Live commerce, as the name implies, enables viewers to make purchases while watching live videos without having to exit the stream, and is commonly found on social platforms like TikTok and e-commerce sites such as Shopee.
This innovative shopping method is witnessing exponential growth worldwide, with e-commerce giants embracing live commerce as a prominent feature.
According to a 2021 McKinsey report, livestream shopping generates conversion rates of 30%, up to 10 times higher than conventional e-commerce.
A report by Coresight Research also shows that global live commerce sales are expected to reach US$60 billion by 2019. This highlights the growing importance of live streaming in the e-commerce industry.
In the region, while China has a longstanding history in live commerce, Southeast Asia has emerged as a thriving hub for live commerce in recent years, with over 20% of all e-commerce sales attributed to live commerce transactions in some markets.
Vietnam stands out as a leader in this arena, with platforms like TikTok and Shopee vying for supremacy in the live commerce landscape while attracting more local players to the fold.
The latest report released by Stickler and Veena Med affirms that live commerce has experienced significant growth in Southeast Asia in the last few years, and Vietnam is no exception, showing huge growth and an increasingly large share of all e-commerce.
Live commerce technology leader Stickler uses its LiveScope platform to track and analyse livestreams, helping sellers understand successful strategies and performance metrics.
LiveScope recently tracked 55 top Vietnamese live commerce TikTok accounts on Double Day 9/9, which was on September 9, 2024. Altogether, 115 live streams were monitored, with over 540 live hours analysed by the AI-powered solution.
Noteworthy findings from the study included the dominance of TikTokShop retailers in the top live commerce streams in Vietnam, with the most-viewed broadcast attracting 1.8 million unique viewers and generating millions in revenue.
The three longest live streams lasted for over 10 hours and still managed to deliver amazing fan engagement.
Many of the 55 accounts tracked have multiple live streams during the day, some running nine streams throughout the day.
The focus of the analysis was in the cosmetics space, but a range of industries were represented including clothing and accessories, baby and toddler products and personal cleansing.
“Vietnam is one of the most exciting global live commerce markets with massive growth in population, discerning young consumers and a tech savvy culture. We have seen live commerce skyrocket in countries like China, Indonesia, and Thailand, and we are seeing the same, probably faster adoption in Vietnam. On a per-population basis, Vietnam's numbers are among of the top,” said Fionn Hyndman, CEO of Stickler.
Recognising the immense potential of live streaming, many companies and brands have partnered with affiliates to organise live streams, yielding outstanding results.
Experts revealed that what excites brands, retailers and resellers is that live commerce is the fastest growing sales channel.
The founder of Cookie, a brand specialising in baby clothing, Le Thu Huong, shared with Vietnam News that her company has been utilising livestreams for the past four months. During this period, live streaming has significantly boosted her company's revenue by tenfold.
In the latest report by TikTok, many companies and brands have enjoyed results that exceeded expectations through live streams.
For instance, thanks to supporting solutions offered by TikTok, KIDO Group boosted its revenue by 72% in the third quarter. The company regularly holds nearly 100 live streams per month.
L’Oreal is another example. The company has joined TikTok Shop from the start with many live streams. In its mega sale programme at the end of April, the company achieved a 152% revenue surge.
A Vietnamese brand, Bong Bach Tuyet Corporation, organised over 4,000 live streams during the mega sale campaign, which ran from September 1 to 9. Revenue from livestreams contributed 50% of the company’s total revenue during that time.
