Live commerce is a new form of online shopping where customers make real-time purchases during live streaming video events.
The live commerce experience is designed to portrait the experience of retail shopping. The stream can include videos and links to further information for measurements or sizing, material, and various ways to wear the product. This combines the best aspects of a live store experience with the ease, convenience and speed of the conventional online shopping experience. And this live commerce has captured the major segment of consumer in China from retail industry to live commerce and have created a channel in last few years. There are much more to explore what live commerce is, and what it can mean for the business.
Live Streaming: The New Trend
Live commerce is the enhanced form of e-commerce with live and interactive streaming videos. Live commerce is mostly similar to how influencers demonstrate or endorse a product or service. The stream generally consists of embedded videos or links to further information about the measurements or sizing, look, material, and the rest. With live interactive video streaming, customers can interact and comment. There are links which allow customers to learn more and make real-time purchase during the video presentation of the products. Direct channels of purchase, enabling comments, using one-on-one video chat, and more are some of the interactive options offered to customers.
Live Streaming: Value for The Consumer
Usually, we all love shopping. And live commerce is a great way for brands to achieve their goal of recreating the love of online shopping.
In live streaming brands get a platform to showcase the products in real-time, describing how it feels when you touch the material, how it tastes, looks, how much it weighs and etc. It can describe as building a healthy connection by reducing the gap between the customer and companies with a real-time engagement.
Significance of Live Streaming:
Distribution Costs Reduction
While the products are sold to customers directly from warehouse instead of different shipping locations during a live streaming event, the distribution cost is reduced. And even the operational process of receiving the order become easy and smooth.
Improves Customer Experience
Live streaming process allows influencers to effectively demonstrate the different features of the products and discuss how the product can be put into use daily in lifestyle by answering the customer’s pain points. Influencer interact directly with customers, and shows the comparison of the products available in the market. This live commerce helps customer in taking decision by discussion their exact wants and requirements.
Brand Loyalty
This in return helps out in retaining the customer and creating new customers. The customers will stay loyal to the brands and develop a bond as retaining customers is very important for the growth of your business. The customer value will increase as they can create a personal relationship. Try to create long term brand loyalty customers can tend to connect more with the individual selling of the products.
Classifications of Live Streaming:
Online Marketplaces
Amazon, eBay, Walmart, and others are competing to get as many customers as possible. Live Commerce is a new tool that helps them attract and keep customers on the platform, increasing their revenue and the time customer spent on their marketplace.
Online marketplaces like Alibaba to Amazon and eBay and local marketplaces, allow online shoppers to buy and sell products being at their own places. But without new layers of engagement, online marketplaces will become a thing of the past. So, by integrating live streaming into the platform, these marketplaces can deliver the closest possible experience to ‘being there’ for those who are close to their living room. It gives real-time interactivity replicates the urgency of a real marketplace, prompting immediate action and enhanced community participation.
Live Auctions
Many of the companies are using the live streaming studio as a part of their offline experience since it’s helped them extend their audience and drive more sales. Online auctions are big business, and real-time video delivery is critical. Whether auctioning off livestock or fine art, any delay in a live stream could prevent bids from being recorded properly. Fractions of seconds can translate to billions of dollars in lost revenue when deploying these formats online. Live video streaming enriches digital presence. Companies connect bidders worldwide with the excitement of the saleroom.
Live Streaming with Influencer
Influencers are using their brand and trust to connect with their audiences. Live commerce built on such a strong connection is a powerful tool that boosts sales and engagement.
What is next in Live shopping:
The next phase of live shopping will be all about combining offline and online shopping experience with an own channel and getting over full control over customer requirements and data transactions. And this will lead to an enjoyment and entertainment for the new generation of buyers and customers with the convenience of live commerce. And definitely, in next few years the market of live streaming is going to be huge.
