Learn why live commerce has the potential to multiply your sales.
Success in China and the United States, live commerce is taking its first steps here in Brazil. It is a method capable of promoting very high conversion rates and has been impacting the international market with significant numbers.
In China, it is already a dominant purchasing format, growing from US$ 2.85 billion in 2017 to US$ 144.15 billion in 2020. The perspective, by the way, is to become a $600 billion industry in the Asian country in the future. In the United States, meanwhile, in 2020 alone, live shopping represented about $5.6 billion in sales. And Coresight Research’s own forecast is that they will grow to $25 billion by 2023.
Of course, some factors have contributed to boosting this mode: the digital transformation, the convenience of shopping from the comfort of home, and recently, the social isolation caused by COVID-19. As a result, people have turned to online shopping and live commerce.
But why does this sales strategy deserve special attention, including from your company? What is the value of this format to the Brazilian market? And what does this new shopping habit really mean? Understand all this from now on.
First of all, what is live commerce?
Live commerce is a virtual event that brings together artists, influencers, live streaming platforms and e-commerce. Everything is done with the intention of bringing the target audience closer to the products, providing an interactive experience, and maximizing sales.
It is intimate, just like those Polishop advertisements on broadcast TV, in which the salesman presents the product and addresses the audience directly. However, with the necessary adaptations for current audiences and technologies. Instead of TV, streaming platforms are used. Instead of salespeople, we have influencers. And instead of calling a phone number, the consumer needs only a click on the smartphone to make a purchase.
This format is a powerful strategy for e-commerce companies, which end up creating remarkable and memorable experiences for their customers. And it is certainly an increasingly competitive scenario, as brands and retailers seek to attract and retain customers by adopting advanced digital tools.
Importantly, brands need to take a careful approach when implementing live commerce into their strategies. In other words, there are important steps that need to be taken to be on the path to success. Let’s see what they are.
Know your audience well
As obvious as it may seem, knowing your audience deeply and understanding their buying habits are essential requirements. Only then will your brand be able to delight the consumer at all stages of their journey. Try to identify the tastes, desires, and what kind of content your audience consumes.
Choose your platform well
Today, there are dozens of different platforms focused on live commerce. Therefore, it is necessary to know the options offered by each one, since factors such as the one-click purchase option are important for the success of your event. Consider their differentiators before choosing.
Have exclusive promotions and conditions
The fact that the pricing of products is differentiated in an event triggers the mental triggers of urgency and scarcity in those who follow – a tactic widely used in marketing in general. Therefore, think about special promotions and conditions. You can also hold drawings of live numbers, as this will make the audience enter and wait for the result, hoping to win the prize.
Have a well-defined script
Yes, live commerce needs to be interactive and should benefit from spontaneity, but it cannot get out of hand. Have defined times and moments. It is important that your event follows a pre-defined logic.
Prepare the people involved well
Whoever is in charge of your company’s event, be it an artist or an influencer, needs to know well the product or service that will be offered. Never forget: the purpose of this modality is to bring the public closer to the brand.
Have an inventory ready for the sales increase
Having a stock prepared for a possible increase in sales, in a way that does not generate failures or noise and does not affect the public’s perception of value, is fundamental. To provide a memorable experience, delivery must be done in a timely manner, leaving the customer fully satisfied with every step of the process.
Last, but not least
As you can see, with planning and preparation, this tool can be an attractive platform for customers to connect with their favorite brands and experience unique experiences. It is definitely a useful and cost-effective marketing strategy that deserves your look, as well as others we have covered here.
If you wish, you can contact us to think about it and decide which one best suits your company’s needs.