Live Streaming Marketing in the Cosmetic Industry: Strategies to Increase Customer Purchase Intentions
Mäkelä, Elena (2024)
Mäkelä, Elena
2024
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2024120332280
https://urn.fi/URN:NBN:fi:amk-2024120332280
Tiivistelmä
Since the COVID-19 pandemic, the e-commerce landscape has transformed significantly. Live video streaming has emerged as a powerful marketing strategy, giving online businesses a competitive edge. Live streaming marketing has gained popularity in digital marketing, revolutionizing e-commerce by providing customers with a unique shopping experience. This approach enables streamers or influencers to engage with viewers and provide detailed product information through real-time demonstrations. During the live stream, streamers describe the product and explain its appearance, texture, and scent, which are details difficult for consumers to gauge online. Live shopping not only showcases product usage, tips, and tutorials but also helps consumers make informed purchase decisions, ultimately saving them time as they don’t need to research the product independently. Live stream events have enhanced customer interaction, engagement, and increased sales.
The aim of this research-based thesis was to explore how live streaming marketing strategies, in terms of content, audience engagement, and promotional tactics, influence consumer purchase decisions in the cosmetic industry. The research employed both quantitative and qualitative methods. The first phase involved a survey with 233 participants who use cosmetics and have engaged with live video shopping. The second phase analyzed current strategies through three popular live stream recordings and included interviews with two professionals from the cosmetic industry. Additionally, the theoretical framework examines the importance of live stream marketing in the beauty sector, alongside theories on consumer purchase intentions and impulsive buying behavior.
The results of data analysis revealed that Gen Z and Millennials are the primary users of live streaming platforms such as TikTok and Instagram. As these generations move away from mainstream media, they increasingly favor live stream commerce, appreciating its interactive and authentic approach to beauty product shopping. Live shopping events are especially appealing due to exclusive deals, reliable viewer-streamer interactions through Q&A sessions and real-time comments, and engaging product demonstration experiences. To further enhance the success of live shopping events, brands are advised to focus on delivering authentic, educational content that entertains viewers while integrating real-time interactions and limited-time flash sales linked to viewer engagement milestones.
In conclusion, brands are capitalizing on social media creators and influencers for their instant connection with millions of consumers. Leading global brands have embraced live streaming on Chinese platforms like Alibaba’s Taobao, where live shopping originated during the pandemic, and have seen substantial profits. This trend has since expanded to the U.S. and Europe, establishing live streaming as an innovative marketing strategy. Recognizing its potential to boost consumer engagement and drive sales is crucial for success in today’s highly competitive cosmetic industry.
The aim of this research-based thesis was to explore how live streaming marketing strategies, in terms of content, audience engagement, and promotional tactics, influence consumer purchase decisions in the cosmetic industry. The research employed both quantitative and qualitative methods. The first phase involved a survey with 233 participants who use cosmetics and have engaged with live video shopping. The second phase analyzed current strategies through three popular live stream recordings and included interviews with two professionals from the cosmetic industry. Additionally, the theoretical framework examines the importance of live stream marketing in the beauty sector, alongside theories on consumer purchase intentions and impulsive buying behavior.
The results of data analysis revealed that Gen Z and Millennials are the primary users of live streaming platforms such as TikTok and Instagram. As these generations move away from mainstream media, they increasingly favor live stream commerce, appreciating its interactive and authentic approach to beauty product shopping. Live shopping events are especially appealing due to exclusive deals, reliable viewer-streamer interactions through Q&A sessions and real-time comments, and engaging product demonstration experiences. To further enhance the success of live shopping events, brands are advised to focus on delivering authentic, educational content that entertains viewers while integrating real-time interactions and limited-time flash sales linked to viewer engagement milestones.
In conclusion, brands are capitalizing on social media creators and influencers for their instant connection with millions of consumers. Leading global brands have embraced live streaming on Chinese platforms like Alibaba’s Taobao, where live shopping originated during the pandemic, and have seen substantial profits. This trend has since expanded to the U.S. and Europe, establishing live streaming as an innovative marketing strategy. Recognizing its potential to boost consumer engagement and drive sales is crucial for success in today’s highly competitive cosmetic industry.