the Hongguo Short Drama app, attracting 122 million monthly users by September, surpassing long-form video platforms. ByteDance's strategy combines free episodes with monetization through paid content, boosting audience size and revenue.
Kuaishou Technology
Kuaishou Technology, one of China's largest short video platforms, is expanding its micro drama business using AI. In July, it launched an AI-driven fantasy micro-short, which, by mid-November, had amassed over 50 million views. Kuaishou's strategy includes partnerships like the one with Mango TV to develop both short and long-form content, reflecting their increased focus on micro dramas amid growing competition from ByteDance and others in this burgeoning market.
Bona Film Group Ltd.
Bona Film Group Ltd. collaborated with ByteDance’s Douyin to launch China's first AI-generated sci-fi short series in early July. This micro drama format has gained significant attention, accumulating over 50 million views by mid-November on the platform.
H&R Century Union Corp.
H&R Century Union Corp. is a media producer whose international division head, Gu Jiaming, discussed the advantages of traditional long-form platforms in the micro drama space. Gu noted that these platforms, unlike general-purpose ones like Douyin, have specific audiences for film and TV content, allowing for focus on content quality and saving on promotion costs.
Baidu Inc.
Baidu Inc. operates iQiyi, one of China's major long-form video platforms, which is facing competition from the rising popularity of micro dramas. Recently, iQiyi has been releasing new micro drama series weekly and has updated its revenue-sharing models to attract content creators as it competes with platforms like ByteDance’s Douyin.
Tencent Holdings Ltd.
Tencent Holdings Ltd.'s gaming arm has released micro-short dramas featuring themes like "rebirth" and "time travel." This is part of a broader strategy by companies across industries to invest in micro-shorts for advertising and engaging viewers, as the format grows in popularity amidst changing consumption habits in China.
Alibaba Group Holding Ltd.
Alibaba Group Holding Ltd. introduced a micro drama section on its e-commerce platform Taobao as part of its strategy to engage viewers and boost sales. This move is in response to weak domestic spending and intensified price wars in the e-commerce sector. Alibaba has also utilized product placement in these dramas to enhance viewer engagement and encourage potential purchases.
NetEase Inc.
NetEase Inc. is involved in the micro drama market by leveraging its gaming arm to produce content. Since July, the company has released micro-short dramas featuring popular themes like “rebirth” and “time travel” to capitalize on the growing trend, alongside other brands like Tencent Holdings Ltd. and various food and beverage companies.
McDonald's
Since July, McDonald's has been investing in micro-short dramas as a way to advertise its products. The brand, along with others like KFC and Starbucks, has released dramas featuring popular themes such as "rebirth" and "time travel" to connect with viewers and enhance product placement in the episodes.
KFC
Since July, KFC has been investing in micro-short dramas in China to advertise their products. This strategy involves creating content with popular themes like "rebirth" and "time travel" to engage viewers. Through these micro dramas, KFC aims to enhance product placement, allowing viewers to relate to characters and see KFC products in use, which increases the likelihood of purchases.
Starbucks
Starbucks, along with other food and beverage brands like McDonald's and KFC, has invested in micro-short dramas to advertise its products. These short videos often feature popular themes such as "rebirth" and "time travel," helping brands relate their products to viewers and potentially boosting sales amidst weak domestic spending and intensified price wars in sectors like e-commerce and chain coffee.
Pinduoduo
Pinduoduo, an e-commerce platform, launched a free short drama section and employs product placement within episodes to boost sales. This strategy aligns with other companies' efforts to leverage micro dramas amid weak domestic spending, aiming to enhance viewer engagement and promote products.
Meituan
Meituan, a food delivery platform, has launched a free short drama page and uses product placements in episodes. This strategy is part of an effort to boost sales amid weak domestic spending and increased competition in the e-commerce sector.
Kans
Kans is a Chinese cosmetics brand that collaborated with a Douyin influencer to produce a miniseries about a woman's professional journey. This drama incorporated themes of success, love, and justice, leading to millions of new followers on Kans' Douyin store and a 374% year-on-year increase in its gross merchandise value to 3.44 billion yuan in 2023, as reported by its parent company, Shanghai Chicmax Cosmetic Co. Ltd.
Shanghai Chicmax Cosmetic Co. Ltd.
Shanghai Chicmax Cosmetic Co. Ltd. is the parent company of the Chinese cosmetics brand Kans. Through a collaboration with a Douyin influencer for a miniseries, Kans significantly increased its store followers on Douyin. This initiative led to a 374% year-on-year rise in the company’s gross merchandise value on the platform, reaching 3.44 billion yuan in 2023. The miniseries featured themes such as professional success and love, contributing to its popularity.
AI generated, for reference only
What Happened When
March 2023:
Chinese cosmetics brand Kans teamed up with a Douyin influencer for a miniseries, leading to significant growth in their platform presence.
May 2023:
ByteDance launched an app focused on free short dramas.
Late 2023:
Alibaba Group Holding Ltd. introduced a micro drama section on its e-commerce platform Taobao.
As of 2023:
China's micro drama market grew 267.7% year-on-year to 37.4 billion yuan.
March 2024:
ByteDance's Hongguo Short Drama app's average daily usage reached 1.38 hours per user.
August 2024:
Mango TV announced a partnership with Kuaishou to develop both short and long-form content.
AI generated, for reference only
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