According to Nielsen Online Shopping Report, 47% of consumers go to the store to check the items before shopping online, and the demand for intuitive “view items” still exists. And 70% of consumers are influenced by social media, changing their decision to shop online. Combined with the need to “view goods” and the influence of online celebrities on social media, the live stream of online celebrities started in 2016 and is growing rapidly in 2018.
Whether it’s a business or an online celebrity or a star, they’re responsible for visually and dynamically presenting products and telling about the experience, making consumers feel like shopping online.
According to 2019 Nielsen Social E-Commerce In-depth Research Consumer Research data show that 82% of online shopping users have unplanned consumer behavior, of which 61% of users of unplanned shopping from around the friend recommended, followed by the friend circle product link, through social fission to generate unplanned purchases.
The trust endorsement of “Friends Around Recommended” is the same as that of online celebrities (or “old irons”) on short video platforms such as the bottom-up fast hand.
Internet celebrities gather appMAU (van) trend
Compared with the earlier years from the Weibo sent pictures and text of the network celebrities, in 2017 in the short video strong expansion of many network celebrities out of the faster, the spread of the scope has become more wide, Taobao live broadcast and has a strong flow back-feeding effect.
In 2018, Taobao live-streamed with a cargo scale of more than 100 billion, with a year-on-year growth rate of 350%. In addition to having the traffic advantage of hatching network celebrities, the performance of the flow scale of the sound and fast hand is also good.
In April 2018, fast-hand small range test “my small shop”, in June with Zan cooperation to launch a “short video e-commerce guide”, and the addition of “fast hand small shop”, while the introduction of “Magic Chopstick TV” small program, guide users to jump to complete the purchase.
In May 2018, the store entrance was launched.
2019 is arguably the year of live-streaming. In 2019, Taobao Live “618” sold 13 billion yuan as of 15:30.
According to QuestMobile’s 2019 Double 11 Insights Report, the number of live users on the Taobao app was 41.33 million, up 130.5 percent year-on-year. The double 11 Taobao live stream deal size is 20 billion yuan, of which there are more than 1 billion live rooms, more than 100 million live rooms.
According to Taobao Live 2019 Taobao Live Eco Development Trends Report, Taobao Live in 2018 has a conversion rate of more than 65%, and core users (visiting Taobao Live for more than 3 days a week) stay for nearly an hour a day.
Live-streamed goods all links combing
Web celebrity live stream is a win-win mode for the Quartet
Network celebrity live-streaming is a win-win model, with efficiency and long-term, its characteristics are cost-effective and “explosion volume.”
Unlike the general understanding, live e-commerce is more complex than pure traffic business, the goods combination is the core competitiveness of the main stay, even if it is a hundred thousand fans of small anchors, every day also need to spend a lot of energy on the goods mix, who provide more comprehensive goods, more able to meet the needs of fans, in order to retain fans.
Comparison analysis of online celebrity live shipping mode and other shopping methods
From the analysis of Guojin Securities Research Institute, the network celebrity live-streaming is a win-win model, with efficiency and long-term, its characteristics are cost-effective and “explosion”, mainly in the following three aspects:
1, for the e-commerce platform, the network celebrity live stream with goods did not consume fans, but through low prices and concessions to enhance their own flow capacity, which further determines the strong and strong ecological structure.
2, network celebrity live goods compared to the evaluation site, with more interactive and visual (but for electronics and other standardized, low commission rate categories, network celebrity with goods did not evaluate the community efficient, low-cost).
3, for merchants, low prices not only in exchange for sales, but also in exchange for the search weight of new products, saving a considerable marketing expenditure.
Distribution of benefits for e-commerce (take Taobao Alliance as an example)
Web celebrity live-streaming tape is a dilemma
Although in the analysis of Guojin Securities Research Institute, the network celebrity live tape is a win-win model, but retail capital analysts also from the dimension of the network celebrity further research found that compared with the head of the net celebrity, waist and tail network celebrities in the “Matthew effect” struggle: a few hits, Unstable revenues, picks by brands, emerging competitors, and so on, the industry is under enormous pressure to survive.
Resources are siphoned by head network celebrities, the long tail effect in the e-commerce network celebrity circle does not apply.
The Matthew effect of online celebrities is likely to lead to an imbalance in the head and tail of the entire live-streaming e-commerce ecosystem.
In terms of sales and revenue, the live network celebrity circle presents a clear inverted pyramid structure, the head of the network celebrity creation value occupies a large head;
But in terms of numbers, the online celebrity circle presents a positive pyramid structure, with the number of head network celebrities rarely occupying the tip, most of them at the bottom of the tail network celebrity.
Through the current data, the income of online celebrities also conforms to the 28th law, and even shows the extreme differentiation trend of “1/9” and “0.5/9.5”.
When commercial resources to a small number of top network celebrities too tilted, to a certain point, it must mean that the competition track narrow, business and live network celebrities two-way choice will become more limited, and ultimately constrain the development of the entire live-streaming e-commerce industry.
Ali’s fiscal 2019 report shows that its Retail Platform merchandise transactions in China are about 5.73 trillion yuan, while Taobao’s live-streaming platform has reached 100 billion yuan after two years of leapfrogging development. It accounts for only 1.75 per cent of Ali’s merchandise transactions, and the volume is still small.
Taobao Live also lacks a source of traffic, especially compared to short video content platforms such as Sound and Fast Hand, which currently live on Taobao live no more than 20 million live per day (no more than 10 million in 2018), which limits its ability to commercialize and direct deals.
Second, head network celebrities difficult to hatch in bulk, MCN institutions’ weak situation also let the network celebrity live goods cast a high growth shadow.
Head network celebrity’s carry goods strength is enviable, the major platforms have invested heavily to build the network celebrity cultivation program.
For example, JD.com last year launched the “Jingxing Plan” for talented fashionistas, implementing a 1:1 high commission double subsidy policy;
Taobao launched in March this year, “village broadcast” program in the country’s 100 counties to cultivate 1,000 farmers, with the host of goods to help sell agricultural products.
The booming internet celebrities have sprung up, standing at the top of the list. Has been listed in the United States, “the first share of the network celebrity e-commerce” such as Han, its sitting more than a hundred network celebrities, at present, only Zhang Dazhao such a home.
E-commerce company’s annual sales list (by GMV)
Finally, for the network celebrity live chaos, the supervision of national laws and regulations as scheduled, January 1, the State Administration of Radio and Television issued the General Office of the State Administration of Radio and Television on the “double 11” period of the network audio-visual e-commerce live program and advertising program management notice.
Content requirements, network audio-visual e-commerce live programs and advertising program content not only to comply with advertising management laws and regulations, but also in line with the network audio-visual program management regulations.
Yang Hongcan, director of the Law Enforcement Inspection Bureau of the State Administration of Market Supervision and Administration, said that the regulatory authorities pay great attention to the online celebrity food information, will crack down on the use of the Network, e-commerce platform, social media, television shopping columns and other channels to implement the network celebrity food safety violations, “brush ingres”, “fake comments” and other illegal acts will be investigated and punished.
In June this year, the State Administration of Market Supervision and other eight departments jointly issued a notice, decided to june to November 2019 to jointly carry out the 2019 network market supervision special action (Net Sword Action), to crack down on the online sale of counterfeit and inferior products, unsafe food and counterfeit drugs, and strict supervision of overseas purchasing behavior.
In October this year, the Supreme People’s Procuratorate, the State Administration of Market Supervision and the State Drug Administration jointly announced that from September 2019 to December 2020, the country will jointly carry out the implementation of the “four strictest” requirements for food and drug safety special action, and issued a special action work programme to carry out a heavy-handed attack on illegal actions of online celebrities.
The People’s Daily and other official media also commented on the network celebrity products and online celebrity goods appear in the chaos. Clearly, in the event of explosive growth, “network celebrity goods” is facing a high-pressure regulatory situation after the chaos.
After the market supervision part released the information that will strictly investigate the illegal activities of online celebrities, Mushroom Street, Taobao Live, Fast Hand and other platforms have said that they will cooperate with the regulatory authorities to rectify such disorders, and improve the relevant management mechanism;
If the platform has been in compliance with the law, then after cleaning up will get more market share, if the platform before the behavior of wiping the edge ball, in the short term the platform will experience pain, but in the long run the platform or benefit, after all, in the absence of greater consequences when timely containment, and guide healthy development is the direction of long-term development.
The evolution and prospect of the online celebrity live-streaming belt mode
Network celebrity live stream with goods from the store live mode, second kill mode, the 1.0 to 2.0 and 3.0 development, 2.0 live mode is mainly foreign purchase mode, base mode, origin live mode, cut price mode and gaming mode.
Base live broadcast by the supply chain constitutes the base, live broadcast in each live base to do live broadcast, live broadcast, easy to cause the rush to order, there is a certain return rate risk.
Cut price model is very suitable for jewelry / antiques and other products, and jewelry / antiques is fast hand with goods ranked in the top category, the host got the jade, the goods advantages and disadvantages analysis to the fans to listen to, ask the fans interested in buying, the host cut the price to reach the satisfaction of the fans after the purchase.
3.0 live mode is C2M, the host according to fan needs, the use of OEM or ODM way to launch unique styles, but also to ensure quality.
Bringing together all kinds of clothing, beauty, food and other factory production capacity, based on the C2M production model to empower its anchor, gradually increase the proportion of their own goods live, and further improve the profit margin between live broadcast.
The differentiation of the main broadcaster can also begin to appear, so that it can crack the “Matthew effect” of the live broadcast of the network celebrity, through the long tail effect of the commodity reaction to the waist and tail of the main body, so that the small anchor can also and head anchor PK and get growth, forming a healthy competitive ecological system with commodity differentiation competition as the core.
Traffic, supply chain, performance capacity, is the e-commerce need to bypass the mountain.
As Taobao Live director Zhao Yuanyuan put forward, five years later Taobao live will be what?
A species may be born between the live broadcasts: a super-broadcast organization that will be the ultimate in all three “people-goods-field”.
On the content side, the anchor system is perfect, both advertising company and MC N and Red Man broker, at the cargo side, independent supply chain, independent factory, self-made brand and self-production replenishment, warehouse distribution capacity, on the field, both on the e-commerce and offline have extremely rich experience.
In the future, there may be more “live broadcasters, MCN-merchants and supply chain” four-in-one super-broadcast ingress.
Wen Yuzhuang Shuai