Intan Rakhmayanti Dewi, CNBC Indonesia
Tech
Thursday, 20/07/2023 18:49 WIB
Photo: The new phenomenon of Tanah Abang Market traders doing live streaming to sell their wares. (CNBC Indonesia/Martyasari Rizky)
Jakarta, CNBC Indonesia – Selling by holding live streams has taken root on Chinese social media. However, there has been a shift in trend, namely hosts that usually come from influencers are starting to be left behind.
Many of these companies choose to use regular employees or virtual host characters to appear promoting their products during live events.
Usually, influencers will display discounted products for their fans. However, nowadays more and more people are questioning the usefulness of selling products that are already busy or hype.
In addition, using influencers to sell products actually makes income decrease sharply. Not to mention the fees to be paid can be very expensive.
Citing reports Nikkei Asia, some sources say that the fees paid to pay influencers have almost drained the company’s revenue.
Some businesses have made the decision to produce their own live streams using employees. This is a sign that the live selling landscape is ready to shift.
Live Not for Sale
Another big change from the status quo is not using live sales events to take orders via links in videos.
Apple recently made waves when it announced it would be holding a live streaming event on China’s online marketplace Tmall during the country’s annual “618” shopping festival.
Apple isn’t the only company that holds live streaming without selling products. Argentine professional footballer Lionel Messi stars in a stream that appears on Kuaishou and on Alibaba’s Taobao e-marketplace during the week of the 618 shopping festival.
For your information, “618” stands for June 18, the founding date of e-commerce operator JD.com in 1998.
Although Taobao Messi’s live broadcast displays advertisements, there is no opportunity for consumers to click and buy any product. This shows that the main goal of streaming is simply to attract consumers to visit the Taobao application.
Another sign of the shift in live commerce trends comes from the technology itself.
During the finale of the 618 shopping event, the online shopping app JD.com features computer-generated female characters live-streaming fresh produce, such as cherries and peaches.
A message appears during the stream explaining the product that the viewer has added to their virtual shopping cart.
The character is one of more than 100 virtual hosts made available to merchants by JD.com’s cloud department during the 618 sale.
Live events using characters are nothing new. But the new way is designed to be more like a real person.
According to JD.com, total revenue involving virtual hosts was up nearly 400% during the most recent sale compared to the previous live in November.
However, one sales channel remains active around the clock using a combination of virtual and human hosts.
Views for live streams Taobao and Tmall increased 43% during the 618 sale. With Chinese shoppers said to be growing increasingly pragmatic, the e-commerce platform is expected to continue exploring new opportunities in live commerce.
Viewership sold via live streaming surpassed 750 million viewers in December. According to research firm China Wind. this represents 70% of Chinese internet users.
Live marketplaces on ecommerce or other platforms will generate more than 1.2 trillion yuan by 2021, according to iResearch. The Chinese consultancy predicts this market will grow 1.8 times by 2025.
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2023-07-20 11:49:00
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