The rise of live stream commerce in China
Commercial live streaming is booming in China, with three players dominating the market
Live stream commerce is one of the latest trends in an ever more diverse digital commerce world. The new digital shopping trend – which is currently experiencing a major boost in China – combines the live broadcasting of product presentations on streaming platforms with eCommerce functions. It reminds a bit of the long-gone home shopping era, but with the crucial difference that consumers can make instant live purchases and interact with presenters. Consequently, live stream commerce has advantages for both sides: Brands and vendors can extend their reach and increase credibility and consumers profit from more detailed information on the products and direct engagement. The effects are stunning: Live stream commerce providers in China report incredibly high conversion rates of 65% (compared to 0.4% in traditional eCommerce), and the market is estimated to have reached CNY961 billion or a share of 10% of the overall Chinese eCommerce market in 2020. Following the trend, more and more Chinese eCommerce and social media platforms are introducing live streaming functions. These are the main competitors:
Note: The top 3 live stream commerce players are out of scope in the ecommerceDB online store database, which covers B2C online stores that generate first-party net sales. Online marketplaces and social media platforms are not included.
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