Everyone suddenly has an opinion about Xiaohongshu. Since RedNote went viral internationally, brands have been asking whether they should be on it.
It can absolutely be worth it. But knowing what you're dealing with first saves a lot of wasted budget.
What Xiaohongshu actually is and who uses it
Think of it as a combination of Instagram and a search engine where people go specifically to research products before buying. People on Xiaohongshu are often actively looking for something, not just scrolling past it.
The spending power is noticeably higher than that of TikTok. The platform attracts more independent Chinese women actively researching what to buy, looking for quality, status, and knowledge. A more considered audience than a short video entertainment feed.
Who is actually on Xiaohongshu and why the 10% matters
Around 90% of users are based in mainland China with roughly 10% living overseas. That 10% is scattered across Europe, Japan, Australia, and North America.
That sounds small until you think about the actual numbers. The overseas Chinese-speaking population globally runs into the millions. Their spending power is significant. And crucially, they live in markets where your product can actually be delivered.
If you're selling in a specific market, the overseas 10% living in that market is your realistic audience on this platform.
The 90% in mainland China can't easily buy from you if your fulfilment, payment, and delivery are set up for a different region. That's not your audience. At least not yet.
Why your website link and Western payment won't work on Xiaohongshu
You cannot put a clickable website link in your posts. The platform is a closed ecosystem designed to keep users inside it.
Chinese consumers, even those living overseas, largely stay within their own digital ecosystem. WeChat, Alipay, and Xiaohongshu itself. If you only have a Western online store, there is a real gap between someone discovering you and being able to buy from you.
You can add your own address directly to posts, which helps people locate you if you have a physical presence. Setting up a shop within the platform is possible but complicated without Mandarin fluency and local knowledge.
"The overseas Chinese audience on Xiaohongshu is 10%. That sounds small. The actual number of people is millions."
How to approach Xiaohongshu without wasting budget
Hiring a Mandarin-speaking freelancer who understands the platform is more cost-efficient than committing to an agency upfront. Start small, test the content, and see if there is genuine traction before spending more.
If you go with an agency, make sure they actually know Xiaohongshu specifically. Most general agencies know Instagram and Meta ads. This platform is completely different logic, different content culture, different consumer behaviour.
The mistake Chinese marketing agencies keep making
Here is something that happens more than it should. You hire an agency to reach overseas Chinese in your market. They don't know how to do that specifically, so instead of admitting it, they suggest targeting mainland China instead.
That is not a pivot. That is a completely different market. Mainland China and overseas Chinese communities have different platforms, different payment systems, different regulations, different purchasing behaviour, and different logistics. Targeting mainland China when your operation is set up for a different region means your entire infrastructure is misaligned with the audience.
Don't let anyone redefine your goal to fit what they already know how to do. If they can't reach the audience you actually need, find someone who can.
