What Is Livestream Shopping?

Since 1994, when the first secure online payment was made, e-commerce has changed a lot. Now, we have something new and exciting: livestream shopping. It’s like those TV shopping channels, but online and much more interactive. You can watch influencers dressed as anime characters selling unique products live. It’s fun, engaging, and a great way to shop.

Livestream shopping is more than just buying products online. It’s about being part of a live event where you can interact, ask questions, and see products in action. This new way of shopping can help businesses sell more because it’s fast, fun, and lets customers feel connected to what they’re buying.

Let’s take a closer look at livestream shopping in this blog post and see how it can make shopping online even better.

What Is Livestream Shopping?

Livestream shopping, also known as live shopping, livestream commerce and live commerce(too many names right?), is a marketing and e-commerce method where the products are advertised, promoted and sold during a livestream. A livestream shopping event is hosted by a streamer, who is usually an influencer or a celebrity.

During a livestream shopping event, shoppers can interact with the host. They can ask questions, leave comments, and learn more about the product or service. In some versions, they can even shop directly from the livestream.

Livestream Shopping By The Numbers

If you want some analytical information on livestream shopping, here are some quick statistics:

• By 2024, the e-commerce revenue generated from live shopping is expected to increase to 35$ billion. (Statista)
• The number of Livestream shopping buyers is expected to increase by %13.5 in 2021. (eMarketer)
• In 2019, around 37% of China’s shoppers made Livestream purchases online. (Forbes)
• In 2020, Alibaba generated $61.7 billion in gross merchandise value on its Taobao livestreaming platform for merchants alone. (eMarketer) 

How To Sell Via Livestream Shopping?

If you have an e-commerce business, selling via a livestream platform can be a great additional sales channel for you. It can also be a very rewarding way of connecting with your customers, and getting some great feedback on your products or services.

Incorporating livestream shopping into your business can be as easy as streaming on Instagram with your phone, or it can be as complex as building a dedicated website and hiring a special team, studio and a group of influencers. It all depends on your goals and budget.

Step 1: Plan around your budget

As we have stated before, your livestreaming efforts can take different forms depending on the budget available. So before going any further, you should at least have a price range in mind.

If you don’t want to go all out, you can always livestream on a budget. It is okay to use your computer webcam or a mobile device. If you can get stable audio and decent video, this might be a great choice to start. 

You can appear on the livestream by yourself, or you can find someone else. Again, on a budget approach using your face would be the cheapest option. But if you want to invest more, you can try to find a local (or global if you want to go that far) influencer to be the face of your brand during the livestreams.

Equipment, location, host, special effects, and other variables can change depending on your budget. So always make sure your plans follow your budget. It will make things much easier in the future.

Step 2: Choose a platform your audience will use

After you have made your budget-related choices, you will need to decide on which streaming platform you are going to use. You can use native social media apps to stream, or you can stream through a third-party streaming service.

Leading native apps:

• Twitch
• LinkedIn Live
• Youtube Live
• Instagram Live
• Facebook Live

Leading third-party streaming services:

• OBS Studio
• Zoom
• Vimeo Livestream
• Dacast
• Be. Live
• Brightcove

When choosing your method of livestreaming, you need to consider your audience. 

You probably already know who your target audience is, and if you have any data on them it is time to put it to good use. 

Decide what platform your audience frequently uses. If you have a strong following on a certain social media platform (e.g Instagram) you can livestream on that platform to bank on your audience. Or if you have a significant audience from multiple platforms, using a third-party livestreaming service might be a better option.

When selecting a platform consider its technical features. Make sure the platform or service you use can withstand the number of expected viewers. If you are already familiar with a streaming service, using it might be more favourable as you will need to invest less time to learn all the features you need. 

If you are hiring an influencer to be your host during the livestream, consider what platforms they are popular on. If they have a huge following on Twitch, streaming from another platform might not be a good idea. 

Step 3: Choose your format

You can provide a livestream shopping experience in different formats to keep your audience engaged. Mixing and matching these formats can create a unique and engaging shopping experience. 

• Informative: You can select a product or a group of products, and provide a detailed tutorial during your livestream. You can also receive and answer questions from your audience and showcase how to use your product or its features. This format can be great for debuting a new product or showcasing a trending one. 
• Customer testimonials: You can invite previous customers and interview them about your products. You can ask them to tell their story, or they can explain how your products/services helped them. During the interview, your audience can buy the displayed service or product.
• Pick an influencer and let them do their thing: Another strategy is to collaborate with an influencer and give them the creative freedom to showcase your product or service in their style. While it might seem risky, remember that influencers have a deep understanding of their audience’s preferences. This allows them to create a unique and genuine experience that could resonate more effectively with potential customers. Trusting their expertise can lead to engaging and authentic content that highlights your brand in a new light.
• Offer: You can create an offer-based livestream event wherein you showcase products, give a small description, and immediately make a promotional offer or a discount. 
• Auction: If you have a business that specializes in one-of-a-kind items, organizing a livestream auction might be great! This way, you can focus on one product at a time and even sell the item for an unexpectedly high price. 
• Q&A Session: You can base your session on answering customer questions. Your customers can ask questions about your services/products live and make purchases if they are satisfied with your answers! This might be a great way to build trust.

These are our suggestions. You can always create different formats for livestream shopping, or mix and match different types to make something unique. ınteractive elements can be included in livestreams, such as live polls, quizzes, and contests. These can increase viewer participation and engagement, making the shopping experience more enjoyable and memorable.

Step 4: Promote your livestream event!

If you have everything planned and ready, it is time to promote your event! If nobody knows about your event, all the work you put into it will go to waste.

• Picking the correct time to promote your event: The correct time to start your promotion depends on your audience and services. For small businesses, one to two weeks is usually a good choice. This will provide you enough time to reach your audience while making sure they don’t have enough time to get disinterested.
• Picking the right channels: Promote your event from your social media channels, your website, and other platforms you have access to. If you have a channel to use for your audience, use it! Email marketing can also be great at this point. Just make sure the channel and the message fit. If you promote an over-the-top event on a business forum, you might get negative feedback.
• Repeating the message: After picking your promotion channels, you need to make sure you repeat the message enough times without overdoing it. As a rule of thumb, you should start your promotion with a dedicated post. After that, you can repeat the announcement daily if you have a week. Or you can post a countdown story every day to keep your audience engaged. If you have more than a week left until the event, then posting once every 2 to 3 days is a better choice.

Reach your influencer’s audience: If you have partnered up with an influencer, ask them to announce the event to their followers. Their audience might be first-time customers!

Step 4: Launch your livestream shopping event!

This is the part where the event happens! Ensure a seamless shopping experience during the livestream. Provide clear access to your sales channels and actively engage with your audience through chat. Having moderators can help manage the conversation and address any issues in real time.

Step 5: Gather feedback after the event.

After your livestream, ask attendees for feedback and write down the problems you identified. Also, gather your sales data during the event, and analyze how much the livestream contributed to your business.

If you are satisfied with the results then great! Use the feedback you gathered to make your livestream even better. You might have found a great new front for your business, enjoy!

If you are not satisfied with the results then decide if the outcome can be better with the feedback on your hands. You can always try one more time by implementing different strategies. Or you can decide livestream shopping is not for you. 

Either way, you can try livestream shopping to see if it is right for your business. You can start with a low budget, try out and see how it works and increase your budget over time as you start getting results. Livestream shopping might not be for everyone, but it is a marketing tool you shouldn’t ignore!

Case Studies and Examples

Through a series of case studies and examples, we’ll explore the diverse strategies companies have employed to captivate audiences, boost engagement, and drive sales through livestreaming. 

Each example shines a light on innovative practices, technical setups, interactive elements, and post-event strategies that have propelled businesses to new heights. Whether you’re considering livestreaming for the first time or looking to refine your approach, these case studies serve as a source of inspiration and guidance in navigating the livestream shopping landscape.

• “Gizmo Gadgets” held a livestream event to demonstrate their latest tech products. They used a two-camera setup to switch between wide shots and close-ups of the gadgets, improving the visual experience for viewers. Best practices included using a ring light for consistent lighting and a lapel microphone for clear audio, which contributed to a 40% higher viewer retention rate compared to their previous livestreams.
• During a livestream book launch, “Readers’ Haven” bookstore incorporated live polls asking viewers to vote on which chapter the author should read excerpts from. They also hosted a quiz on themes within the book, with winners receiving discount codes. This interactivity led to a high level of viewer engagement and a noticeable spike in book pre-orders.
• After a livestream cooking class, “Culinary Creations” sent out follow-up emails to participants with a recap of the recipes covered, links to purchase featured kitchen tools, and a survey to gather feedback. They offered a discount on the next class for completed surveys. This strategy enhanced customer loyalty and provided valuable insights for improving future classes.
• “Beauty Broadcast,” a livestream channel focusing on cosmetics reviews, ensures compliance with FTC guidelines by clearly disclosing any sponsored content at the beginning of their streams. They also respect copyright by only using royalty-free music during live sessions. This commitment to ethical practices has strengthened the brand’s trustworthiness and audience loyalty.

The Future of Livestream Shopping

The future of livestream shopping looks incredibly promising, with potential advancements and innovations poised to redefine the online shopping experience. As technology continues to evolve, so too will how consumers and brands interact in real-time, making the shopping process more engaging, personalized, and immersive. 

Integration of Augmented Reality (AR) and Virtual Reality (VR)

Augmented and Virtual Reality technologies are set to play a significant role in livestream shopping. AR can offer customers the ability to virtually try on clothes, and accessories, or even visualize furniture in their home space during a live session. VR could take this further by immersing users in a fully interactive 3D shopping environment, making the experience even more engaging and realistic.

Enhanced Personalization through AI

Artificial Intelligence (AI) will drive greater personalization in livestream shopping. AI can analyze viewer preferences, past shopping behavior, and engagement history to tailor the livestream content, product recommendations, and special offers in real time, providing a highly personalized shopping experience for each viewer.

Global Expansion and Localization

As livestream shopping gains popularity worldwide, platforms will expand their reach, adapting content to local languages, cultures, and shopping habits. This globalization will bring diverse products to a global audience and allow brands to tap into new markets with localized livestream shopping experiences.

Interactive and Gamified Shopping Experiences

Livestream shopping will become more interactive and gamified. Brands may incorporate quizzes, polls, and interactive games directly into their livestreams, offering rewards, discounts, or exclusive access to products as incentives. This gamification will make shopping more entertaining and engaging, encouraging higher viewer participation and conversion rates.

Direct Integration with E-Commerce Platforms

There will be deeper integration between livestream shopping and e-commerce platforms, allowing for seamless transitions from viewing to purchasing. This integration will enable viewers to buy products without leaving the livestream, streamlining the shopping process and improving conversion rates.

Growth of Micro-Influencers and Niche Markets

The future will see a rise in micro-influencers and niche markets within livestream shopping. Brands will partner with influencers who have highly engaged, niche audiences to promote products in a more authentic and trustworthy manner, catering to specific interests and communities.

Sustainability and Social Responsibility

Sustainability and social responsibility will become more prominent in livestream shopping narratives. Brands will use livestream platforms to highlight their commitment to ethical practices, eco-friendly products, and social causes, aligning with the values of socially conscious consumers.

Advanced Analytics for Real-Time Insights

Finally, advanced analytics will provide brands with real-time insights into viewer behavior, engagement levels, and purchase patterns during livestreams. This data will be invaluable for optimizing future livestreams, tailoring content to audience preferences, and measuring the success of different strategies.

Takeaways

Embracing livestream shopping marks a strategic pivot towards an interactive, engaging e-commerce model that blends entertainment with instant purchasing opportunities. By carefully planning your budget, choosing the right platform and format, diligently promoting your event, executing it flawlessly, and thoughtfully analyzing feedback, you can create a unique shopping experience that resonates with your audience. 

Livestream shopping not only has the potential to significantly boost sales but also deepens the connection between your brand and its consumers. As digital commerce continues to evolve, incorporating livestream shopping into your marketing mix could set your brand apart, making it a vibrant, interactive, and indispensable part of your customers’ online shopping journey.