Livestream shopping has taken off in China but has failed to launch in the U.S. market, something Amazon is looking to change by attracting the right influencers to promote goods on its platform.
“Livestream shopping is the future of retail,” Amazon Vice President of Advertising Wayne Purboo told Financial Times. Purboo oversees Amazon Live, the tech giant’s interactive live video shopping feature.
Chinese shoppers have embraced live eCommerce, but the U.S. market is still emerging and trying to gain traction, according to analysts, FT reported.
See also: TikTok Drops Livestream Shopping Plans in US, Europe
TikTok Shop abandoned U.S. and European expansion plans after struggling to find an audience base in U.K. The eCommerce livestream is currently offered in Thailand, Malaysia, Vietnam, and Indonesia on Chinese sister app Douyin, PYMNTS reported earlier this week.
Douyin has more than tripled sales year on year, selling more than 10 billion products since livestream shopping launched.
Without a dominant livestream shopping force in the U.S., Amazon is looking to take the lead and become the central destination and fend off competition from TikTok, Instagram, and smaller newer startups like WhatNot, backed by Andreessen Horowitz, FT reported.
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“Amazon is trying to port [influencers’] audiences on to Amazon Live. It’s easier said than done.” Andrew Lipsman, an analyst with Insider Intelligence, told FT.
Lipsman added that it could be that western shoppers are just not interested in live commerce, but that “has yet to be established.”
“I think there has been this conventional wisdom that it is inevitable that it is going to become a major trend here,” he said. “And I haven’t seen evidence yet to suggest that’s really the case.”
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Amazon has held several events to attract key influencers, including signing bonuses and beach trips, according to influencer agencies, FT reported.
“Amazon has fundamentally changed the game in terms of a seamless and non-sticky shopping experience,” Gaz Alushi, president of measurement and analytics at social media creator commerce agency Whalar, told FT.
As the largest eCommerce retailer, Amazon has a shot at being the main livestream commerce player, he added.