Live Commerce in APAC that will 10x Your Business Growth
BUSINESS TIPS
River Chan
7/12/20234 min read
Live Commerce is the New Business Growth in Asia
Live commerce, also known as live-streaming e-commerce or live shopping, is a digital shopping format that combines the interactivity of live video streaming with the convenience of online shopping.
It is a rapidly growing trend in the e-commerce industry, particularly in the Asia-Pacific region.
In a live commerce session, a host or influencer showcases products in real time on an e-commerce platform or social media channel.
They demonstrate the use of the product, share their personal experiences, and answer viewer questions on the spot.
This interactive format allows consumers to gain a deeper understanding of the product and make informed purchasing decisions.
One of the key features of live commerce is the ability for viewers to make purchases directly from the live stream.
Products showcased during the session can be added to a shopping cart and purchased instantly, creating a seamless shopping experience that integrates entertainment, social interaction, and e-commerce.
The Phenomenon of Live Commerce in Asia
The Asia-Pacific (APAC) region is witnessing a significant shift in its e-commerce landscape with the rise of live commerce.
This new form of e-commerce, which originated in China, is rapidly gaining traction across the region, transforming the way consumers shop and businesses sell.
Live Commerce Market Size in China and Southeast Asia
China's live shopping industry reached over $500 billion in 2023 and is expected to be over $800 billion in 2026 and 77% of online shoppers in China have purchased products using live commerce.
This trend is not just confined to China; nearly five in 10 people in Southeast Asia watch a live shopping stream each week, indicating the widespread popularity of this new shopping format.
A Game Changer in Live Commerce app from Japan Rakuten DRAGON
In the rapidly evolving landscape of live commerce, companies are constantly innovating to stay ahead of the curve.
One such innovation comes from Rakuten, a global leader in internet services.
Rakuten has introduced a new live commerce app called Rakuten DRAGON, which is set to revolutionize the live commerce industry.
Rakuten DRAGON is not just a platform for live commerce; it's a comprehensive solution that offers support functions ranging from streaming to data analysis.
The app provides unique data related to live commerce, such as viewer reactions to specific spoken keywords and the type of information that prompts them to make a purchase.
This data can be leveraged to enhance marketing effectiveness, making Rakuten DRAGON a powerful tool for businesses engaged in live commerce.
The Future of Live Commerce for Doing Business in Asia
Despite the pandemic-induced surge in live commerce, it appears that this trend is here to stay.
Shenzhen, China's southern tech hub, has laid out plans to become a global live-streaming e-commerce hub by 2025.
As the industry expands, innovations such as virtual try-ons using AR or VR and AI-powered personalized recommendations are being introduced to enhance the shopping experience.
In conclusion, the rise of live commerce in Asia signifies a new era of e-commerce,
one that is more interactive, engaging, and personalized.
As this trend continues to evolve, it will be interesting to see how businesses adapt to this.
With over 50 years of experience combined with our team at ToAsia.biz, we are ready to provide business consultation services to lead your business into the Asia Pacific region - profitably.
Talk to us now and see how our playbook is different from other business consultants out there where our focus is to help you expand at the right pace, staying lean and profitable.
Live Commerce TikTok
TikTok Live Shopping is essentially a live stream where brands or creators showcase products for purchase.
This format allows for real-time interaction, where viewers can ask questions and get immediate feedback.
The integration of e-commerce features within the app streamlines the shopping experience, enabling viewers to make purchases without leaving the platform.
This seamless transition from discovery to conversion is a key advantage of Live Commerce Tiktok is rapidly gaining traction across the region, transforming the way consumers shop and businesses sell.
Live Commerce Example: Jesse's Teahouse
Jesse’s Teahouse serves as an excellent example of how TikTok can be utilized for effective live commerce.
With over 510,000 followers, Jesse’s Teahouse specializes in sharing tea-tasting experiences from around the world and recently focused on Taiwan.
The unique approach of showcasing hidden tea-tasting spots and local tea houses, combined with the sale of sampler and combo boxes of tea, has led to significant sales success.
River Chan is marketing director of ToAsia.biz with over 10 years experience in marketing from strategic planning, project execution and data analysis across different industries.