How Brands Can Thrive By Going Live, Part 2: Where to Sell
This is the second article in our three-part series on ways that brands can leverage the rise of live commerce. In Part One, we explored why live-streaming matters and how to understand the platform landscape. In Part Two below, we share the pros and cons of live-stream platforms across industries. Next, in Part Three we discuss the emerging best practices for live content and where to look for inspiration.
As brands build their live strategy, the question of where to host these shopping sessions is one of the first to address. Depending on goals, budgets and timelines, a range of options could work –– from social platforms, to marketplaces, or self-hosted sessions on brand websites. The decision will be driven largely in part by where a brand's younger customers are. These are the consumers who are most curious about live shopping and most likely to convert. This is one of the reasons why TikTok is doubling down on live shopping in the US.
Social Platforms
Social platforms are leveraging their large followings and embracing live shopping at scale. Livestreams are one of TikTok’s fastest growing areas (and revenue drivers) rounding out their commerce offerings from TikTok Shop and commerce-enabled ads. YouTube recently launched a live-selling show called "From YouTube to You” featuring a range of creators in a highly produced broadcast. Creator Mai Pham for example is shown above demonstrating products from an on-set bathtub during the Nov. 16 live shopping event. Pinterest is also expanding their live shopping efforts on Pinterest TV, combining live programming with the ability for viewers to buy products from local, international and direct-to-consumer brands.
Meta has seemingly gone the other way having recently removed the Shop tab from Instagram and taken Facebook Live shopping off the air. A closer look however shows that shopping isn't completely gone, Meta is just finding ways to embed it deeper into the social experience. While the best social platform choice for brands is based on a number of factors, a good rule of thumb is starting with the ones where the brand has the highest reach and engagement – especially with younger consumers.
As one of the early brands to experiment with live shopping on TikTok, TooFaced hosts weekly live sessions featuring new and hero products. Their most recent show was held on March 9, 2023 and featured the Lake Como Cocktail-Inspired Eye Shadow Palette. According to the brand, live sessions have helped TooFaced grow its follower base and increase engagement. Streams typically last two hours (6pm - 8pm ET), often including hands-on tutorials and giveaways.
Marketplace Platforms
The growing popularity of live commerce has resulted in a plethora of marketplace platforms across categories and formats with fashion and beauty in the lead. NTWRK for example serves the hypebeasts with sneaker drops and streetwear, while WhatNot attracts collectors of all kinds from baseball cards to Funko toys. Beauty-based platforms are ideal for tutorials, Q&A’s and “get ready with me” sessions, examples include Supergreat, Flip, and Trendio among others. Even Poshmark, eBay and Shopify have gotten into the space.
On Amazon Live, creators like Myriam Sandler (founder of @MotherCould) are generating significant revenue by connecting with consumers who are there to shop. Alternatively, platforms like TalkShop Live and Popshop Live allow hosts to create a schedule of ongoing livestreams across product categories. Walmart, for example, hosted 150 live-shopping events on TalkShop Live in 2022 alone.
For their foray into live commerce, Walmart tapped celebrity hosts from Drew Barrymore, Jessica Alba and Emeril Lagasse in addition to a number of authors and cooking show hosts like the Pioneer Woman. The hosts interact with viewers who comment, answer questions, and bring in various forms of gamification to keep engagement high. While it may come off as a slightly hipper version of HSN or QVC, brands like Walmart are willing to take a risk in these early days. As adoption accelerates to include mainstream audiences, brands that perfected their pitch early on, are likely to lead the space.
Live Software Platforms
Live shopping can also happen on a brand’s website with software from brands like Bambuser, CommentSold and Firework. This approach takes more upfront work (and investment) while reaching a smaller audience than social platforms and marketplaces. The upside? Access to highly valuable first-party data and singular branded experiences.
Nordstrom is also one of the early live shopping leaders having launched over 50 live stream shows from its website featuring commerce and content from brand partners like Charlotte Tilbury, Vans and Valentino. During the shows, customers can shop at Nordstrom.com and participate in live chats.
This type of approach facilitates "discovery, personalization, and service at scale," according to the brand. While many are questioning the future role and relevance of department stores, live streaming may be one way for the category to leverage all the brand equity and trust that brands like Nordstrom have spent years building.
In our next and final article in this live shopping series, we'll explore emerging best practices for live content and where to look for inspiration. View the first article in the series here.
To learn more about live shopping watch the CNBC deep dive here, featuring our Founder, Quynh Mai.