This article will delve into the ten fundamental reasons why live video shopping should be implemented, and the benefits of it for businesses as well as consumers.
1. Increase conversion rates and average order value
In recent years, companies have had to rethink their entire strategy and enter a digitised route to meet their new and existing customers. Live video shopping emulates an in-person shopping experience by talking to experts, making decisions in confidence and offering a personalised shopping experience.
In our case study with Snug, live video shopping boosted conversion rates by 30x and average order value by 40%. Confer With’s vision is to deliver uniquely immersive experiences with in-person functionalities such as the shared virtual basket, and the alternatives feature to help brands achieve higher sales.
Combined, we are greatly above the industry standard for conversion rates via live video (10%).
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2. Decision making for the customer made easier
With so many options made available online, it’s not surprising that online shoppers struggle to make that final decision without an expert opinion.
Live video shopping creates a guided tour of products where the expert can talk through the options and tailor the journey to find the perfect match for them.
This works particularly well for considered purchases, where the experts can do visual demonstrations and go into detail over the product specifications.
It invites an entirely new online shopping experience and creates opportunities where customers can ask questions and have security in the products they are purchasing.
3. Remote and flexible working environments
The ability to work remotely is a fundamental benefit as it allows a wider demographic of people to apply for these job roles.
Confer With’s Future of Retail teams looked into how video has better-enabled people to excel in their jobs. From allowing more flexibility and work from home situations, to developing new skills including tech and building customer relationships, live video shopping gives both businesses and customers a greater outreach opportunity.
Retail was once synonymous with unsociable working hours that conflict with a lot of at-home commitments. However, live video allows students, families and international people to join a highly diverse workforce to better serve retail customers.
4. Changing a light touch inquiry into a sale
The persuasive skills of these experts allow room for thought in purchasing more products. Essentially, customers are coming online to explore different options and as a result of live video shopping being accessible to them, it offers dialogue to encourage people to purchase on the website.
The ability to shop whilst being in the comfort of your own home is extremely convenient, and perfect for people who don’t have these shops accessible to them or are always busy and on the go.
It’s about meeting your customers at touchpoints in the consideration phase and delivering the ultimate customer experience that keeps them from going to your competitors.
5. Tracking video calls gives you precious product insights
Brands using early-stage live video tools will be limited with data. Sales calls are not tracked, meaning executives are unable to identify new opportunities and areas for improvement.
Confer With provides bespoke reporting for the month, allowing brands to have greater insight into how individual experts are performing. The reporting includes conversion rates, average order value, number of minutes per user etc. As brands become more confident with live video selling, Confer With is at hand with experienced consultants to ensure each month improves.
6. Personal shopping experience
There is an opportunity to create a rapport and strong relationship between customers and experts as a result of live video shopping. One strength is that experts can capture in-depth customer relationships including preferences, needs, and past purchases to tailor products unique to them.
The importance of personalised shopping experiences is fundamental, with a positive customer service experience increasing customer satisfaction rates by 20%.
7. Brand awareness
Many live streaming events are promoted and hosted by influencers and celebrities to create buzz around products during seasonal periods or new releases. Over in the UK, QVC normally springs to mind when live-streaming is mentioned.
QVC holds its popularity among the older generations, but with technology barriers being broken down, is seeing mass popularity in hosting live streaming events across many sectors and challenger brands.
In China, live stream shopping is highly influential on the consumer base. Louis Vuitton 2022 Summer collection broke records in China, with over 130 million views worldwide.
8. Distance doesn’t matter
Physical locations restrict who can come into your store, whether they are limited by travel, distance or mobility. However, with one-to-one calls and live stream events, people can avoid those barriers and interact with your brand.
It creates a great sense of convenience and with people moving away from shopping in city centres, is a risk-free approach to meeting your once physical customers, online.
9. Video is becoming the norm for online communication
The biggest winner in the comms world is video. In the Vonage Global Customer Engagement Report, ¾ respondents video chat with friends and family. It echos the 91% of seniors switching to digital to stay in touch with loved ones.
There has also been a 300% growth in consumers choosing video chat as the number one channel for talking to businesses.
For well-established channels such as messaging and phone calls, they in fact fell below video – which has only really gained prominence since 2020.
As a whole, video communication has taken off and gained lots of popularity, being the main source of communication, with this graph marking the growth over the past two years.
10. Barriers to entry broken down thanks to technological advancements
One of the catalysts for live video shopping taking off came as a result of the pandemic. Since many businesses were forced to close, there was a niche in the market for live stream shopping to meet customers amidst lockdown restrictions.
Since restrictions eased, new consumer demand has been unlocked which has encouraged businesses to explore video solutions further.
Confer With’s technology focuses on “configured, not code”, meaning eCommerce brands can set up immersive video calls without the technological mountain to climb.
For those looking to integrate live video shopping in 2023, download the Confer With whitepaper to explore the opportunities it can bring to your customers.
