How Live Selling Boosts 5 Ecommerce KPIs ---- 4 min read
Live Selling takes what is typically an ‘uncrewed’ experience, such as browsing an eCommerce website, and adds real humans to the mix to interact with and sell to shoppers. Thus, Live Shopping should no longer be regarded as a nice-to-have, but as a necessity.
With real impact on key metrics like Conversion Rates, Average Order Value, Return Rates, Cart Abandonment Rates, and Customer Lifetime Value it’s time to give live commerce some serious consideration. Let’s quickly explore the blog for confirmation of the same.
Higher Conversion Rates are usually expected for brands with a retail presence as buyers will have had more exposure to products in person. Well, this is definitely a challenge for brands with Online Presence.
Hence, online Ecommerce Stores and D2C brands have been trying to improve conversion rates with a wide number of strategies, including, checkout optimization, enhanced product detail pages, loyalty programs, incentives, etc.
Despite this, retailers still face conversion gaps that can be easily eliminated by leveraging Live Video Shopping.
How can Live Shopping help improve Conversion Rates?
Live commerce can help convert more customers by
1. Answering questions that can’t be solved by existing product descriptions
2. Facilitating a better understanding of products by highlighting product’s key features and USPs in real-time
3. Providing recommendations for specific use cases, preferences, or needs
4. Guiding the shopping experience for buyers who aren’t comfortable shopping online, or simply don’t know what they need
5. Using promotions and sales strategies like running discounts, flash sales, deals, giveaways, and limited-time offer to further generate demand
Average Order Value
After driving more conversions, e-commerce brands pay close attention to increasing the basket size i.e bigger Average Order Values. Higher revenue is generated when more items are sold per order.
In spite of leveraging standard tactics such as cross-selling and upselling, BOGO promotions, and free shipping, brands still face difficulty increasing Average Order Values. The main reason behind this is the lack of personalization.
How can Live Shopping help increase Average Order Value?
Here is how Live Shopping can help you achieve the same by offering personalization:
1. Live shopping hosts operate similarly to shopping assistants in stores. They listen to shoppers’ questions or needs and use their product knowledge to suggest the ideal product
2. Hosts can create a look from head to toe for buyers, or they can recommend new arrivals
3. Hosts can suggest an add-on accessory that’s a total must-have for peak enjoyment of whatever buyers are interested in.
The online return rate will likely always be higher than the in-store rate despite whatever ecommerce merchants do, mainly because shoppers are simply missing information when buying items they cannot physically touch.
On top of that, the intent level is higher. For example, potential buyers might view ordering online as the equivalent of bringing items into a dressing room. Just as it’s unlikely they’d keep every item they try on in a store, it’s equally unlikely they’d keep every item they ship to themselves to try on.
How can Live Shopping help minimize Returns?
Challenges leading to higher returns can easily be mitigated via live video shopping and here is how:
1. Instead of buying two of the same item and returning whichever one didn’t fit, shoppers can get tailored advice on the right size
2. A host can talk through the function of a product to make sure it’s appropriate for shoppers’ desired use
3. Shoppers can see a product from any angle, ask questions related to care instructions or maintenance, and even get product demos in real-time
Reduce Cart Abandonment
Nearly 70% of online shopping carts are abandoned, and ecommerce brands everywhere would love to have at least some of that revenue returned to them.
Shipping costs or policies might turn off shoppers. Others might add items to their cart but forget about them or use them while comparing another product.
How can Live Shopping help Reduce Cart Abandonment?
Live shopping is a simple way to reduce cart abandonment. Here’s how:
1. Live selling is a wholly different experience as it feels more interactive to an individual shopper than just engaging with a chatbot
2. Getting answers to questions in real-time can be enough to make many on-the-edge shoppers convert
3. Live selling can reduce cart abandonment because the cart is built during a live shopping show. Shoppers can check out while being in a show, and hosts can provide incentives to do so – ones that literally can’t be found on the website otherwise
Enhance Customer Lifetime Value
With more online shopping stores, shoppers have a wider selection of products to choose from. The more choices, the more chances a retailer can lose their customers.
Ultimately, LTV is about maintaining long-term relationships with buyers and enticing them to return and the best way to enhance this is by leveraging live commerce. Here’s How:
How can Live Shopping help enhance Customer Lifetime Value?
Buyers are given access to a personal shopping service that improves their experience, can drive higher basket sizes during a live shopping show, and builds a stronger personal connection to a brand. This connection is what keeps shoppers coming back time and again.
Why Channelize.io Live Commerce Platform?
By now, the answer to this question should be pretty obvious. The main reason to leverage Channelize.io Live Shopping Platform is to drive key performance metrics like:
1. Boosting conversion rates
2. Increasing average order value
3. Reducing return rates
4. Reducing cart abandonment
5. Improving customer LTV
By focusing on these core Ecommerce KPIs, brands can ensure that they are providing the best possible experience for their customers and driving conversions.
How to get started with us? Book a FREE DEMO. We’ll see you there.