Core Viewpoint - The recent release of the "Live E-commerce Supervision Management Measures" by the State Administration for Market Regulation and the National Internet Information Office has brought digital human anchors and AI-generated content under regulatory scrutiny, highlighting both opportunities and challenges in the live e-commerce sector [1][2]. Group 1: Opportunities of Digital Human Anchors - Digital human anchors are seen as ideal workers for companies due to their controllable costs, ability to operate 24/7 without fatigue, and minimal risk of scandals [1]. - They can meet consumer demand for round-the-clock shopping, providing fresh and engaging shopping experiences that stimulate consumer activity [1]. Group 2: Challenges and Risks - Issues have emerged with digital human anchors, such as the use of misleading personas (e.g., portraying a "single mother" to elicit sympathy while selling substandard products), which can severely harm consumer rights [1]. - Technical shortcomings like lip-sync issues, audio-visual mismatches, and slow response times can lead to a lack of authenticity and interactivity, negatively impacting consumer experience [1][2]. Group 3: Regulatory and Operational Recommendations - The new regulations require that operators using AI-generated images and videos in live e-commerce must comply with relevant laws and standards, and continuously inform consumers about the AI nature of the content [2]. - It is essential to clarify the responsibilities of AI technology developers, operators, and users, ensuring that consumers know whom to approach in case of rights violations [2]. - The authenticity of human anchors, built on high-quality emotional content, is crucial, and the effective use of digital human anchors should focus on standardized products where experiential factors are less critical [2].

Core Insights - The live streaming e-commerce landscape is undergoing significant changes, with top influencers reducing their activity and digital avatars gaining prominence in the market [2][6][8] - The shift reflects a combination of regulatory pressures, changing consumer behavior, and advancements in AI technology, impacting the economics of live streaming [2][6][10] Group 1: Changes in Influencer Activity - Top influencers like Li Jiaqi and Dong Yuhui have significantly reduced their live streaming sessions during the 618 shopping festival, with Dong only hosting 3 sessions totaling 6 hours, which is less than 1/10 of his previous activity [4][6] - Despite the reduced activity, these influencers still achieved impressive sales figures, with Li Jiaqi's pre-sale GMV reaching between 25 billion to 35 billion yuan on the first day of the 618 event [3][5] Group 2: Economic Factors and Market Dynamics - The live streaming e-commerce market is projected to reach a transaction scale of 53,256 billion yuan in 2024, reflecting a growth rate of only 8.31%, a significant decline from over 40% in 2023 [5] - Influencers are facing increased costs, such as high placement fees and commissions, leading many brands to prioritize profit over market share during promotional events [6][8] Group 3: Emergence of Digital Avatars - The use of digital avatars in live streaming is on the rise, with over 100,000 merchants utilizing them, resulting in significant sales growth for many [8][9] - Digital avatars are seen as a cost-effective solution for small to medium-sized businesses, with some achieving over 300% GMV growth through mixed broadcasts with real and digital hosts [8][10] Group 4: Regulatory Environment - The regulatory landscape is tightening, with new guidelines being drafted to enhance oversight of live streaming e-commerce, impacting how influencers and platforms operate [6][10] - The shift towards supporting mid-tier influencers and store broadcasts is a response to compliance pressures and the need for sustainable business practices [6][8]