The new streaming sale is still less than in its infancy, so it is a good opportunity to gain insights based on what we already know how it works and prepare the strategy to beat your competitors.
The best way to put into context what is going to happen in the coming months is, without a doubt, to look at how it is evolving in the United States and China. Especially in the Asian country, which is increasingly setting the trends in everything related to e-commerce.
Live streaming commerce in China
The first thing to say is that this is not a new phenomenon. In 2019, it is estimated that live streaming already generated sales of about $63 billion.
It is also true that in such a gigantic market it may not seem much, but in terms of growth it is exponential. To give you an idea, according to the same source, in 2020 the growth doubled comfortably reaching 130 billion dollars. Clearly it works and interests the public. Now let’s see exactly how this milestone has been achieved.
The Chinese are crazy about social networks. They are completely integrated into their daily lives, more so than in Europe or America. The only difference is that, being a country with institutionally controlled Internet, they have their own platforms. It is important to emphasize that they have certain equivalencies with respect to other markets. Thus their Twitter would be Weibo, TikTok would be equated with Douyin and then there is Taobao, which is a platform driven by AliBaba and could be defined as an eCommerce very oriented to this latest trend of selling through live video.
Logically, social networks always carry with them the figure of influencers, here and in China. What’s more, we could even say that in this market they are particularly effective as a marketing resource.
These prescribers dedicate sessions of between 2 and 3 hours to show in detail and recommend products. In each live video, which they advertise profusely on their profiles, they can present an average of 30 different products within the Taobao Live platform. In these shows, each influencer uses streaming and their resources according to their own communication tone, audience and what they are selling.
Makeup is usually accompanied by a tutorial on how to use it, as well as hygiene, household or electronic products, for example. If what is being sold is clothing, they will try to convince us with a small live fashion show (absolutely everything is sold).
While all this is happening on screen, the chat is “smoking” and is always present with interactions between users and prescribers.
At the end of the demo, the link is published that allows you to buy the product directly using any of the most common payment platforms in that market.
In the end, it is a format that combines pure entertainment, lifestyle and discounts thanks to the use of coupons and promotional codes.
Live streaming commerce in the United States and Europe
No one wants to miss this train and, of course, Amazon is the first interested in making influencers profitable beyond its affiliate programs.
Actually, what this platform has done is to simply copy what works for the Chinese and dump it in its own marketplace. To do this, they have created what they have called Amazon Live, which replicates almost to the millimeter the operation of Taobao Live (although adapted to Western aesthetic canons).
That is: large screen area for video and leave the chat in a less invasive way. At the bottom, the link to the products being discussed is displayed directly, highlighting the one that appears at that moment in the streaming.
At the moment, Amazon Live is only available in the United States, but if things go as expected, it is only a matter of time before it makes its way to the rest of the marketplaces.