Livestream Shopping: What is it & How to Succeed at it

Livestream shopping is a relatively new trend where brands or individuals showcase products through a live video stream, allowing viewers to interact with the host and make purchases in real-time. It has become increasingly popular in recent years, especially in countries like China, where it has become a multi-billion dollar industry.

Scandinavia and other parts of the world are also starting to see immense opportunities in livestream shopping. Businesses that master the live stream shopping skill are seeing amazing conversion rates while also increasing brand loyalty and awareness.

Do you want to grow your business quicker and become a master at livestream shopping? We’ll show you all the tips and tricks, so you know exactly where to start and where to improve.

What is livestream shopping?

Livestream shopping, or live selling,, is a form of e-commerce that combines the convenience of online shopping with the interactivity of live video streaming.

Simply put, it involves a live video broadcast of a product or service, typically hosted by a brand or individual, where viewers can watch the host demonstrate and discuss the product in real-time, ask questions, and make purchases all within the same platform.

In a typical live shopping stream, the host showcases different products or services, highlighting their features and benefits while providing a live demonstration.

Viewers can engage with the host through chat functions, ask questions about the product, and receive answers in real-time. The host can then provide personalized recommendations based on the viewer’s needs and preferences. If the viewer decides to make a purchase, they can do so directly within the platform, without having to navigate away from the stream.

Key elements of livestream shopping

Livestream shopping is a growing trend in the e-commerce industry, providing new opportunities for companies that want to reach a larger audience. To succeed in this new model of e-commerce, there are several key elements that brands need to consider.

A livestream shopping platform

The first key element of livestream shopping is having a suitable live shopping platform to host your stream. There are many platforms available for hosting a live shopping stream, such as Facebook, Instagram, YouTube, and many others. Each platform has its unique features and audience, so it is essential to choose the ones that best fit your brand and target audience.

An awesome host

The host of your livestream is another critical element of your success. Your host should be knowledgeable about your products, charismatic, and engaging. The host should be able to demonstrate and showcase your products effectively while interacting with your audience in real-time. A great host will keep your viewers engaged and interested, resulting in increased sales and brand loyalty.

Choose the right products

The products you choose to showcase during your livestream are also crucial to your success. Your products should be visually appealing and demonstrate well on camera. Try to choose different kinds of products so you reach as wide a part of your customer base as possible. The key element here is testing.

{{20x-banner}}

Your audience

Understanding your audience’s demographics, interests, and behavior can help you tailor your content to their needs and preferences. This will also help you build communities within your audience, which makes people want to come back to your future livestreams.

How is livestream shopping looking today?

Livestream shopping is a growing trend worldwide, and it has been gaining momentum in recent years. With the COVID-19 pandemic accelerating the shift to online shopping, more consumers are turning to livestream shopping as a way to experience products and interact with brands in real time.

China

China is the world’s largest market for live shopping streaming, with livestream sales projected to reach over 25% of China’s total gross merchandise value in 2023. Many Chinese consumers have embraced livestream shopping as a fun and convenient way to shop, with some even tuning in daily to watch their favorite hosts’ showcase products. The market value of livestream shopping in China is expected to reach 4.9 trillion yuan in 2023.

Taobao Live, Alibaba’s livestream shopping platform, dominates the market with over 60% of the market share.

Europe

In Europe, livestream shopping is still in its early stages, but it is quickly gaining popularity. In the UK, retailers such as John Lewis and ASOS have experimented with live shopping streaming, and the trend is expected to continue to grow.

In France, retailers such as Galeries Lafayette have also entered the market, with plans to expand their offerings. Scandinavia has seen an explosion in popularity for livestream shopping with companies such as Coop and Coolshop doing multiple livestreams a month.

In a survey in 2021, 70% of European consumers were open and positive towards live stream purchases making this a really interesting market for companies that want to dive into the livestream shopping journey.

North America

In North America, livestream shopping is still a relatively new concept, but it is gaining traction. In the US, major retailers such as Nordstrom, Walmart, and Amazon have started experimenting with livestream shopping as a way to engage with customers and drive sales.

In 2022, in the US alone, live e-commerce sales reached more than 17 billion dollars and are expected to more than triple over the next four years.

Latin America

In Latin America, livestream shopping is also starting to take off, with Brazil leading the way. In Brazil, retailers such as Magazine Luiza and Americanas have already embraced live shopping streaming, with many others expected to follow suit. The trend is also gaining popularity in other countries in the region, such as Mexico and Argentina.

In a survey in 2021, 10% of Brazilian consumers had watched a livestream shopping session, and almost 90% of them would do it again in the future. Just a year later, 62% of online consumers in Brazil had engaged with social commerce, and 24% of those that didn’t were interested in it.

Why you should master livestream shopping

The numbers speak for themselves. Even some of the biggest companies in the world are jumping on the livestream shopping wagon, which should be reason enough to show you, why you have to become a master of live social shopping.

Shopping through livestreams is an amazing way to engage with customers and increase sales for almost any company. The whole setting up process is also super easy so you can be live within the hour showing your products to your audience.

One of the other reasons why many companies are trying livestream shopping is the expanded reach you get. Because of the algorithm on social media platforms such as Facebook and Instagram, you will reach a much wider audience because of the higher engagement.

3 tips for your livestream shopping event

There are plenty of things to do if you want to start a live shopping event. We will give you a few tips before you start the event to get the best out of your session with the biggest audience.

Use your social media channels

Social media is a powerful tool for promoting your livestream shopping event. Use your social media channels to create interest and generate excitement. You can create posts, stories, and ads to promote the event and encourage your followers to share the information with their friends.

Hype it up

Creating hype around your livestream shopping event is essential to its success. You can create buzz by offering exclusive deals or discounts to those who tune in, promoting the event with influencers or industry experts, or creating a countdown to build anticipation.

Have fun

Being a part of a livestream event is probably a very different way to market your products. But it’s super fun and the more your customers get to know you and your company, the more you’ll feel the excitement. One of the best tips is to have fun while you do it. You can really feel that on the receiving end of the livestream.

Wrapping up

There are many reasons why live stream shopping has become so popular in China and why many countries are following the trend. It’s a new, easy, and exciting way of showcasing your products. We expect the trend to keep rising and evolving over the next couple of years so it’s a great time to try it out if you are part of a company that is selling products. If you have never experienced a live shopping event, try joining one of the many livestreams that are live each day to find a whole new way of buying products.

{{calculator-banner}}