Let’s go Live (Commerce)
How to keep growing in a fluctuating market.
When we talk about gaining fast growth, you need to look at what Customers are leaning into.
The Livestream eCommerce market is expected to grow from $5 billion in 2020 to reach $11 billion by the end of 2021! And this 'new' marketing and sales funnel is projected to more than double over the next two years, hitting $25 billion by 2023, according to Coresight Research.
Putting Livestream revenue into perspective, Amazon's net income grew to $8.1 billion in the first three months of 2021, exceeding the record set in the fourth quarter of 2020.
ACT NOW.
So while the numbers of Livestream aren't high percentage-wise, the rapid growth of the business means that you need to act fast and get on top of this booming market.
Walmart is already deep into testing Livestream eCommerce. On TikTok alone, they have run two Livestream events. During their first event in December 2020, they netted 7X more views than anticipated and grew their TikTok followers by 25%. Their second TikTok event was in March 2021.
BIG OR SMALL
We tend to look to China for emerging tech and commerce initiatives. Livestreamed shopping beyond is well established in China: Livestream eComm is estimated to have driven about $125 billion in sales in 2020, up from $63 billion in 2019 (Coresight). By 2022, Frost & Sullivan estimates that over $400 billion of products will be sold via Livestream eComm channels in China.
“Whether you're a start-up or an F10 company, you can't ignore Livestream. From a Customer's pov, it's akin to walking to a store and a sales assistant helping you with the purchase.”
HOW, WHERE, WHEN
Amazon has been Livestreaming for years. Today's Prime Day is a classic example. Found here. And all brands can get involved in the Amazon Live action - and the best thing about Amazon is; all your supply chain issues can be handled by them (at a cost, of course).
As for all marketing, great storytelling is necessary, but stellar production quality is not required. This way you can clearly discuss your brand’s Purpose and Conviction, and deliver retail revenue.
Shopflix for example offers shoppable video content that allows brands can tell their stories and customers to shop. "Shopflix is content first, commerce second, which helps the brand-consumer relationship go deeper than the transaction by providing an engaging story," Matt Matros, Shopflix cofounder. In other words, full-funnel marketing.
THE RISE OF SHOPPERTAINMENT
Larger traditional brick and mortar are getting into the shoppertainment business. Nordstrom (I love great Seattle companies), launched its platform for Livestream shopping. And true to Nordstrom's style and service, their brand Purpose comes through clearly. Take a look here.
This is not a flash-in-the-pan trend. You can expect to see the space flooded in 2021. For companies that want to grow, and enjoy new opportunities, immediately testing Livestream eCommerce is the simplest way forward.