Rednote (Xiaohongshu) 2025 Trend Forecast & Advanced Strategies
Xiaohongshu (Rednote) has undergone significant transformations in 2024, and brands that set their annual strategies last year likely had to make adjustments along the way. However, rapid change is a sign of a platform in growth mode, offering new opportunities for brands that can adapt.
As Xiaohongshu continues evolving, brands that stay agile and align with platform updates will reap the benefits. The emergence of "Rednote brands" in 2024 suggests even greater potential in 2025.
If you plan to focus on Xiaohongshu in the coming year, here are 4 key trends you need to know:
1.The New Era of Community-Driven Seeding Strategies
Xiaohongshu is about people, not traffic!
Unlike Douyin, which functions as a media platform with an entertainment focus, Xiaohongshu is a community-driven platform where user-generated content (UGC) fosters trust and engagement. The platform thrives on authentic peer-to-peer recommendations rather than algorithm-driven content distribution.
This means that businesses must shift from a traffic-oriented mindset to a community-driven approach. Instead of treating users as mere numbers, brands need to build meaningful connections and prioritize audience engagement. In the coming years, refined audience management will be the foundation of successful seeding strategies on Xiaohongshu.
2.The Rise of Xiaohongshu in Local Business Growth
Discussions with Xiaohongshu's internal team indicate that local services are a top strategic priority for the platform. With years of accumulated UGC, Xiaohongshu has developed a structuRednote advantage in search, enabling it to become a key decision-making platform for local consumers.
As Xiaohongshu strengthens its presence in local business, its search-driven model is increasingly competing with platforms like Meituan, Dianping, and Ctrip. This presents an untapped opportunity for local businesses to leverage Xiaohongshu as a growth channel.
3.Lead Generation: Xiaohongshu as an Alternative to Douyin
Lead generation remains a top challenge for businesses across industries. While Douyin has played a major role in helping businesses scale their customer acquisition, its rapid commercialization has significantly increased acquisition costs, making it less viable for low-margin businesses.
Xiaohongshu, on the other hand, offers a more cost-effective alternative. While its lead volume is smaller than Douyin’s, the audience quality is higher, making it an ideal platform for industries such as education, wedding photography, franchise investments, customized home renovation, and international logistics.
In the coming years, Xiaohongshu is expected to introduce more tools to enhance lead generation and conversion, solidifying its position as one of the few remaining platforms with acquisition cost advantages.
4.Closed-Loop & Spillover E-commerce Growth
Xiaohongshu is no longer just a seeding platform. In 2024, we saw firsthand how brands benefited from both closed-loop (in-app) e-commerce and spillover sales to external platforms.
Our internal tests validated a "three-domain strategy" integrating public domain (organic reach), private domain (community engagement), and commerce domain (Xiaohongshu store and affiliate sales). By leveraging merchant livestreaming, buyer-driven distribution, and content-driven sales, we successfully improved ROI for multiple brands.
With Xiaohongshu strengthening its closed-loop e-commerce ecosystem, 2025 will be the year for brands to double down on their e-commerce efforts. Consumers are increasingly making purchase decisions—and even direct purchases—on Xiaohongshu, making it a prime time for brands to shift from seeding to conversion.
Get Ahead with Us
As Rednote (Xiaohongshu) continues to shape the future of Chinese social commerce, brands must stay ahead of the curve with data-driven strategies and localized execution.
At Lotus Social Agency, we specialize in helping international brands navigate Xiaohongshu with proven content marketing, influencer collaborations, and e-commerce integration and more.
Contact us today to discuss how we can help your brand thrive on Xiaohongshu in 2025!
