Live Shopping Platform:
An Online Marketer’s Guide

Inbal Leitner


Livestream shopping

Live shopping platforms provide retailers, brands, and digital platforms with a new channel with a ton of potential for value creation since it combines entertainment with immediate purchases.

A new era in sales began in May 2016 with the launch of Alibaba’s Taobao Live. China’s largest retailer has invented a powerful new strategy: combining an internet live-stream broadcast with an online store so that shoppers can watch and shop simultaneously.

Live commerce immediately made a name for itself in sales efforts for Singles’ Day, a significant shopping occasion in China, and more generally, as a reliable digital tool for increasing client engagement and purchases. In 2020, Alibaba’s Singles’ Day pre-sales campaign on Taobao Live produced an astounding $7.5 billion transaction value in the first 30 minutes. Welcome to the e-commerce revolution’s next phase.

A live shopping platform mixes immediate product purchases with audience engagement via a host or response buttons. Live commerce has revolutionized the retail sector and become a significant sales channel. has taken the live stream shopping experience to the next level with a one-of-a-kind’ Shop with me’ experience, where the host takes the shoppers on a live journey on the brand’s site essentially creating a social-shopping experience bringing everyone to shop together at the same shopping event. It is smart screen sharing technology that allows shoppers to shop along with the host live and shoppers in the community can easily join a session with any device anywhere in the world.

The new channel is in its early stages in the west and has great potential to grow tremendously. However, it has tremendous long-term potential for both e-commerce platforms and companies. The live streaming market will increase substantially to reach USD 534.37 billion and at a compound yearly rate of 29.3% by 2030 in the US market according to Market Research Future (MRFR).

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How Do Live Shopping Platforms Create Value?

Having a live shopping platform largely benefits brands, retailers, and markets in two ways:

  1. Education, Product discovery and Influencers Power
    A live shopping platform is engaging and keeps people watching for longer. Additionally, it enlarges client choice paths from awareness to acquisition. One-time discounts and other time-limited strategies can be used to create a sense of urgency. Conversion rates are reportedly close to 30%, up to 10x greater than in traditional e-commerce.
  2. Reach New Customers and Audiences
    Live commerce, when done successfully, boosts a brand’s attractiveness and individuality and drives more online visitors. A live shopping platform can improve positioning with current clients and draw in new ones, particularly millennials and GenZ drawn to cutting-edge retail experiences and seeking in-store experience while shopping with the power of an influencer. GenZ and Millenials highly rely on online shopping and livestream platforms which increase trust and confidence in the brand alongside the involvement of their favorite influencers.

A Rapidly Growing Channel

In less than five years, live commerce in China has developed into a cutting-edge sales channel with an estimated 10% penetration. Between 2017 and 2020, the live-commerce business in China increased at a compound annual growth rate (CAGR) of more than 280 percent, reaching an estimated $171 billion in 2020. The COVID-19 epidemic has accelerated this increase, and by 2022, Chinese sales are predicted to exceed $423 billion

The product categories most frequently displayed on websites are clothing and fashion, with 36% followed by food and beauty goods, each with about 7%. About 5% goes to consumer electronics, while roughly 4% goes to furniture and home décor.

Millennials and Generation Z are the largest demographic groups to engage in livestream shopping, while live commerce is beginning to draw middle-aged and senior consumers. Nearly 30% of Chinese Internet users, or 265 million people, were using live commerce by March 2020. With a market share of 35%, Taobao is still the largest player in the world.

The livestream trend is growing and taking over the future markets as a powerful marketing tool. 63% between the ages of 18-34 watch livestream content on a daily basis and the West is likely to adapt to this trend where business will depend on livestream platforms and spend more than $100 billion for video content by 2023.

Merchants, and marketplaces are setting up their own live-commerce projects and events to advertise their products, particularly in the beauty and fashion industries, following China’s example. One of the first users was the German cosmetics store Douglas, which broadcasts several presentations each week in various forms, from discussions with influencers to workshops with specialists, and claims conversion rates of up to 40%.

The Bottom Line

Including a live shopping platform for your e-commerce marketing strategy is probably one of the best ideas you can have, as this new sales channel is revolutionizing the retail world and will soon become indispensable for all businesses.

Inbal Leitner
Marketing Manager at buywith

Inbal Leitner, is the Marketing Manager at buywith, a leading live shopping platform and creator marketplace. With a rich background spanning over 10 years experience in B2B2C marketing and retail, Inbal is a dedicated marketing professional who expertly blends her passion and expertise. As a livestream shopping expert, she leverages her profound knowledge to craft innovative marketing strategies, ensuring compelling and fostering engaging shopping experiences for users.


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