January 13, 2023 | GK AIR Personalization
9 min read

Live Shopping & Personalization - Successful Symbiosis for an Inspiring Shopping Experience

Retailers today are constantly finding new ways to inspire customers and stand out from the competition. For example, many retailers are currently using live shopping formats to present their products online to interested viewers. In this article, you will learn more about live shopping and how personalization helps to promote this sales format to the right shoppers.  

Video and live shopping - how does it work?

During a live shopping presentation, the host will showcase various products, highlighting the features and benefits for consumers in an entertaining way. Viewers then have the opportunity to purchase the presented products during the live video. Unlike TV shopping, which takes places on TV channels like 1-2-3.tv or HSE, livestream shopping takes place via the company's own online store, social networks or marketplaces.

Why rely on livestream shopping?

The effort, preparation and implementation of livestream shopping events should not be underestimated, but the growing audience numbers and measurable successes make this comparatively young format increasingly attractive for retailers.

Livestream shopping brings the following benefits to retailers and consumers:

  • Closer customer contact during online shopping journeys
  • More opportunities for brands to present themselves in a personal and authentic way
  • Access to a sales consultation and decision-making aids for people who, for a variety of reasons, cannot shop in a local store
  • Direct connections to social media platforms that allow viewers to engage directly with retailers during live shopping and ask questions about the product
  • A more unique online shopping experience complete with product experiences and entertainment

Livestream shopping in practice

Livestream shopping has been part of the online shopping experience in China for some time. The consulting firm McKinsey1 estimates that sales resulting from this format in the Middle Kingdom will reach $423 billion in 2022. According to Statista2, by 2025, 46.5 percent of all online shoppers in China will take a closer look at a product via a livestream shopping event and then buy it directly afterwards. The coronavirus pandemic also led livestream shopping events to pick up steam. In this country, more and more retailers are starting to use this marketing channel for their business, such as the health & beauty chain Douglas. In 2021, more than 1.2 million viewers watched the perfumery chain's live shopping shows. OTTO, Lidl, Tchibo and MyToys have also integrated livestream shopping events into their e-commerce businesses.

How can personalization improve the live shopping format?

A personalized customer journey has been proven to lead to higher revenues and stronger customer loyalty. Retailers use personalization in various ways within different distribution channels to make the shopping experience personalized and relevant -- in the store and online. Personalization can also be used effectively in live shopping to provide viewers with relevant content:

  • Play out videos and live shows in a personalized way

Personalization software calculates the appropriate content for each store visitor based on their click and purchase behavior. This way, the potential viewer receives suggestions for relevant video content or the appropriate upcoming live event. For example, if a customer’s current and past behavior indicates that they prefer clothing from a particular brand, the appropriate live shopping event or video content will be suggested to them. This greatly increases the customer’s time spent in the store and the likelihood of a purchase.

  • Product recommendations within the livestream events

In the livestream, the focus is on the presenter with the product. But the streaming event is also ideal for placing product recommendations at the appropriate touchpoint. Here, a personalization solution can create completely different types of recommendations depending on the retailer’s products, the livestream’s theme and the customer’s interests.

This could be a recommendation for a piece of jewelry with a similar look, or an item of clothing that complements the outfit presented. This added recommendation creates a unique incentive to buy. In addition, product bundles or product packages can incentive increased basket sizes during livestreams. For example, a featured perfume may be combined with a matching body lotion as a special offer.

Individual purchase recommendations within the livestream event, which are based on click and behavior data of the shopper and match the presented product category, also inspire viewers. For example, dresses that the shopper previously viewed might be highlighted to intrigue a viewer.

Another deployment option is an automated campaign newsletter sent to attendees following the livestream event. In this scenario, each viewer receives a newsletter containing individual product recommendations, based on click behavior during and before the livestream event.

  • Live shopping in the store based on current demand

The boundaries between the online and offline worlds are becoming increasingly blurred. For example, retailers can also stage the live shopping experience as an in-store event that is simultaneously shown as a livestream in the online store or on social networks. This way, both distribution channels benefit. In the store, this product presentation attracts the attention of customers, and the online store customers can watch the live event from the comfort of their own home. Incidentally, the products presented can be selected based on product categories that are currently in high demand in the store. If, for example, there is increased demand for barbecue products in the summer months, the presentation of these products in the store can be extra worthwhile.

Would you like to learn more about how to personalize unique shopping experiences like live shopping events? Get in touch with us!



1) How live commerce is transforming the shopping experience, McKinsey 2021

2) Prognose zum Anteil der Käufer über Livestream-Shopping-Formate in China bis 2025, statista 2021