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Live shopping in the Polish retail industry. "Unstoppable trend"

Live shopping w polskiej branży handlowej. "Trend nie do zatrzymania"

Report: 17 percent Poles shopping online used live commerce

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Report: 17 percent Poles shopping online used live commerce

75% of Poles surveyed by Gemius for the "E-commerce in Poland" report published in 2022 declared that they use their phones for online shopping. However, if we only take into account people under 35 years of age, the percentage of those using a smartphone increases to 88%. Among the even younger group – up to 24 years of age – it is as much as 92%. This tendency, combined with the convenience of watching live broadcasts on smartphones, creates extremely favorable conditions for the development of live commerce. The market situation is assessed by Alicja Tucholska-Kuran, Senior Associate in the Retail Agency at Collier

China is a market pioneer

Currently, the most mature live sales market is China – research conducted in 2021-2022 by McKinsey shows that as many as 57% of live commerce users in this country have been using this shopping format for over three years, compared to only 5-7% of users live-commerce in Europe, Latin America and the United States.

China became a pioneer of this trend, mainly thanks to the Taobao Live platform established in 2016 by the Alibaba holding, which initiated the dynamic development of live sales in Asia. The adaptation of the live commerce trend varies depending on the geographical location. This form of sales is increasingly used by influencers via social media channels. Trying to keep up with trends, Meta launched the live shopping function in August 2020, but canceled it after only 2 years, in October 2022, justifying its decision with payment processing problems. Currently, while influencers still broadcast live on Meta platforms (e.g. Facebook, Instagram), users must make purchases outside of these platforms. This largely eliminates one of the main advantages of live commerce, which is the ability to offer dedicated promotions available only during live broadcasts. However, other social media platforms such as TikTok, YouTube and Amazon continue to support this sales model.

We are observing that fashion brands are starting to offer their products this way more and more boldly in Europe, which allows us to assume that our market will soon experience a live-commerce revolution.

Anything to repeat the success

There is something to fight for – based on the experience of brands on the Chinese market, it has been proven that live shopping increases sales conversion by up to 30%. This is, among other things, because it contributes to consumers making impulsive purchases. It also allows you to increase brand recognition, improve customer experience and can lead to a significant increase in sales. Zara, part of the Inditex Group, recorded a 50% increase. increase in sales results in the first three months after introducing this sales model on the Chinese market. The brand's broadcasts attract an average of approximately 800,000 viewers there. It is worth adding, however, that this success is not a coincidence – the production of one Zara live video for the Chinese market involves a team of 70 people, performing live broadcasts from many cameras in a space of up to 1,000 square meters. The brand is currently planning to introduce live commerce in the UK. Broadcasts will be carried out via the application, which will allow for greater control over the aesthetics and interaction with users.

Zara is not the only brand that has decided to present its offer in the form of live shopping to its European customers. Similar initiatives are already being undertaken by companies such as ASOS, L'Oréal, Puma and Tommy Hilfiger, which also started in China and achieved sales success there. For example, one Tommy Hilfiger show attracted as many as 14 million viewers there and resulted in the sale of 1,300 sweatshirts in just two minutes.

Forecasts encourage experimentation

The introduction of this form of sales to Europe by large brands can significantly improve their financial results in this competitive market. For example, Zara predicts that by 2026, live commerce could account for 20% of the brand's total e-commerce sales. In the future, if online live sales in Europe develop significantly, this may translate into an increase in demand for additional warehouse space and a change in the location of demand, although for now this is quite a distant prospect.

However, the development of live commerce does not necessarily lead to the closure of stationary stores. It is possible that stores will begin to convert some of their space into recording studios. This could boost sales on-site too, especially as stores become more "Instagram-friendly", attracting customers both online and offline. The presence of e-commerce experts specializing in live streaming may become a new employment trend in the future. Shopping malls could also benefit by creating dedicated zones for live broadcasts, just as they already offer zones for influencers.

What sells best?

According to McKinsey data, grocery shopping dominates in China, accounting for 54% of purchases made via live commerce. Clothing (45%), footwear (33%), skin care (30%) and hair care (26%) are also popular.

In Europe, the most popular category is clothes with 39%. participation in all live commerce purchases. The next places, with an equal share of 29% each, are taken by electronics and hair care. 28% of purchases are fashion accessories and 27% are beauty accessories.

The yet untapped potential of the Polish market

As we read in the report by the research company Inquiry entitled "Live Commerce in Poland", 70% of Poles still do not know the concept of live commerce without additional guidance or explanation. This is a lot, especially if we take into account that "traditional" online shopping is rather common for us – in a Gemius study in 2022, as many as 77% of respondents declared that they did so. However, so far less than half of Polish Internet users – only 39% – have had contact with live e-commerce broadcasts.

Inquiry reports that Poles encounter live commerce mainly on Facebook, and Statista data from 2024 shows that 8 out of 10 Poles surveyed are satisfied with purchases made this way. The first technological solutions dedicated to live sales are being created, but currently they are mainly used by small boutiques. They enable the automation of sales processes, management of orders and payments, and communication with buyers using intelligent chat-bots. We can therefore expect that larger companies and retail chains will soon begin to implement these innovative tools on the Polish market or, following Zara's example, they will begin to create their own, dedicated applications.

Live commerce, as a dynamically developing trend, is changing the landscape of the retail industry around the world. From pioneering China to emerging markets in Europe and Poland, interactive live selling opportunities are becoming increasingly important to global performance. As large brands begin to implement this form of shopping en masse, it may result not only in sales increases, but also in the creation of new, innovative solutions that will bring the online shopping experience closer to traditional shopping in a stationary store.

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