Live Streaming Shopping is the Future of E-Commerce:
Live streaming is everywhere these days. Live coverage of the news has happened for ages, but now you can stream pretty much everything from sports to grass growing. One of the widely used forms of live video streaming is the one you can encounter at online casinos where traditional games and innovative content like lottery draws and game shows are available as live streams.
You can choose the preferred live game and dealer and check everything right in, no matter whether you are using smartphones or a computer. You can easily place your wagers through a digital interface as well as follow the events as they unfold in real-time. But one of the exciting areas where live streaming has carved out a place is shopping. Live stream shopping is a widespread phenomenon globally, providing potential customers with a more in-depth way to select and purchase a product or a service.
- 1 What is Livestream Shopping?
- 2 Live Streaming eCommerce is a Multi-billion Dollar Market
- 3 Digital Experience Fills the Gap for In-Person Shopping
- 4 Businesses are Opting for Live Streaming
- 5 How Live Streaming Shopping Works?
- 6 Where and How Live Stream Shopping is Implemented?
- 7 Brands are Welcoming See Now and Want Now Trend
- 8 Benefits of Live Stream Shopping
- 9 Live Stream Shopping for Brands: Enjoy Best Outcome Ever!
What is Livestream Shopping?
Livestream shopping is much what its name suggests: you can choose to follow a live stream of the person presenting or using items or services simultaneously. It’s a combo of traditional retail outlets popularly known as eCommerce and “showrooms” that takes the best of both worlds. It results in a synergy that appears to be popular among shoppers.
Livestream shopping combines online shopping with live video streaming and accessibility of social channels and adds a bit of celebrity to the mix. Celebrities, influencers, everyday folk, or even me or you can set up Livestream shopping channels on social platforms and start selling right away.
Live Streaming eCommerce is a Multi-billion Dollar Market
McKinsey’s report shows that every one in 5 online sales in China is made through live video shopping. This format is a critical component in the largest eCommerce economy. China makes around $672 billion every year in eCommerce sales.
The product categories often showcased in live commerce are fashion and apparel with around 36% share, followed by food and beauty products with roughly 7% each. Consumer electronics account for 5%, and furnishing and home decor for nearly 4%.
It’s just beginning to jump on the live shopping bandwagon. The US is the second leading eCommerce market with $340 billion estimated annual sales. But it’s estimated that the US live streaming market will reach around $25 billion by 2023. Taobao remains the most significant player, with a market share of 35%.
Digital Experience Fills the Gap for In-Person Shopping
When a product needs more interaction with a customer than a simple click-to-cart, live streaming can help you bridge the gap. You can consider real-life scenarios to get assistance with Livestream shopping, these includes:
- The person FaceTimes the spouse about a particular type of toilet paper they are supposed to make a purchase;
- Video chats with children about the correct color of scrunchies
- Friend live streams with a friend while shopping, asking for an opinion on a potential outfit purchase.
The reality is that live streaming assisted shopping is part of today’s customer behavior. It’s a shift in who the trusted voice and face is behind the camera.
Making Shift is Less Complicated Than You Think
Stores who want to engage with customers through live video streaming, the shift is not that grand:
- You can get connected to the internet in-store;
- You have a counter with stuff or display of goods;
- You have a mic and camera on a phone or other gadgets;
- Employees who are in store.
All the above listed can be considered eCommerce strategies for integrating assisted live streaming into business to tap into the thriving market.
Businesses are Opting for Live Streaming
Live streaming has gained immense popularity globally, and lots of savvy business entrepreneurs are utilizing the digitally assisted shopping methodology to earn a competitive edge. For example, Dengo is a high-end chocolate manufacturer that adapted this strategy during COVID-19 to ensure that customers would receive outstanding customer service.
The company used live streaming as well as a chat system to make it easier for customers to interact with sales staff while going through the store. The virtual shopping experience enables customers to pick out mouth-watering chocolates that also without breaking social distancing rules.
Dengo turned the staff into a chocolate professional who held live streaming events. It showcases the quality of chocolate, enticing chocolate lovers to purchase sitting at the comfort of sofas.
How Live Streaming Shopping Works?
Primarily there are two options when you start with live video shopping.
1. Live video broadcast to a general audience. During this streaming format, viewers can chat with a shop representative, add items to the cart, and proceed for checkouts.
2. Private video-to-video interaction. In this way, shoppers can directly interact with the live streamer through the video. The streamer can answer questions about the products as well as respond to every shopper’s request. It makes it easier to show a product from a certain angle or showcase a feature. It even makes it straightforward for shoppers to purchase the product directly from the eCommerce platform.
A shopper can easily participate in a live stream that also with a simple click on a link from any device.
A product or brand representative can join the live streaming and answer comments from the audience. They can even block profanities and negative comments right through the platform.
During the stream, featured products will appear on the platform, and the audience can click on them to see more information. For example, they can see the price and available colors and sizes.
Shoppers can add products directly to the cart while watching the live broadcast. There is no need to wait or leave the stream to fill the cart.
Shoppers can complete the checkout process if they have completed the purchase without leaving the platform in between.
Shoppers can record the live streams to watch later and purchase from brands’ websites, social channels, or newsletters.
Replays can easily be edited to remove portions or shared separately by dividing them into short segments.
The live streaming eCommerce revenue from China accounted for 66 billion dollars. By the end of 2020, this revenue has reached around 170 billion dollars. Most brands these days are opting for new ways to increase business sales and profit, and Live streaming shopping is an effective way to help brands achieve their targeted results.
Where and How Live Stream Shopping is Implemented?
Live-streaming shopping originates in China and then spreads across America and Europe. Chinese celebrities and influencers produce live streaming through social channels to produce more audience.
Livestream has an endorsement from China, where they call it “as a new engine of eCommerce growth. They encourage live-streaming as a solution to unemployment. This concept has risen in China due to the pandemic.”
Brands are Welcoming See Now and Want Now Trend
Most of the global brands connect with their targeted base in real-time to deliver a kickass shopping experience. Let’s explore a few examples to get inspired:
American luxury department store chain has launched its own live stream channel in search of blending its in-person as well as digital capabilities. The shopping channels enable customers to purchase under the expertise of Nordstrom employees. It makes it easier for shoppers to access informative events by professionals. Most of the upcoming events of the brand are listed on its website.
The cold-brew coffee brand also experienced huge payoffs by promoting its products on Amazon Live. Quivr co-founder Ash Crawford hosted a live video shot in the backyard; he spoke about the brand and products it sells. Since then, the cold brew coffee brands have hosted lots of live shopping events. The company has experienced growth in sales right after each session.
Live Streaming in US and UK
Platforms like Amazon and Facebook have implemented live stream shopping into the branding. Instagram shopping and Facebook marketplace are growing channels. Besides that, Amazon launched Amazon Live, where every product is live-streamed 24*7 in different categories.
Live streaming is undoubtedly the future of eCommerce. It plays a significant role in online shopping going forward. Top players like Amazon and Facebook are using live-stream shopping, which is paving the way for other businesses to follow in their footsteps.
Benefits of Live Stream Shopping
Do you wonder how you can enjoy the advantages of live streaming for your brand? No, then take a look at the top benefits of live shopping for your eCommerce business.
- Better Engagement
- Quickly Generates Massive Sales
- Builds Brand Awareness
- Encourages Impulse Buying
- Can Put Underperforming Products in the Spotlight
There are more on the way! No matter whether you want to gather shoppers’ feedback, sell more, or give a boost to an underperforming item, you can get it done with live stream video. Just choose the product you want to showcase, then figure out who is going to present a live session.
You can choose to host your live streaming session by yourself or ask someone from your team to do the same. This can give you an edge to answer questions about your brand, product, and services. Additionally, if you’re looking for exposure for a brand, you can partner with an influencer. The benefits of celebrity-backed products are not new, and they are definitely worth tapping into.
Live Stream Shopping for Brands: Enjoy Best Outcome Ever!
The market growth, improved conversion rates, margins, and audience engagement increase with the success of the other. Due to market expansion, it attracts a large variety of viewers, most collected in one place, capitalize on ongoing growth, and all collected in one place.
Brands can save precious budget on an advertisement, the lower cost of celebrities and influencers. The advertising cost drops while the conversion of customers purchasing increases; it’s a cost-effective way for producing results. Live stream shopping comes with a fair dose of personal touch and human connection that was missing in traditional online shopping.
Live shopping is here to stay. You can check live video shopping trends to understand how it provides a win-win situation for customers and retailers. If you are looking to start with a live streaming platform for your eCommerce business then Alphanso Tech is always happy to help you. Our easy-to-use solutions for real-time virtual assistance through video calls and voice are best to invest.