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Home >  international • Payments   Live commerce: one of the most recent e-commerce trends in Brazil

Home » Blog » Live commerce: one of the most recent e-commerce trends in Brazil

Live commerce: one of the most recent e-commerce trends in Brazil

28/04/2022

Find out what live commerce is, how it can boost your local or cross-border e-commerce business and what you need to close online sales accepting different payment types.

 

Live commerce: new e-commerce trands in Brazil

 

Since the start of the 2020, a few months after social distancing began, a Google* survey revealed a 450% increase in Brazilian user searching for live streaming. And it didn’t take long got a new form of online sales to reach this audience. Live commerce will be one of Brazil’s biggest e-commerce trends in the years ahead, with major retailers already achieving impressive results from each live sales broadcast.

 

Live online sales broadcast: this strategy can increase your e-commerce conversions.

 

An online sales meeting with live streaming fills a gap created during the transition from physical to online commerce: a salesperson interacting live with the customer. In live commerce situations, this role is often played by someone the target market already knows, like a digital influencer. The strategy consists of offering entertainment and content while also presenting products and their features.

 

The consumer is given an opportunity to ask questions and have a more realistic experience with the product compared with other online advertising formats. For instance, the ability to ask questions creates a closer relationship with the brand and engagement tends to grow organically. Clothing can be tried on, electronic devices can be demonstrated, food can be used in live cooking demonstrations… There is room and influencers for every niche.

 

Another way of encouraging conversations during a live transmission is to offer viewers exclusive benefits, like discounts or items only available to buy online. Mental triggers like scarcity and urgency are often used during live sales broadcasts to accelerate the decision-making process and encourage impulse buys and can be subtly inserted into the script.

 

Live Commerce China: the numbers indicate this trend’s potential

 

Live video commerce became a trend in China in 2017. In September this year, TMON – one of Asia’s largest e-commerce businesses – saw conversions rise 21%** during a broadcast on its own live commerce platform. In Brazil, conversions stand at around 1%.

 

Two years later, Alibaba reached US$ 2.9 billion** in sales during a live broadcast on Double Eleven. According to KPMG and Ali Research, in 2020 – when social distancing peaked – China had an average of 50,000 live broadcasts a day. Around 50 billion people watched and US$ 200 billion was spent.

 

Live Shopping success cases in Brazil

 

Major Brazilian retailers have been investing in live commerce to attract e-shoppers. Americanas Live, a project Americanas launched in 2020, already has partners and influencers presenting products on the marketplace platform belonging to B2W, which owns Americanas. Americanas has reported the items presented during broadcasts receive 10 times as many searches and conversions for them are up by a factor of 7.

 

The SOMA Group – which owns the Farm and Animale brands – has been investing in a scenario with the brand’s essence and has invited influencers and presenters to wear and talk about its clothes. Eight of the group’s nine brands are already selling via its proprietary live commerce platform that offers consumers a tab alongside the video where they can buy whatever they are watching – as well as a chatroom if they have any questions. The four first lives generated R$ 3 million in sales.

 

Cross-border online payment solutions will be critical to stay abreast with Brazilian e-commerce trends in the years ahead

 

Live commerce is just one new features on the Brazilian e-commerce landscape. Pix – which also launched in 2020 – has caused nothing short of a payment revolution and is an increasingly popular e-commerce platform checkout option. If you want to reach this audience, your website needs to be ready.

 

For example, the type of peak traffic that usually occurs during a live broadcast should not slowdown the purchase flow. Similarly, not offering various payment options and terms – like buy now pay later – may result in some shoppers abandoning their carts. To avoid this, invest in a robust payment API that accepts any currency.

 

Talk to our experts about Bexs Pay and find out more about the best cross-border payment APIs in Brazil.

 

*Google Data: New Behavior Due to Covid, GSC, 2020
** Sendbird
*** Contagious

 

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