Beyond TikTok: Lemon8’s Rapid Growth in the U.S. Market

ByteDance, the parent company of TikTok, is witnessing a significant rise in the U.S. market for another lifestyle application, Lemon8. Since September of this year, Lemon8 has quickly become the most downloaded lifestyle app on iOS devices in the U.S., a surprising development for many. Following TikTok’s success, could ByteDance be on the verge of another hit in the American market?

The Birth and Development of Lemon8

Lemon8, often called the "overseas version of Xiaohongshu" (Little Red Book), combines elements of Pinterest, TikTok, and Instagram. It is gradually gaining favor among Gen Z users in the U.S., becoming their new go-to platform for sharing lifestyle content. Since its launch in 2020, Lemon8 has transformed from a popular app in Southeast Asia to a top-ten download in the U.S. App Store.

Lemon8 stands out with its blog-style long-form content, presented in two parallel vertical dynamic feeds: one for personalized recommendations ("For You") and another for posts from accounts the user follows ("Following"). The platform spans various categories, including food, health, beauty, fashion, travel, and home decor. It allows users to post images and videos, with an aesthetic that leans towards a more artistic, colorful style. Unlike TikTok, Lemon8 also supports static photos, emphasising images and text more.

Originally, Lemon8's marketing vision was to create the most inspiring and information-rich platform for discovering, sharing, and turning ideas into reality. Today, as a blend of various social media elements, Lemon8 attracts many content creators who are familiar with digital production.

The launch of Lemon8 was driven by a combination of factors, particularly the shifting landscape of global social media. To reduce its dependency on TikTok, ByteDance launched a new social media platform to diversify its business and identify new growth opportunities. Lemon8 aimed to appeal to young users, particularly in creative and lifestyle content, catering to their desire for personalized expression and social interaction.

Additionally, while Xiaohongshu's expansion in Southeast Asia encountered several obstacles, Lemon8 capitalized on ByteDance's technological advantages and its deep understanding of local markets. Starting in Japan, Lemon8 gradually expanded into Thailand, Indonesia, and other countries, filling gaps Xiaohongshu had yet to penetrate.

Advertising as a Key Driver of Growth

The rapid rise of Lemon8 has drawn widespread attention, with several factors contributing to its success. Industry insiders highlight ByteDance’s substantial financial investment as a critical element in Lemon8's quick growth. In particular, ByteDance ramped its spending on Apple Search Ads starting in August 2023, using over 5,300 keywords to promote the app, targeting platforms like TikTok, CapCut, Instagram, and Canva. This massive advertising push increased Lemon8's daily ad spend in August to three times that of the previous year.

Over the past year, ByteDance has successfully driven Lemon8's expansion in the U.S. through advertising, influencer collaborations, and even paying content creators. This has provided TikTok creators with a new platform to showcase their work and strengthened ByteDance’s competitive position in the global social media arena.

TikTok has also played a key role in Lemon8's promotion by allowing users to share content directly from Lemon8 to the TikTok platform. This cross-platform interaction has resulted in a significant influx of users to Lemon8. Content tagged with "#Lemon8" on TikTok has accumulated over 4 billion views, increasing the app's visibility and user engagement across ByteDance's multi-platform ecosystem.

Despite Lemon8's growth being heavily influenced by advertising, its ability to sustain momentum amid potential challenges to TikTok remains uncertain. As TikTok's future in the U.S. market grows more uncertain, Lemon8's development strategy becomes increasingly important. Given that advertising is one of its primary growth drivers, whether Lemon8 can establish a solid footing as TikTok faces challenges will require further observation.

What is certain, however, is that Lemon8's success cannot be attributed to sheer luck. It has benefited from ByteDance’s strategic support and meticulous planning. From team formation to resource allocation, Lemon8 is viewed internally at ByteDance as a well-prepared, goal-oriented project. Its rapid rise is not merely a result of artificial stimulation but an essential milestone in ByteDance’s global expansion strategy.

Lemon8, riding the wave of attention, now faces the challenge of proving its success is not just a fleeting phenomenon.

ByteDance Accelerates Its Overseas Expansion

Since its inception in 2012, ByteDance has operated like an unrelenting innovation engine, consistently releasing new apps rapidly. From its flagship products, Toutiao and Douyin, to a wide array of other successful applications, including Xigua Video, Dongchedi, PipiXia, Feishu, Tomato Novel, Xiaoheshenghuo, and others, ByteDance has made its mark across multiple domains of internet applications. Once these products establish a strong presence in the domestic market, ByteDance often releases international versions to expand its global reach.

It is fitting to refer to ByteDance as an "App factory." In recent years, the company has maintained an astonishing pace of releasing 4-5 groundbreaking apps annually. This achievement is attributed to its solid in-house development capabilities and its shrewd acquisition strategy.

A prime example of ByteDance's successful acquisitions is TikTok's predecessor, Musical.ly. ByteDance transformed a promising app into a globally recognized short-video platform through this acquisition. Even as its investment acquisitions have slowed recently, ByteDance remains highly attuned to quality projects. For example, in March this year, the company acquired the entire stake in the Xingtu photo editing app for millions of dollars. This "wide-net, multi-fish" strategy ensures ByteDance remains competitive across various sectors.

Resso, another app from ByteDance, operates in synergy with TikTok in the music space. Launched in 2020, it has grown into a challenger to global music streaming giant Spotify, covering major markets like India, Brazil, and Indonesia. The app capitalizes on TikTok's music trends, where popular TikTok songs find their way onto Resso's streaming platform, amplifying both user engagement and content discovery.

Like Lemon8, Resso is part of ByteDance's broader strategy to expand its global app ecosystem. Beyond product synergy, Resso's design also incorporates social features similar to TikTok, such as liking, commenting, sharing, and following buttons. Since its launch, Resso has attracted a loyal user base, and there have been reports that the company is negotiating with major music labels to expand into additional markets.

ByteDance's innovation journey has not been without challenges. In the domestic market, the company has attempted several times to enter the "grass-planting" sector, similar to Xiaohongshu, but has failed to displace the latter's dominance. Despite investing significant resources in products like "XinCao” in 2018, "KeSong," and more recently “YouShi,” ByteDance has been unable to threaten Xiaohongshu's market position.

Unexpectedly, Lemon8 has seen explosive growth in overseas markets, emerging as ByteDance's dark horse. The app's rise showcases ByteDance's robust capabilities and strategic vision. From Musical.ly to TikTok to Lemon8, ByteDance has consistently demonstrated sharp market insight and innovation in its global strategy.

In the vast expanse of the tech world, ByteDance, under the leadership of Zhang Yiming, continues to astonish the world with its unparalleled "creativity engine." Its influence now far exceeds mere product innovation. As Lemon8 expands further in the U.S. and European markets, there is reason to believe that it will bring even more surprises and successes for ByteDance.