The Rise of Live Shopping on TikTok: A New Form of Entertainment and Retail Therapy
If you’ve been on TikTok recently, you’ve probably noticed that it’s no longer just viral dances and story-time videos dominating your For You Page. Live shopping has taken the platform by storm, with influencers and brands directly selling products to their audience in real-time streams. This seemingly retro sales technique, reminiscent of ’90s shopping channels like QVC, has found a new home on TikTok.
In China alone, over $500 billion worth of goods were sold via livestream on apps in 2023, according to the New York Times. Now, businesses in the UK and the US are jumping on this trend, leveraging TikTok Shop, the video-sharing app’s ecommerce leg, to sell their products. Research shows that 44 percent of social media users have made a purchase directly through TikTok, highlighting the popularity of live shopping.
Some businesses have seen tremendous success through live shopping on TikTok. Made By Mitchell, a makeup brand, made $1 million in a single day through a 12-hour livestream that attracted almost 600,000 viewers. The growth of these businesses is largely attributed to their presence on TikTok, where they can engage directly with their audience and make sales in real-time. The appeal of live shopping lies in the novelty of bargaining and the sense of community it creates.
Live shopping events on TikTok Shop foster a strong sense of community among viewers. This community aspect is evident in in-person events hosted by TikTok and brands like Luxe Collective, where attendees who have only known each other through the comments section of live shopping events meet and bond over their shared interests. Live shopping platforms like TikTok Shop and Whatnot provide spaces for enthusiasts with varied interests, catering to different niches.
The success of live shopping can be attributed to its unique blend of ecommerce and in-person shopping elements. In an era where high street shopping is declining, and online shopping lacks the personal touch, live shopping offers a middle ground. It allows buyers to interact with sellers and other buyers, creating a more engaging and entertaining shopping experience. Live shopping also provides a sense of validation and celebration, as viewers can share their excitement with hundreds of like-minded individuals during the stream.
Sales hosts on live shopping platforms are not just salespeople, but performers. These streams are not just shopping experiences, but forms of entertainment. Users spend an average of 80 minutes a day watching live streams on platforms like Whatnot, comparable to the time spent on Netflix. This indicates that live shopping has become a popular alternative form of entertainment, attracting users who seek more interactive and engaging content.
As live shopping continues to gain popularity, it raises questions about its impact on consumer behavior and the future of retail. With the rise of influencers who specialize in live streaming and selling, it’s clear that this trend is here to stay. While some may view live shopping as nostalgic, reminiscent of teleshopping, others may see it as dystopian. Regardless, platforms like TikTok Shop and Whatnot are set to grow exponentially, providing users with a unique blend of entertainment and retail therapy.
So, don’t be surprised if you find yourself immersed in the comments section of a livestream, haggling over the price of a toaster, just for the thrill of it. Live shopping has transformed the way we shop and entertain ourselves, and it’s only going to become more prevalent in the future.
