Core Insights - The article discusses two contrasting e-commerce strategies on Douyin, highlighting the challenges and opportunities in the current market landscape [1][3][5] Group 1: E-commerce Strategies - A single product focus can lead to significant sales initially but may result in a sharp decline in traffic after a few months, as seen in the case of a merchant who achieved over one million in monthly sales for three consecutive months before facing a drop [1] - In contrast, a multi-category approach, promoting several products daily, can maintain steady sales, exemplified by a merchant achieving an average of two million in monthly sales without creating a blockbuster product [1][3] - The Douyin e-commerce ecosystem is transitioning from "people finding goods" to "goods finding people," with a projected GMV of 3.2 trillion yuan in 2024, reflecting a growth rate exceeding 30% [1][9] Group 2: Challenges of Single Product Strategy - The lifecycle of products poses a risk to single product strategies, as even successful items will eventually decline in sales, necessitating strategic adjustments [3][5] - Douyin's intelligent recommendation system limits traffic for homogeneous content, which can hinder growth if merchants do not diversify their offerings [3] - Merchants face challenges in accurately assessing which product lines have growth potential when pursuing a multi-category strategy, leading to potential resource wastage [3][5] Group 3: Timing and Data Utilization - The key to successful transition lies in timing; merchants should initially focus on a single product with competitive advantages before gradually expanding their offerings [5][9] - Successful merchants utilize data analytics to monitor key performance indicators, allowing them to identify when to introduce new products based on declining performance of existing ones [5][7] - The adoption of AI-driven tools is increasing among merchants to enhance decision-making processes and optimize product selection, with over 70% of content-driven companies lacking sufficient data analysis capabilities [7][9] Group 4: Industry Trends - The shift from a single product explosion to a dual-driven model of "interest + shelf" is evident, with a focus on building a category matrix and brand recognition for sustainable growth [9][11] - The GMV target for Douyin e-commerce is projected to rise to 4.2 trillion yuan by 2025, with shelf scene contributions exceeding 40%, indicating a strategic shift among merchants [9] - Continuous data analysis and flexible strategy iteration are essential for navigating the evolving e-commerce landscape, with AI technology expected to drive further innovation and efficiency [11]