Live commerce
Live commerce combines instant purchasing of a featured product and audience participation through a chat function or reaction buttons. In China, live commerce has transformed the retail industry and established itself as a major sales channel in less than five years. In a 2020 survey, two-thirds of Chinese consumers said they had bought products via livestream in the past year.2 While retailers overall in the West are still behind China in the pursuit of live commerce, early movers are also starting to rack up significant sales.
How exactly this new channel will develop remains to be seen. What is clear is that it holds enormous long-term potential for brands and e-commerce platforms alike. If China’s experience is any guide, our analysis indicates that live-commerce-initiated sales could account for as much as 10 to 20 percent of all e-commerce by 2026.
Further reading: https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/its-showtime-how-live-commerce-is-transforming-the-shopping-experience?cid=other-eml-alt-mip-mck&hdpid=61ec0c1c-dd1d-42ac-adba-e1e6ecd4e692&hctky=11705927&hlkid=075cf86a02a5481baa1b40cf533978cd