An honest look at livestream shopping as a sales strategy.
So you’ve heard of livestream shopping, the interactive form of e-commerce that blends live video with online shopping. Also known as live selling and live commerce, this immersive retail strategy is a lucrative way for brands to reach new shoppers virtually, create addictive online experiences, build loyalty, and increase conversions.
However, there is still a lot of confusion about what livestream shopping is, how it works, and whether it’s worth the time and effort for retailers to take out of their already busy schedules.
To address misconceptions and answer a few questions, we’ve compiled a list of live commerce myths that should clear up any confusion about this new sales strategy.
1. Live Streaming Requires a Professional Studio and a Video Team
Brands often believe that livestreaming events are expensive and require a full-fledged video staff. But live streaming is incredibly simple. The equipment required for getting started will shock you—only a smartphone, a ring light, and the right live selling software are truly necessary to get started.
Unlike pre-recorded videos, there is no expectation of perfection from live broadcasting. Viewers seek something genuine that lowers the barrier between a brand and the buyer. Since it is live, there is no post-production to take care of either.
2. It's Impossible to Get People to Attend Live Sales
The key factor in getting people to attend your live is consistency. Freckled Poppy Boutique, a fashion retailer, is acutely aware of the effectiveness of consistency. The shop broadcasts its live sales every night at 10 p.m. This consistent scheduling has built a loyal following for the retailers, and the boutique routinely sells to more than 1,000 people every night.
Instead of making live sales random, one-time events, create a daily, weekly, or even monthly experience so that customers will look forward to it and celebrate it like they would their favorite television program’s next episode.
3. I Need to Host My Own Live Sales
Many brand owners choose to host their own live sales and truly enjoy the process and results, but that doesn’t mean you have to do the same. You can hire staff specifically to host live sales for you, just like you would hire someone to help with inventory or any other business operation. You can even get an influencer on board to host your live sales. You get the benefit of their built-in online following, and they get to earn extra income.
4. It’s Hard to Integrate Live Selling With Current E-Commerce Software
Businesses and shops that want to try live video selling can get started easily by integrating live selling software specifically made for e-commerce platforms.
Many live selling platforms out there offer seamless, e-commerce integrations, giving sellers an opportunity to add another sales channel to their arsenal. Better yet, the most comprehensive live selling platforms offer multichannel integrations that allow you to simultaneously broadcast across social media, custom-built mobile apps, and webstores—increasing reach and revenue exponentially.
5. Only Social Media is an Effective Live Streaming Channel
Live events on social media allow easy access for brands to use influencers and meet shoppers where they spend most of their time. But brands today are expanding beyond social media and for good reason. They are looking for their own app and webstore for better control over their viewers and analytics and to give their shoppers a branded and consistent user experience every time.
Hosting live sales on platforms outside social media puts the power back into the hands of the brand. Retailers can control the distribution of their content to their customers without having to rely on ever-changing social algorithms. With close to 70% of shop revenue on CommentSold coming from mobile apps, having your own mobile app is a great addition to traditional online selling. Not only does it give you more control over analytics, but retailers have reportedly sold three times more by going live on mobile apps.
6. Only Fashion and Beauty Brands Can Attract Audiences on Livestream
Fashion and beauty brands may seem like they have a monopoly within the live selling sector, but there is plenty of room to spare. High-end enterprises like Louis Vuitton and Burberry have made a splash in this space, but this doesn’t mean other industries aren’t succeeding with livestream shopping.
LG Electronics hopped on the live shopping train recently with a 30-minute episode of their series called ‘The Upgrade’. Their livestream featured a range of LG products, including LG TVs, monitors, and refrigerators. This live shopping experience allowed customers to purchase directly from LG’s Facebook and Instagram livestream.
Petco organized a dog fashion show called ‘The Perfect Fit’ that was also a dog adoption drive. More than a million people tuned in, and many model dogs were adopted during and after the stream.
KitKat cleverly used live shopping in its broader campaign strategy to boost its online sales and store visits. KitKat Chocolatory Australia came up with a live shopping event, complete with ads and polls, to allow viewers to discover new flavors and customize their KitKats right on the stream. The event accounted for one-third of KitKat Chocolatory’s annual sales, besides growing its brand awareness.
Live selling is a powerful tool for e-commerce retailers to help drive sales, engage customers, and build brand loyalty. While some myths may discourage some retailers from using this strategy, it is important to understand that these are myths. They are not supported by evidence and can be easily debunked.
Live selling can be an effective and rewarding part of a well-rounded e-commerce business strategy. These myths should not deter retailers from incorporating live selling into their business strategy. Retailers have managed to increase their customer spending by up to 3x while increasing revenue by 200% within 6 months of starting livestream selling. If you are an e-commerce retailer and have been hesitant to try live selling, request a free trial and see for yourself how it can help your business grow.