AI Monitoring

Douyin Life Services, TikTok’s Chinese counterpart, has intensified efforts to combat merchants diverting transactions outside its ecosystem through its “Anti-Transaction Diversion Initiative.” Targeting tactics like off-platform payments, exclusive discounts, price undercutting, and live-stream redirection to rivals, violations now incur penalties ranging from warnings to permanent bans. Enhanced AI monitoring, audits, and public biweekly offender lists enforce compliance, with 45,000 merchants penalized in Q1 2024. Analysts link the crackdown to ByteDance’s strategy to strengthen platform control and monetization, safeguarding transaction integrity in China’s competitive on-demand services market.