This story is part of an editorial research partnership with Attest.
Brands are increasingly investing in live commerce features, but it’s unclear whether shoppers are even looking for such programs.
New research from Modern Retail and consumer research platform Attest sheds light on how US shoppers view live video and social commerce platforms like Ntwrk, Whatnot and Instagram Live. The adoption of live commerce in North America is still low compared to Asia. A 2021 estimate predicted that the US market would reach $11 billion that year, while direct purchases were $171 billion in China in 2020.
Now, as e-commerce penetration begins to level off, the question remains whether the medium will truly become dominant in the United States. A recent survey gives some color to how shoppers think about platforms. Modern Retail and Attest surveyed 2,000 US consumers about their shopping habits and opinions regarding over-the-air shopping, and found that while many were aware of these programs, most were not enthusiastic about it. idea of using technology to make purchases.
For example, only about half of respondents said they made a purchase through a live streaming platform.
Even so, it seems that platforms have an impact on purchase decisions. According to the survey, 43% said live video or social shopping platforms inform their decisions at least sometimes. Meanwhile, 38% said platforms had no impact on their purchases and 19% said they didn’t know what those platforms are.
All of this data determines whether or not brands should invest in live shopping platforms. While some still choose not to, others are changing their strategies to understand how to respond to changing shopping habits. For example, lingerie brand Adore Me has tweaked the types of live shopping content it offers over the years, moving from highly produced programming on streaming platforms like Peacock to more streamlined concepts on apps like Instagram.
“Creating great media is hard enough, so we launched our live buying efforts knowing that combining media and commerce would be an even tougher challenge,” said Adore Me’s vice president of strategy. , Ranjan Roy, at Modern Retail.
Indeed, Modern Retail and Attest research indicates that production value and programming types are integral to success. For example, 39% of respondents said they wanted to broadcast live video and product-focused social shopping content. Meanwhile, 37% said they want high-quality video and visual content.
Of course, it’s a tricky tightrope to walk – as the example of Adore Me shows. While audiences say they want high-quality programming, it can’t be too pristine. “We’ve learned that overproduced shows don’t work for our audience — and a casual setting seems more relevant for our younger audiences,” Roy said.