What Makes Live Commerce a Powerful Tool for Building Customer Loyalty?
Live Commerce Platform – The aftermath of COVID-19?
COVID-19 triggered the emergence of many revolutionary online platforms. Customers became more tech-savvy. New norms like social distancing and lockdowns surfaced, inducing people to spend more time online, making them more up-to-minute with the latest trends and their online shopping options.
Live selling has grown by 76% since the start of COVID
The scope of online shopping expanded like never before, and this will only continue to grow. What simple solution do you think can help you win them for the long haul? Answer — Evolve with your customers; meet them where they are!
What is Live Commerce?
Live Commerce is an interactive form of online video shopping where retailers leverage live streaming over static images to demonstrate products while retaining brand-own shopping experiences for diverse industries. This game-changing concept of “shopatainment” — brings eCommerce, consumers, and entertainment together in one place. Simply put, Live Commerce enables consumers to shop and purchase products while watching live videos on social media and retail platforms.
The Booming Market
The trend of Livestream shopping is relatively new in the U.S. and UK compared to countries like China, where it has already taken off. However, the Livestream trend is gradually gaining traction in the U.S. and UK. Tommy Hilfiger's fashion livestream in China was a huge success, with a reported audience of 14 million and sales of 1,300 hoodies in just two minutes. Encouraged by this triumph, the fashion brand extended the livestream to Europe and North America to reach a wider audience.
Many B2B enterprises are already cashing out on this rising trend. McKinsey Digital reports that using tactics like limited-time offers or exclusive products resulted in conversion rates nearing 30%, which is ten times higher than conventional eCommerce. Live Commerce is expected to account for up to 20% of all eCommerce sales by 2026 and will continue to grow 3X reaching $55 billion in eCommerce revenues in the U.S.
Livestream e-commerce sales in the United States between 2020 and 2026 (in billion U.S. dollars) Source: Statista
How does a Live Commerce Solution help you create value?
Live Commerce helps engage customers in real-time and encourages impulsive buying with in-video faster checkouts while seamlessly integrating with the company’s existing platform, paving the way for enriching shopping experiences and faster conversions. Here are some of the ways Live Commerce can help you in building customer loyalty that sustains: human touch
Humanize Online Shopping Experiences:
By providing real-time support and personalized interactions with the salespeople, Live Commerce infuses a human touch into online shopping. This fosters stronger customer relationships, boosts repeat purchases, and enhances your Customer Relationship Management (CRM) strategies. Rather than merely selling products, your sales team becomes brand ambassadors, creating a personal connection that resonates with live viewers and leaves a lasting impact.
Offer Seamless Omnichannel Integration:
By unifying your app, official website, and retail services, the Live Commerce platform helps you encourage customers to shop across various touchpoints. Having the ability to consume content across multiple platforms and devices, your customers enjoy a customer-centric experience and personalized marketing. This integration of online and offline stores allows your customers to explore your products more deeply, boosts engagement, and ultimately increases conversions, leading to higher revenues for your business.
Cater to Unique Customer Needs in Real Time:
Live Commerce offers unparalleled flexibility compared to physical stores. Customers can engage with salespeople 24/7 and browse products from the comfort of their homes. Concerns about differences between the actual product and the displayed image are addressed through virtual fitting rooms, allowing customers to try before they buy. Customers can personalize their online shopping experience by trying on garments based on their preferences.
In addition, personalized one-on-one conversations with salespeople help resolve queries, enabling customers to make confident decisions and select products that align with their preferences. According to recent findings from Statista, livestream shopping events garnered significant participation in the U.S., with 20% of the population engaging in this trend in 2022. Denmark claimed the top spot with 24% participation.
The global share of people who participated in or were aware of live-streaming shopping events in 2022. Source: Statista
According to Statista, the age group of 18 to 34 demonstrated the highest usage of live commerce in the US in 2022. With such a rising preference for influencer product recommendations and social content among consumers, Live Commerce particularly appeals to Gen Z and millennial shoppers. By leveraging Live Commerce Solutions, retailers can attract this niche, highly attracted to immersive experiences encompassing everything from payments to shopping. With Visionet’s Live Commerce solution, you can bring life to your digital commerce strategies, driving conversions without making your customers feel the interaction is very sales-y.
Contact our consultants to find a win-win strategy for customers and yourself.