Live streaming has enjoyed the post-lockdown congratulatory phase where the industry relished in the glow of public approval for the way it has steered itself through the pandemic without missing a beat (almost). However, if this was in any way deserved, then we should also assume responsibility for a less sweet side effect.
Live streaming has now gained hold though the pandemic, as people confined to their homes for weeks on end – trying to deal with the boredom – found a whole new medium offering the illusion of meaningful interaction with someone/something other than the four walls of their living room. Initially, it may not sound too bad, and truthfully, it isn’t. There are educational streams which are very informative and useful.
However, one of the consequences of this new and up-to-date technological diversion has been to promote something known as ‘revenge shopping’ – a rather meaningless name such as that of ‘Black Friday’, which caught on a few years ago. It is an attempt, by the commercial powers in charge, to stir audiences into a buying frenzy.
According to the International Data Corporation, which took early notice of the phenomenon, e-commerce livestreaming is now being used to reconstruct consumer confidence. The concept is to use the medium to motivate the customer to return (excitably) to shopping, to make-up for all the lost retail therapy time they could have experienced during the lockdown.
The IDC says Chinese online players JD.com and KuaiShou have signed an agreement to cooperate on the “618” shopping holiday as a starting point for a strategic partnership.
“JD.com has positioned itself in the e–commerce livestreaming field, while Taobao Live has also released many kinds of “618” livestreaming promotion methods and brought together a number of leading channels and influencers. The 618 ecommerce livestreaming has become an industrywide event, and everyone is looking forward to some revenge shopping”, IDC affirms.
IDC research shows that more than 23% of consumers are affected by KOL’s livestreaming marketing, not by their self-driven demand for products, which leads to unplanned consumption. “This ratio is even higher among those under the age of 30,” says the IDC.
“e-commerce livestreaming shortens the distance between business and customers, while extending sales communication time, making full use of users’ fragmented leisure time, and combining the host’s roles of advertising, sales, and channel as well as other roles, greatly improving sales efficiency,” affirms the IDC.