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5
min read time
October 2, 2024

Why Facebook and Instagram love Live Shopping: The Algorithm’s Best Friend

Why Facebook and Instagram love Live Shopping: The Algorithm’s Best Friend

Facebook and Instagram prioritize Live Shopping because it generates high engagement, longer viewing times, and two-way interactions, which align with the platforms' algorithms.

Why Facebook and Instagram love Live Shopping: The Algorithm’s Best Friend
Table of Contents

Key highlights from this article:

  1. Facebook and Instagram’s algorithms favor live shopping due to its ability to drive high engagement and extended viewing times.
  2. Live shopping events enhance organic reach through real-time interaction, creating more data-driven targeting opportunities.
  3. The authentic, interactive nature of live shopping fosters deeper connections between brands and audiences, boosting sales and engagement.

As the digital landscape evolves, E-commerce is taking on new forms, and Live Shopping is leading the charge. Facebook and Instagram are two platforms that have leaned heavily into this trend, pushing Live Shopping events to the forefront of their algorithms. But why do these platforms favor Live Shopping so much? It all comes down to pleasing the algorithms—and understanding how Live Shopping perfectly aligns with what these platforms prioritize.

The Algorithm Loves Engagement

At the heart of Facebook and Instagram’s algorithms is one simple truth: engagement. The more engaging the content, the more the algorithm will boost it.

Live Shopping naturally creates this high level of engagement in ways that traditional posts or ads often can’t. Here’s how:

  1. Comments Signal Engagement: During a Live Shopping event, viewers can ask questions, comment, and interact with the host and other viewers. This creates a flurry of activity in the comment section, which signals to the algorithm that the content is highly engaging. This interaction doesn’t just happen at the start of the stream—it builds as the event goes on, keeping viewers engaged for extended periods.
  2. Increased Viewing Time: Facebook and Instagram algorithms prioritize content that holds viewers' attention for longer. Live Shopping, by its nature, keeps people watching for more time than a typical post or ad. Instead of a quick scroll past a post, viewers are often tuned in for 20-30 minutes, sometimes even longer. This longer viewing time tells the algorithm that the content is valuable and should be pushed to more users.
At the heart of Facebook and Instagram’s algorithms is one simple truth: engagement. The more engaging the content, the more the algorithm will boost it.
  1. Comments are Great, but Two-Way Conversations are Better: Unlike static posts where engagement and comments are mostly one-way, Live Shopping opens up a two-way conversation between the brand and the audience. Viewers comment, the host responds in real time, and this back-and-forth interaction tells Meta’s algorithms that “something interesting is happening here”. The more conversations happening on a livestream, the more Facebook and Instagram recognize it as engaging and prioritize it in news feeds.

Leveraging a Variety of Meta Products

Facebook and Instagram reward businesses that use a variety of their tools and products. Live Shopping checks all the boxes in terms of making full use of the platforms’ capabilities:

  1. Facebook Live and Instagram Live: Both platforms have heavily invested in their live-streaming features, encouraging brands to use them. Live Shopping takes full advantage of these tools, offering businesses a way to go live, showcase products, and directly interact with their followers.
  2. Facebook Events: Hosting a Facebook Event for a Live Shopping session is a powerful way to gather attendees. By creating an event, brands can invite their audience, send reminders, and build anticipation. Facebook Events provide a structured way to gather attendees and get them excited, while the algorithm promotes the event to more users.
Facebook and Instagram reward businesses that use a variety of their tools and products.
  1. Stories and Posts for Promotion: Live Shopping doesn’t just stop at the live event itself. Brands use Stories, feed posts, and ads to promote the event beforehand, building anticipation and boosting engagement before the stream even begins. By utilizing multiple formats—live video, Stories, posts, and ads—brands are maximizing their visibility, which pleases the algorithm and increases organic reach.
  2. Messenger Integration: Facebook’s Messenger and Instagram’s direct messages also play a role in Live Shopping success. Sprii, for example, uses a “live reminder” feature, allowing users to sign up for notifications when a brand is about to go live. This integration keeps viewers engaged and brings them back into the ecosystem, all while using more of Facebook and Instagram’s built-in tools.

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The Power of Organic Reach

One of the biggest challenges for brands on Facebook and Instagram is organic reach. For years, organic reach has been on the decline, with the average post reaching only about 3% of a brand’s followers. Live Shopping, however, is an organic reach powerhouse.

  1. Boosting Reach Through Engagement: The more likes, comments, and shares a livestream generates, the more the algorithm pushes it out to users. This creates a ripple effect— and Meta’s algorithm automatically brings it to the attention of your viewers’ friends and followers, extending its reach far beyond the brand’s core audience.
For years, organic reach has been on the decline, with the average post reaching only about 3% of a brand’s followers. Live Shopping, however, is an organic reach powerhouse.
  1. Encouraging Live Participation: Facebook and Instagram algorithms give extra priority to live content because it’s happening in real-time. The platforms send notifications to followers when a brand goes live, and they also boost live videos higher in the feed while the stream is happening. This ensures that Live Shopping events get immediate attention and often reach viewers who might not engage with standard posts.
  2. Building Lookalike Audiences: Beyond the live event, the data generated from Live Shopping is invaluable. The engagement data can be used to build lookalike audiences for future ad targeting. Since the algorithm now knows who is engaging with your livestream, it can find similar users who might be interested in future events or products.

Authentic Content Gets a Boost

Facebook and Instagram prioritize authentic, valuable content—and Live Shopping delivers that in spades. The platform’s algorithms are designed to identify content that is genuine and engages users on a deeper level.

  1. Authenticity in Real-Time: Live Shopping is unscripted and real, which is exactly the type of content Facebook and Instagram want to prioritize. It’s not highly polished, and that’s what makes it appealing. Hosts are interacting directly with viewers, often answering their questions or providing product demonstrations on the spot. This authenticity leads to higher engagement and greater trust from viewers.
  2. No Barriers to Entry: The beauty of Live Shopping is that it doesn’t require a high-end production setup. Some of the most successful livestreams are shot on a smartphone with minimal equipment. This makes it accessible to a wide range of brands, from small businesses to large retailers, and ensures that the content feels authentic and relatable—something the algorithms favor.

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Encouraging Data Collection and Targeting

The more data Facebook and Instagram can gather, the better their algorithms can serve users—and Live Shopping is a treasure trove of data.

  1. Valuable Insights: Every comment, share, and purchase during a Live Shopping event provides insights into customer behavior. Brands can use this data to refine their livestream strategy, improve targeting, and even develop better products. There is no better way to learn about your audience than having a two-way dialog with them, and Live Shopping makes this possible. 
  2. Lookalike Audiences: Once the livestream ends, brands can use the engagement data to create lookalike audiences, which help target users who have similar interests and behaviors as the original viewers. This makes future campaigns more effective and increases the chances of engagement and sales.

Why Facebook and Instagram Favor Live Shopping

Ultimately, Facebook and Instagram prioritize Live Shopping because it ticks all the boxes their algorithms are designed to reward. It drives high engagement, increases viewing times, uses multiple platform tools, and generates valuable data for both brands and the platform itself. For brands, Live Shopping isn’t just a way to drive sales—it’s a key to unlocking greater organic reach, deeper engagement, and more meaningful interactions with their audience.

As the E-commerce landscape continues to evolve, Live Shopping will only become more critical to Facebook and Instagram’s strategies. Brands that embrace it now will not only please the algorithms but also set themselves up for long-term success on these platforms.

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Neha Mirchandani
Content Marketing Manager
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Neha Mirchandani
Content Marketing Manager

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Sprii in Action

During a Live Shopping event, Sprii automatically replies to comments, creates orders for your customers, sends them a link to their basket, and handles payment and shipping.

5. Create hype & excitement during your events

The beauty of Live Shopping is that it can be used in so many ways. This is particularly valuable during Black Friday and Cyber Monday when businesses are looking to engage their viewers in as many ways as possible.

Here are 3 ways to create hype and get customers excited about your Black Friday events so you can achieve your revenue goals.

5. Create hype & excitement during your events

During Black Friday and Cyber Monday, potential customers often experience an intense pressure to participate in the shopping frenzy, driven by the fear that they will miss out on the best deals and discounts if they don't join in.

Live Shopping enables viewers to make purchases instantly while watching the stream, which can be especially effective during Black Friday and Cyber Monday when time-limited deals are available. This instant purchasing capability can drive sales during Live Shopping events.

With Live Shopping, consumers get the personal assistance of an in-store shopping experience and the convenience of being able to shop from the comfort of their own sofa or favorite coffee shop.

Viewers can get information from the retailer in real-time by asking questions directly in the Live Shopping event.

During a live show, viewers can ask questions and get answers in real-time. Even better, they can interact with each other and share their experiences with your products.

AspectTraditional E-Commerce JourneyLive Shopping Journey
Marketing ApproachHigh ad spend and several channels to attract shoppers to webshopLeveraging existing social media followers
NavigationRequires navigating through a static webshop to find products.Requires nothing more than watching a live video to discover new products.
Product PresentationProducts are presented through static images. Products are presented in a live video by engaging hosts.
Customer ExperienceFeels like a business transaction.Feels like a personal connection.
Engagement and InteractionLimited to static product descriptions, images, and occasional customer reviewsOffers real-time interaction between hosts and viewers, allowing for immediate Q&A, live demonstrations, and personalized recommendations
Customer ExperienceCustomers independently navigate the webshop and make purchase decisions without help.Customers are guided through products, receive helpful information, and can ask questions as well as see what others are writing and asking.
Conversion RatesRelies on well-designed websites and optimized marketing funnels to convert visitors into buyers.Often achieves higher conversion rates due to the sense of urgency and interactive nature of live events.
Customer Acquisition Cost (CAC)Higher CAC due to extensive marketing efforts across various channels.Typically lower CAC by leveraging social media followings and organic engagement during live events.
Return RatesHigher return rates due to customers not fully understanding the product before purchase.Lower return rates as live demonstrations provide a clearer understanding of the product, leading to more informed purchasing decisions.
Time to sellCan range from hours to weeks or even months. Often much quicker, ranging from minutes to hours.
Metric Traditional E-Commerce Live Shopping²
 Avg. Conversion Rate 2.5%³  Up to 60% (Sprii Data)
 Avg. View Time 54 seconds⁴ 20+ minutes (Sprii Data)
 Avg. Checkout Rate 45%⁵ 60% (Sprii Data)
 Avg. Return Rate 20-30%⁶ Under 10% (Sprii Data)
 Avg. Customer Acquisition Cost (CAC) +€50⁷ 0*
 Avg. Sales Cycle Hours, weeks, months Minutes