China’s economy is in deep crisis, and the employment situation is dire. According to statistics, currently over 15 million young people have chosen to become live streamers, but 98% of them may struggle to even meet basic needs.
The Ministry of Education of the Chinese Communist Party (CCP) has preliminarily estimated that the number of college graduates in 2024 has reached a new high, with a scale of 11.79 million people, an increase of 210,000 from the previous year.
In 2023, the number of college graduates was 11.58 million, an increase of 820,000 from the previous year; in 2022, the number was 10.76 million, an increase of 1.67 million.
Every year, graduating college students face challenges in finding employment. According to data released by China Open Data on February 27, 2024, based on the latest internet data, it is estimated that the number of unemployed individuals in 2023 could reach nearly 60 million.
As the graduation season of 2024 approaches, where will graduating students go for job opportunities? The Ministry of Human Resources and Social Security of the CCP has publicly proposed adding 19 new occupations, among which “internet broadcaster” is prominently included.
Mainland blogger “Finance Sister” jokingly commented: If internet broadcasting is considered an occupation, China’s employment rate could stabilize at 100%, “there will be no more unemployment in the future.”
According to the “China Internet Audiovisual Development Research Report (2024),” as of December last year, the total number of short video accounts on the internet reached a staggering 1.55 billion, with 15.08 million professional broadcasters.
This means that on average, there is one professional broadcaster for every 100 people.
A report from the China Performing Arts Industry Association shows that since 2022, the group of broadcasters has shown a trend towards higher education, younger age, and professionalization. Among them, broadcasters aged 18 to 29 account for 64.2% of the total, with many starting live streaming right after graduation.
With more and more young people making live streaming their main occupation, what is the actual situation in the live streaming market?
Professor Lu Benfu from the University of Chinese Academy of Sciences School of Economics and Management believes that 98% of broadcasters may struggle to even meet basic needs.
In April, Lu Benfu wrote that data indicates that among broadcasters whose main source of income is live streaming, 95.2% earn less than 5,000 yuan per month. Only 0.4% earn over 100,000 yuan per month.
In other words, 2% of broadcasters take away 80% of the earnings, while the remaining 98% not only struggle to meet basic needs but also miss out on crucial career growth opportunities, wasting their time.
The article also mentions that the cases of grassroots overnight fame on the internet can easily lead to survivorship bias, getting lost in the aura of overnight wealth for broadcasters.
For example, in mid-May, 25-year-old Guo Youcai, the owner of a barbecue stall in Heze, Shandong Province, became popular overnight by singing a 90s Chinese song “Promise.” Within just 10 days, he gained 10 million fans, with the highest daily income exceeding 3.8 million yuan. He even made Heze a tourist hotspot attracting 400,000 visitors daily.
After Guo Youcai became popular, the local government urgently repaired roads overnight and sent out three live broadcast vehicles, hoping he could boost the local cultural and tourism economy.
However, in just 10 days, “must cut off the cancerous national internet celebrity tumor harming children” trended on Weibo, questioning the societal harm of his “chaotic” style live streaming. The Heze authorities took action to rectify the situation, and Guo Youcai announced a temporary suspension of his broadcasts.
Voice of America reported on June 1st that Mr. Ho, engaged in the e-commerce industry in Hangzhou, stated that the inspiring story of ordinary individuals making a comeback has reinforced the value of “everything is inferior except live streaming,” inspiring many to dream of becoming rich through live streaming, leading them to rush into the live broadcasting industry like moths to a flame.
Jerry, who worked in corporate media relations in Shanghai for many years, said that Chinese young people either hold lofty aspirations or adopt a “lying flat” attitude. Seeing online broadcasters making money quickly, they swarm into live streaming.
However, he also mentioned that fresh graduates entering the workforce earn an average monthly salary of 4,000 to 5,000 yuan, while one person can earn 80 cents by boosting traffic on Douyin. If they receive high rewards during live broadcasts and share profits with the platform, it is indeed easier to make money compared to regular jobs.
Miss Su, a Beijing self-media worker, revealed that behind the rise of grassroots or amateur popularity, there are always teams orchestrating the process.
She also pointed out that the era of national internet celebrities has long passed, coupled with overall market trends and economic downturn, the likelihood of becoming rich solely through personal efforts is very low.
Jerry also expressed his skepticism about the future development of the Chinese live broadcasting industry, as China’s economy worsens, resulting in poor performance in the live streamers’ merchandise sales and significant income reductions.