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Core Insights - Xiaohongshu is actively enhancing its e-commerce capabilities by launching a new "market" feature within its app, aiming to create a unique shopping experience that differentiates it from traditional e-commerce platforms [2][3][5] - The company is focusing on building a closed-loop ecosystem for e-commerce transactions within its platform, moving away from merely directing traffic to external sites [5][6][14] - Xiaohongshu's recent initiatives, including the "Million Commission-Free Plan," indicate a strategic shift towards prioritizing revenue generation and deeper integration of e-commerce with its community features [5][6][15] E-commerce Strategy - The new "market" feature includes various channels such as live streaming and product showcases, emphasizing a lifestyle-oriented shopping experience [3][5] - Xiaohongshu aims to maintain its community's unique characteristics while evolving into a more robust e-commerce platform, which has led to a series of organizational changes to streamline operations [5][6][14] - The company is introducing a focus on "good products" that are unique and story-driven, rather than competing directly with major e-commerce players on price or volume [15] Market Positioning - Xiaohongshu is attempting to define its e-commerce identity as a "lifestyle e-commerce" platform, which seeks to activate consumer engagement through personalized shopping experiences [10][12] - The platform's approach contrasts with competitors like Douyin and Kuaishou, which focus on impulse buying through aggressive marketing tactics [12][15] - The introduction of the "market" feature is seen as a significant step towards establishing a clearer path for Xiaohongshu's e-commerce strategy, potentially balancing community engagement with commercial objectives [14][15]