Is Livestreaming Set to Become Amazoned?

Did you know that in China analysts expect the livestream video market will grow from $2 billion in 2015 to $15 billion in 2020? China’s livestreaming market is a step ahead of many other countries, including the U.S.

In the U.S., Instagram influencers and Youtube Stars are the norm. In China, livestream apps have created a new kind of celeb. Through livestreaming, viewers can peek into the daily lives of ordinary people, watching live makeup tutorials or something as common as eating a bowl of soup.  In 2016, Maybelline sold 10,000 lipsticks in 2 hours in China by utilizing a handful of popular live streaming influencers. The apps allow in-stream purchasing, allowing users to have an interactive experience of seeing a product used and being able to buy themselves said product in an instant.

YY is a video-based social app in China with 300 million users. It features a virtual currency that users can earn through activities such as karaoke or creating tutorial videos. The virtual currency is later converted to real cash for livestreamers.

At Lukas Partners, we keep an eye on upcoming trends in the U.S. and beyond to help our clients amplify their message through the latest and greatest means possible. Livestreaming has been a runaway hit for many organizations, helping them stand out in the crowd amongst all the noise on social media. It has brought more engagement for organizations than video, photos and texts on social media.

Facebook live video has no doubt changed social media, with other popular U.S. social media platforms following their lead. However, brands and organizations in the U.S. have not been allotted a way to utilize influencers on the social platforms with an ability to make a live video interactive where viewers can make a purchase, like livestreaming in China.

Amazon employs more than 40,000 people in its Seattle-based headquarters, topping the list as the largest private employer in the city. 

Enter, Amazon. Reports indicate Amazon may be seeking talent to staff one of its start-ups centered on incorporating videos and shopping. “Amazon Live” would leverage streaming video to create new shopping experiences for customers, according to a recent job posting.

Amazon already owns Twitch, a live video platform for gamers, and has recently rolled out a plan to utilize influencers on the livestreaming platform to increase Amazon retail revenue. According to Bloomberg, “The Gear on Amazon” feature will let Twitch streamers become partners and showcase their favorite products as a widget on their page. The partner showcasing the goods gets a commission from sales. Amazon also has an influencers program where it has been recruiting YouTube personalities to sell Amazon listed products.

Facebook does not have purchase button options during livestreaming, but the platform does allow verified nonprofits to add a donate button to livestreaming videos. This donate button was very popular during the Manchester One Love tribute concert following the tragic suicide bombing during an Ariana Grande concert at Britain’s Manchester Arena. Right now Facebook is focused on creating livestreaming channels, which could eventually lead to in-stream purchasing down the road.

In the meantime, while livestreaming may not be quite an immediate money generator for brands and organizations, it is still part of building a social audience and creating micro moments that ultimately impact brand recognition and reputation.

About the blogger:
LeAnne Morman is a senior account executive at Lukas Partners. As a former journalist, LeAnne has a great deal of experience with all types of media, including social and digital formats. She works with organizations on a regular basis to help them use digital and social media to their advantage.

To hear more from Lukas Partners, follow us on Twitter @LukasPartners or subscribe to our newsletter.

View All Posts