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The rise of livestream shopping: From Kim Kardashian to hypebeasts

In the build up to this year’s Singles’ Day event in China (Nov 11), Kim Kardashian West took to TMall to co-host a live streaming shopping session with one of the country’s top-selling influencers, Viya Huang. The event drew in 13 million viewers and helped Kim K sell her entire stock of 15,000 bottles of KKW perfume in just a few minutes.

Broadcasting shopping events have long been a success in Asia, a region that often leapfrogs the West when it comes to responding to its audience’s want-it-now behaviors with digital tools. In 2018, the genre generated $4.4bn in sales in China alone. 

To further put in perspective the success of the feature on TMall, Huang, who joined Kardashian West on-screen during the broadcast, previously broke a record on the platform in October when she sold almost $50m in one day. 

In this case, the benefits of the partnership were twofold: while for Kardashian West it meant tapping into a mature audience and expanding her already huge visibility in Asia, for TMall, this served as a testing ground for its Global Influencer Ecosystem, a program that aims to train and support 2,000 influencers around the world.

Kim Kardashian’s TMall livestream

Live streaming has its origins beyond retail, and is part of a much wider voyeuristic nature the internet helped incubate – from watching people play video games on sites like Twitch, to the huge popularity of unboxing videos on YouTube. 

Brands following suit feels only natural as a result. Sprinkle in some influencer dust, and you’ve got a recipe for success. 

But this fairly new behavior is also an offshoot of a much wider trend for immediacy, or blink-and-you’ll-miss-it tactics that retailers have long deployed with flash sales and limited edition products.

You only need to look at the long-standing popularity of shopping channels like QVC and HSN, which combined brought in $3.1bn in sales during Q1 2019, to find the winning strategy: a charismatic host who sells a single product with a masterful sense of urgency, either focusing on its price or exclusivity, urging viewers to call in. But how do you refresh that model to suit the younger generation whose mobile-first behaviors mean they don’t watch live television, or even pick up the phone?

Enter platforms like NTWRK, a self-described QVC for Gen Z and Millennials, whose second round of funding included the likes of Foot Locker, Live Nation and rapper Drake. The app broadcasts live sessions where hosts, who are often celebrities or musicians, will sell limited edition goods – from sneakers to concert tickets – only available for the duration of the show. This, according to the platform, is “shopping at the speed of culture.” 

NTWRK could also represent the next step in hypebeast – or urban streetwear – culture, adding an extra level of exclusivity now that queueing outside stores has become a secondary market in itself.

Meanwhile H&M’s young brand Monki recently hosted an experience on its own e-commerce site where its fashion editor and a buyer discussed fashion trends and their favorite products of the season, while viewers could shop the products and even replay the video once it had ended.

Monki’s livestream

The popularity of these platforms and one-off events show that appetite is definitely there, much like in Asia. But in order to create a seamless shopping experience and keep customers coming back, brands and tech platforms still have a few kinks to resolve. 

Firstly, there is the issue of internet connection, which will undoubtedly improve once 5G has hit the masses. Then, there is creating a user experience that enables viewers to shop while never having to leave the stream to add their payment information or check out. Lastly, but perhaps most importantly, it will be up to brands and retailers creating these streams to enlist hosts and create experiences that will grab and keep the attention of a notoriously fickle demographic.

It will be interesting to watch this space mature. A trend that is so clearly influenced by a tried-and-tested retail format – TV shopping networks – highlights how innovation is often about evolution, and not reinvention. Finding what works, and updating it to the digitally-led generation.

How are you thinking about new Innovation? The Current Global is a transformation consultancy driving growth within fashion, luxury and retail. Our mission is to solve challenges and facilitate change. We are thinkers and builders delivering innovative solutions and experiences. Each of the rules referenced above is matched by one of our products and services. Interested in how? Get in touch to learn more.

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H&M Home to launch Google Assistant app for voice-enabled style advice

H&M Home - google assistant
H&M Home

H&M has teamed up with Google to experiment with voice technology for its homeware brand, providing customers with personalized style advice through Google Assistant.

Announced during Stockholm Fashion Tech Talks, the voice app provides suggestions, mood boards and inspiration for every room in the house.

To make the experience even more personal the H&M Home Stylist, as the assistant is called, will reportedly have an exclusive human voice responding. This comes off the back of the Google I/O event last month, which featured an incredibly human-sounding version of Google Assistant placing a call to book a hair appointment.

H&M’s Monki brand has also announced it has partnered with London-based startup HoloMe to test high-definition human holograms in augmented reality.

The initiative sees images of nine select Monki outfits enhanced with digital effects, allowing the viewer to explore each of them in greater detail via their smartphone or tablet and experience the holograms as though they are present in the room.

“At H&M group we constantly work on innovations that create extraordinary customer experiences. The fashion industry is changing fast and technology is more important than ever as an enabler in adapting to an ever-changing society,” says Elin Frendberg, who leads business development for the H&M group.

Both initiatives come off the back of a tough trading time for H&M and a commitment to technology in order to turn things around.

“We know the industry is undergoing a huge shift – the catalyst for this transformation is technology. It’s not just one technology, but a set that includes artificial intelligence (AI), augmented reality (AR), robotics and more,” said the group’s CEO Karl-Johan Persson at the company’s Capital Markets Day in February.

“There are changing consumer behaviours as a result – they are expecting more and more. They expect a more tailored offering in how we set up our stores, in how we communicate with [them]. They want a hassle free shopping experience, and the ability to shop anywhere and anytime. And they want even better designs at higher quality and better prices.”