As fashion shows go, the one that took place on Facebook Live in April 2021 was unique. The first model to strut down the catwalk was Cindy, a seven-month-old puppy wearing a green and blue canine flotation device. Next up was Mandalay, a tan dog wearing a fleece hoodie with built-in backpack. The omnichannel team at Petco, headed by chief marketing officer Katie Nauman, organized the livestream event, which highlighted canine outfits from two of its house brands. Each item modeled was featured prominently at the bottom of the screen. “If you see something you like, you can just click it and immediately make your purchase,” the host explained. “Get your wallets ready!”
Selling on TikTok and Taobao
The growing power of online video platforms
From the Magazine (September–October 2022)
· Long read
Summary.
In China, livestream commerce—selling products via live video on platforms such as Taobao and TikTok—will account for as much as 20% to 25% of online sales in 2023. In the United States, it accounted for $11 billion in sales in 2021, and growth is increasing dramatically. It’s no wonder brands as diverse as Nordstrom, Petco, and Walmart are embracing the format.
This article explains why consumers are so drawn to livestream commerce and what’s motivating companies to use it. No single company has yet cracked the code for livestream-channel success, but the author lays out lessons from early successes, including which type of platform to choose, how to select influencers, and how to measure your efforts.
A version of this article appeared in the September–October 2022 issue of Harvard Business Review.
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