Luxury E-Commerce Platform Secoo Stock Price Jumps After ChatGPT Announcement

Secoo, a Nasdaq-listed luxurious e-commerce platform, introduced on February 6 that it’ll discover the usage of AI-generated content material (AIGC) to offer over 90% of buyer options. The firm may even discover the adoption of ChatGPT-related know-how. Its inventory worth soared by 127.55% to $3.80 on this information.

ChatGPT know-how creates interactive dialogue just like folks, and is able to producing video and textual content content material comparable to product descriptions of luxurious items. Secoo believes that the applying of AIGC in industrial settings would set off a revolution within the area of digital content material and AI will grow to be a key device for content material manufacturing in luxurious e-commerce.

Secoo was as soon as on the verge of delisting as a result of buyer disputes and authorized proceedings, amongst different causes. In early January, Secoo was discovered to have violated monetary asset reporting guidelines and suffered fines of about 175,000 yuan ($25,814). The firm has been struck with related violations over 10 occasions.

According to Secoo’s newest monetary report, within the first half of 2022, its gross market worth (GMV) was 3.3 billion yuan ($486 million), down 34.4% year-on-year, whereas the online loss was 817 million yuan ($120.5 million), in contrast with 39.8 million yuan ($5.9 million) in the identical interval of 2021. The quantity of orders was 880,000, down 38.9% year-on-year, and the variety of energetic customers was 409,000, down 28.1% year-on-year.

Based on the corporate’s turbulent monetary scenario and the latest reputation of ChatGPT, Secoo’s announcement stirred hypothesis. Chinese media outlet Securities Daily quoted a senior analyst saying, “In China, only a few companies such as Baidu, Alibaba, Tencent and Huawei can really make ChatGPT-like products. Developing such products requires rich experience in natural language and word processing, and a large amount of data and algorithms. Companies like Secoo are purely for hype.”

However, Secoo defended that the applying of ChatGPT know-how to its e-commerce enterprise is strategic, and should create new prospects for the corporate. Secoo expects that its present luxurious e-commerce mode of operation can be profoundly, quickly, and completely modified.

SEE ALSO: Luxury E-commerce Platform Secoo’s Shanghai Subsidiary Given Notice of Bankruptcy Filing

Recently, the AI-Generated Content (AIGC) Development Trend Report 2023 launched by Tencent Research Institute confirmed that AIGC is changing into more and more mainstream within the digital shopper market. Applications comparable to writing assistants, AI work, chatbots, and customized avatars have emerged, supporting demand throughout mainstream media, e-commerce, leisure, movie, and tv. Baidu introduced its ChatGPT-like mission known as “Ernie Bot” on February 7, with inside testing to be accomplished in March. Tencent, Alibaba, Huawei, and plenty of different well-known corporations have printed patents on AI chatbots.

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