Live shopping: Tomorrow’s preferred online experience?
Published March 5, 2024
- Customer Experience
- Retail, Beauty & Luxury
This type of online sales adapts teleshopping techniques to social networks and other specialized platforms, offering customers direct access to products presented in a live streaming video. Live shopping thus lies at the frontier between e-commerce and entertainment, integrating influencers and animations with product presentations.
With features available on Instagram, Facebook, Pinterest, Twitter and soon Youtube, live shopping is generally targeting Gen Z. Lives can be One-to-One, One-to-Few, One-to-Many.
Live shopping is particularly popular with e-sports, cosmetics, multi-brand retailers and e-commerce sites. According to a McKinsey study, live shopping sales could account for 10-20% of all e-commerce by 2026 (opens in a new tab).
Luxury brands are picking up on live shopping, to offer personalized One-to-One experiences, as Gucci is doing with its Gucci Live platform.
An “in-store”… digital experience
As well as providing entertainment, this event-based sales approach recreates the experience of physical shopping by introducing advice: customers can try out the products, ask questions to the sellers…
Not only does this boost brands’ and products’ appeal through authentic buying experiences, but it also engages consumers, enabling them to interact rather than just watch.
Live shopping can achieve a 30% conversion rate, 10 times higher than in conventional commerce.
Live shopping fosters impulse buying, and enables brands to build a strong, unique identity.
Four tips for building your value proposition
What is our objective? Who is our target audience? Which product(s) do we want to promote? Are we looking to trigger an impulse purchase, drive volume, raise product awareness or break down barriers to purchase?
KPIs such as exposure rate, interaction rate, conversion rate, etc. can vary, so live shopping must be integrated into a comprehensive promotional strategy.
What do you want to tell and how?
A clear editorial focus is essential to get the right messages across and to convey the proper impression. Viewers’ questions need to be anticipated, while allowing spontaneity. Storytelling also involves choosing the appropriate hosts or influencers to engage consumers and increase desirability. The Printemps group, for example, has chosen to feature its personal shoppers rather than influencers on its live shows.
How to navigate a complex digital ecosystem?
Venue, format (horizontal, vertical), duration (20-30min) are all to be anticipated. Not to mention that this has a cost: from €10 to €200k depending on the scope of the project. A successful live event relies on a variety of technologies, such as automatic shopping carts, item sheets, augmented reality, etc. As a result, more and more specialized players are appearing in the market to support companies.
How do you create an event and keep it going over time?
To attract the largest audience, the live event needs to be promoted to key target groups, particularly on social networks, right up to the big day. Offering a live benefit, such as a promotional code will attract traffic and create a sense of urgency. However, replays should not be overlooked. It increases the number of viewers and helps generate sales and content over time.
Why should brands adopt the live shopping trend?
Build loyalty through events
Offering tickets to the Champions League, like Carrefour, or bringing in YouTuber Squeezie for the launch of the latest Xbox, like Fnac-Darty, are effective techniques for attracting a maximum number of people, both live and on replay.
Collect data the fun way
Lives let people interact in real-time with polls or dynamic features, gathering valuable information about their preferences and consumption habits.
