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Home Celebrity

Chinese Livestreaming Company Three Sheep Group Loses Influencers Following Mooncake Scandal

by Adleena
December 10, 2024
SOURCES: NANYANG & 8WORLD

SOURCES: NANYANG & 8WORLD

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Chinese influencer agency Three Sheep Group (三只羊集团) started 2024 on a high note, partnering with many familiar faces to promote products through livestreams on social media. Unfortunately, the second half of the year hasn’t fared well for the company – and it seems the group is heading to an imminent downfall.

According to news reports, the company has recently found itself in financial trouble after 51% of its equity was frozen. The frozen equity reportedly amounts to 510,000 yuan (approximately RM310,000), and the freezing period will last until December 2027. This equity belongs to popular influencer and Three Sheep Group’s founder, Zhang QingYang (张庆杨), known more familiarly as Crazy Little Yang Brother (疯狂小杨哥).

SOURCE: DOUYIN
SOURCES: WEIBO (#小杨哥被冻结51万股权#)
SOURCES: 988 & NANYANG

It’s believed that the freezing of the equity was due to the almost 69 million yuan fine (approximately RM42.1 million) that Three Sheep Group had to pay for false advertising. Earlier this year, the group faced backlash for marketing a brand of mooncakes as “Hong Kong-based products” when the mooncakes were produced locally in China. In addition, the company also made false claims when selling a meat product.

Since the false advertising scandal, Three Sheep Group’s image plummeted, with Zhang QingYang receiving the most criticism. In addition to losing followers, the company has allegedly lost half of its affiliated influencers. Some of the notable influencers that have called off their partnership with the company include Li Paoer (transliteration from 李炮儿), who has 20 million followers on Douyin, and Beef Brother (牛肉哥), who has 4 million followers on the same platform.

SOURCE: SINA
SOURCES: WEIBO (#小杨哥被冻结51万股权#)

Many netizens have reacted to the current state of Three Sheep Group, sharing their opinion on the news. Most felt pity for Zhang QingYang, saying his image has gone downhill since his scandals. Some also said there is a slim chance for the media personality to regain fame. Many also said it was a shame that the company went from a highly successful influencer company to barely having affiliated influencers.

However, some argued that Three Sheep Group’s collapse was their fault. Regardless, the incident has reminded companies and customers alike to be truthful when selling and careful when purchasing products online. What are your thoughts on this?

Sources: Oriental Daily, Global Times

Crazy Little Yang BrotherThree Sheep GroupZhang QingYang三只羊集团张庆杨疯狂小杨哥
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