A Handy Guide to Live Commerce: Everything You Need to Know
Today, it is imperative for businesses to prioritize innovation to remain competitive in the rapidly evolving eCommerce landscape.
Digital platforms have given brands the avenue to do so, especially with Live Commerce. It has been a rising trend in the industry, combining entertainment and sales. An inherent advantage of this selling approach lies in its ability to provide audiences with the opportunity to observe product demonstrations while engaging in their shopping experience.
To maintain a competitive edge, it is crucial to have a comprehensive understanding of the concept of live commerce which can help boost customer engagement, conversions, customer experience, and sales.
Keep reading for a complete guide on live commerce, its advantages and practical insights for developing a successful strategy tailored to your business needs.
What is Live Commerce?
Live commerce is an eCommerce trend that combines live streaming and shopping, allowing customers to interact with the host and to purchase products in real-time.
This operation can take many forms, such as video shopping, auctions, and product launches. The format offers consumers an engaging and interactive social commerce experience, which can increase sales and brand loyalty. This trend has grown its popularity, forever transforming the customer’s shopping experience.
Experts predict that in China, one of its largest markets, the total revenue could reach around $720 billion by 2023. Meanwhile, the US market is also projected to grow significantly in the coming years, with reports on the estimated earnings of about $25 billion by 2023.
Live Commerce Benefits: Why Your Business Needs It
Live commerce helps your business stand out in the competitive eCommerce market. Here are several of the most significant benefits of incorporating live commerce into your strategy:
1. Improved customer engagement
According to Vimeo Livestream, 80% of audiences would rather watch live videos of brands than read blog posts. Live-streaming commerce is becoming increasingly popular, passing as entertainment with almost 30% of the global population tuning in during the 3rd quarter of 2022.
You can take advantage of these numbers and turn to live commerce. This improves customer engagement by showcasing products and enabling real-time interaction with buyers, further building a stronger connection with your audience.
2. Increased conversion rates
Live commerce can also increase conversion rates. For instance, live-streaming luxury goods has a conversion rate of around 70%.
If you sell premium items, you can take the opportunity to convert your audiences by showing them what they can expect when they purchase a product or avail of any service. You can also hire an influencer to reach an even wider audience and provide authenticity.
Another way that live commerce can improve conversion rates is through limited-time offers and promotions. By offering exclusive deals during a live stream, you can create a sense of urgency among viewers, encouraging them to purchase before the offer expires.
3. Boosted brand awareness and loyalty
Live commerce lets you showcase your brand personality and values, leading to a loyal customer base.
Interacting with customers via personalized shopping experiences through live streams strengthens bonds with your audience, fostering brand loyalty. Today, it’s vital to have a solid following as 60% of loyal consumers buy more frequently, with 20-30% being repeat purchasers.
4. Enhanced customer experience
Live commerce has the remarkable potential to greatly enrich the customer experience by fostering a highly collaborative environment. Shoppers can actively engage by posing real-time inquiries, knowing more about product details, and receiving personalized recommendations from the host which creates a more interactive and informed shopping experience.
Integrating features like live polls and quizzes within live commerce will facilitate effective customer engagement, leading to a more enjoyable experience. This heightened level of interactivity empowers customers to make well-informed purchase decisions, thereby augmenting their overall satisfaction with the buying process.
5. Augmented competitive advantage
By leveraging the power of live video, you can establish a distinct brand identity that sets you apart from competitors, enabling you to stand out in the eCommerce marketplace. Live video shopping can boost conversion rates up to 30%, providing businesses a competitive edge over non-users.
How to Create a Live Commerce Strategy: Tips and Tricks
Now that you know the benefits of live commerce, you must learn how to create a compelling and cohesive strategy. Here are some tips and tricks to help you get started:
Identify your target audience
Before creating live commerce content, you must determine your target audience. Understanding your consumers’ interests, preferences, and shopping habits helps you create content that resonates with them.
Choose the right platform
Several live commerce platforms are available, each with unique features and capabilities. Research different sites and apps to find the best one that aligns with your goals.
Plan your content and schedule
Create a content plan that outlines the topics, products, and guests you’ll feature in your live streams. Develop a schedule that allows you to promote your live commerce events in advance and ensure that your customers know when to tune in.
Invest in the right equipment
You’ll need the right equipment to create high-quality live commerce content, such as cameras, lighting, and audio equipment. Investing in the right gear can also help mitigate technical issues or equipment failures during live streams.
Prepare your hosts and guests
Ensure that your hosts and guests are well-prepared and knowledgeable about the products or topics they’ll discuss during the live stream. A charismatic and knowledgeable presenter can play a pivotal role in cultivating credibility and fostering trust among your audience.
Manage your inventory and order fulfillment
Verify that your inventory is up-to-date and your order fulfillment process is efficient. Having everything in order can help avoid delays or complaints during or after live commerce events.
Measure and analyze your results
Monitor engagement, sales, and audience feedback to evaluate your strategy. Analyzing your results helps you identify areas for improvement and make data-driven decisions.
Revolutionize Your Business with Live Commerce!
Partnering with the right eCommerce enabler and utilizing the right procedures can help develop a successful live commerce strategy that drives sales and customer loyalty.
Find the comprehensive eCommerce solutions provider with etaily to propel your business growth in the digital commerce industry.
Get in touch with us today!