1. One of the key reasons behind the success of live shopping in China is the unique shopping experience it offers. Consumers can watch live broadcasts of sellers showcasing products and demonstrating their features. They can also interact with the sellers through live chat, ask questions, and get immediate responses. This interactive nature of live shopping creates a sense of trust and authenticity, which enhances the overall shopping experience.
2. Another factor contributing to the popularity of live shopping in China is the influence of key opinion leaders (KOLs) or influencers. These influencers have a large following on social media platforms and often collaborate with brands to promote their products during live shopping sessions. The credibility and influence of these KOLs play a significant role in driving sales and generating buzz around certain products.
3. It leverages consumers’ “bargain-hunting” mentality, as live streamers often employ various strategies to create a tense atmosphere where everyone is vying for a product, while offering gifts or deals to make hesitant consumers feel like they have a good opportunity to seize.
4.To capitalize on consumers’ herd mentality: users who are unfamiliar with the product tend to rely on the evaluations of others; the interaction between fellow viewers and the host of the live show, or the recording of the order, can make consumers more confident in their purchase.
To give a real perspective of how well live streaming rooms on E-commerce in China are going, here are some numbers from last year.
Regarding product categories, the highest increase in Gross Merchandise Volume (GMV) was recorded in the clothing and footwear category (268%). Home appliances and fresh products also experienced respective growth of 245% and 70%. The performance of GMV in the cosmetics sector was remarkable as well, with a cosmetics GMV of 4.977 billion yuan in just one livestream session by popular host Li Jiaqi, marking a 21.4% increase compared to the previous year.
How can foreign brands succeed on the Chinese market thanks to live shopping?
For foreign brands, the most challenging first step to penetrate the Chinese market is gaining awareness and reputation. Live shopping provides an ideal showcase to dynamically present the brand, products, and services, thereby instilling consumer trust.
To enter the Chinese market via live shopping, there are generally two approaches. The first is to create your own online store with dedicated live shopping sessions for the brand. The second is to collaborate with popular live shopping platforms or renowned influencers. These two approaches can be combined simultaneously.
For more information, please feel free to contact WKI China.
