US live e-commerce market to reach $25 billion

It seems that all overseas platforms have joined the "live shopping" war this year .

Overseas, Walmart has cooperated with platforms such as Twitter and TikTok, Facebook and Instagram have successively launched live shopping activities, and retailers such as Macy's and Newegg have added live streaming functions to their apps. Live streaming shopping has become a trend.

"Compared to China, American brands seem to be still learning about this space," said a marketing executive at a shopping live streaming platform . "But we have seen more brands trying to enter this space in 2021. This is a very strong trend that will continue."

In some specific industries, this trend is even more obvious. For example, during this year's Black Friday, more and more luxury brands offered discounts through live broadcasts instead of in-store specials.

" Before the epidemic , luxury sales relied on interactions between store sales and customers , but now this approach is restricted," said a luxury consulting expert . " In a remote and virtual environment, whether it is introducing products or watching models try on clothes, live streaming is the closest way to this experience . "

Coresight Research, a research firm , predicts that the live-streaming shopping market in the U.S. will reach $11 billion this year and grow to about $25 billion by 2023. By comparison, the firm expects China’s live-streaming shopping market to reach $300 billion this year .

Currently, the driving force behind live shopping comes mainly from two aspects. One is that social platforms like TikTok, Instagram and Facebook are launching more features to make it easier for users to buy what they see while watching live broadcasts.

The other is retailer platforms, such as Macy's and Newegg, which are strengthening their live streaming technology with the support of many startups and technology companies that provide the infrastructure for live streaming .

According to data from streaming platform Livescale, the average sales conversion rate of live-streaming products has increased to 17.7% from 9.5% in the same period last year .

“While livestream shopping will grow significantly over the next year, it will still take several years for it to become truly popular, such as reaching 10% of offline shopping sales,” said Zach Weinberg , an e-commerce analyst . “Therefore, livestream shopping is still in its early stages of development.”

Live Shopping

E-commerce

USA