The domestic live streaming platform SOOP (formerly AfreecaTV), which has maintained its leading position, is struggling this year due to competition from Naver's platform "Chijijik." Its domestic market share has declined, and the global platform it ambitiously prepared has not achieved significant results either. Consequently, there is a collective lowering of expectations for SOOP in the securities industry.
According to mobile statistics analysis platform Mobile Index on the 31st, last month, SOOP's monthly active users (MAU) numbered 2,303,005, a difference of about 330,000 compared to Chijijik (2,633,443). Launched in December 2023, Chijijik surpassed SOOP to take the top spot among domestic streaming platforms, just one year after its launch in November last year. Since then, the MAU gap between the two platforms has widened further this year.
Along with the decline in market share, SOOP's second-quarter results have also received somewhat disappointing scores. SOOP recorded 116.9 billion won in revenue and 30 billion won in operating profit for the second quarter. Although revenue increased by 15% compared to the same period last year, operating profit decreased by 10%. This decline in operating profit is analyzed as a base effect following last year's record high quarterly revenue in the second quarter. Additionally, increases in expenses such as marketing and labor costs have also impacted the results. SOOP's second-quarter labor costs rose to 30.5 billion won, a 32.8% increase from the same period last year (23 billion won), and fees for advertising and broadcasting rights climbed to 18.5 billion won, a 44.3% increase from the same period last year (12.8 billion won).
However, the industry points out that these efforts have been insufficient to shake off its past image. SOOP has faced criticism for condoning sensational or violent personal broadcasts. It has also continued to maintain the controversial "Excel broadcasts," which have drawn criticism for sexual commercialization and tax evasion since last year, leading many to say it is being passive in its efforts to improve its image. The overseas business has yet to show significant results as well. Although SOOP launched a global platform in November last year, the number of global SOOP viewers is merely a few hundred and is recording poor figures.
As a result, the securities market is also collectively lowering its expectations for SOOP. Choi Yong-hyun, a researcher at KB Securities, analyzed, "The competition in the domestic platform market is intensifying, making it highly likely that SOOP's market share will decline." He continued, "Securing broadcasting rights is becoming more difficult, and domestic OTTs are increasingly attempting live streaming," adding that "the investments of competing companies that hold broadcasting rights are expected to continue, and the increasing number of cases where Coupang and Tving are trying live streaming will also pose a long-term threat."
In contrast, the competitor Chijijik is performing well through service integration with the Naver ecosystem and a strategy to strengthen gaming content. Chijijik enhances user convenience through Naver login and Naver Pay integration, gaining platform synergy in search exposure. Also, from its inception, Chijijik has prominently featured popular game content like League of Legends (LOL) and Valorant, establishing itself as an alternative platform for viewers leaving Twitch, while actively forming partnerships with well-known streamers and eSports teams to solidify its position as a gaming streaming platform.
반면 경쟁사인 치지직은 네이버 생태계와의 서비스 연동 및 게임 콘텐츠 강화 전략을 통해 선전하고 있다. 치지직은 네이버 로그인과 네이버페이 연계 등으로 이용자 편의성을 높이고, 검색 노출에서도 플랫폼 시너지를 누리고 있다. 또 치지직은 출시 초기부터 리그오브레전드(LOL), 발로란트 등 인기 게임콘텐츠를 전면에 내세워 트위치 이탈 시청자의 대체 플랫폼으로 자리 잡았으며, 유명 스트리머와 e스포츠 구단과의 파트너십을 적극적으로 맺으며 게임 스트리밍 플랫폼으로서의 위치를 공고히 하고 있다.