Has the Era of the Livestreaming ‘Battle God’ Ended?

Once a money-making machine that turned KOCs into "order-closing gods", raking in billions in sales within hours of going live, the golden age of livestreaming is showing signs of decline. With viewer fatigue, changing algorithms, and a shift in shopping behavior towards shorter content, what's the new path for sellers and brands to keep up?

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The power of KOCs – Key Opinion Consumers, a term used in marketing to describe individuals with a significant influence on the purchasing decisions of those around them – is undeniable. We often wonder how they can generate sales within just a few minutes of going live.

So, how do they do it? How do they convince customers to hit that “Buy Now” button?

First and foremost, KOCs sell with conviction and authenticity. Their followers are not strangers; they are individuals who have grown familiar with these KOCs and have developed a certain level of affection and trust for them. It is this trust that leads to sales.

These followers have been listening to their daily or weekly musings about life, including what they eat, their children, their habits, and their consumption patterns… It’s not all about selling for KOCs. They introduce products over time through regularly uploaded videos on their channels, and customers know to wait for the live stream to snag a deal.

Top 10 KOCs of 2024, as recognized by Veena Media & Sticker

Secondly, successful KOCs meticulously plan their live streams. Understanding their target audience, they craft well-thought-out and intentional scripts for their live sessions. They strategically arrange their products, considering the psychology of the buyer (starting with easy/shocking deals to boost interaction, maintaining the session with popular items, and ending with deals to seal the sale).

KOCs are masters at creating a sense of urgency and triggering the “fear of missing out” (FOMO). They make statements like, “Only 5 pieces left, so grab it now!” or “Act fast for a special gift!” This stimulates dopamine in viewers, making them more inclined to purchase. While these techniques may not be new, they remain effective due to our innate human nature.

During their live streams, KOCs focus on promoting key products without digressing. If a customer wants to purchase something else, they are directed to the shopping cart. Throughout the session, KOCs closely monitor metrics such as clicks, additions to carts, and sales to identify trending products and further promote them. This strategy of focusing on a limited number of products is generally more effective.

Another familiar phenomenon among viewers is the Social Proof or Informational Social Influence. This is a psychological tendency where individuals are more likely to follow the actions or decisions of others, especially in uncertain situations or when they lack sufficient information. People assume that if others are doing something, it must be the right or good choice, and thus, they follow suit.

When viewers see many people buying, commenting, and pushing for sales, their brains automatically trigger a desire to conform (tribal dopamine), increasing their urge to purchase quickly. KOCs remain undeterred by comments from individual customers, such as inquiries about different colors or shipping discounts. They know that engaging with these comments might disrupt their sales flow, and since customers vary widely in their needs and preferences, trying to accommodate every request could detract from serving the majority of viewers.

Thirdly, KOCs are masterful storytellers, not just technical reviewers. They understand that customers don’t need to hear every detail about a product’s formula, ingredients, or origin. Instead, customers want to know, “How will this product make me feel?”

KOCs connect with their audience by sharing personal stories: “I first used this product because my child had a persistent cough…”, or “After giving birth, I experienced terrible hair loss…”. It’s these emotions that drive purchasing decisions. Customers feel understood and believe that if it worked for the KOC, it will work for them too.

Research by Harvard & Stanford underscores the power of “Emotional Connection,” which increases the likelihood of a purchase by up to 70% compared to technical factors alone.

Platforms like TikTok and Shopee Live employ the “dopamine loop” through Audio Effects, Continuous Call-to-Action, creating a sense of excitement and urgency (“Buy now, it’s a steal!”), and Surprises, such as random gifts, keeping viewers on their toes.

Livestreaming was once the ultimate tool for online sales. Its peak came in 2022–2023 when everyone, from novice KOCs to celebrities and TikTok influencers, jumped on the bandwagon. However, nowadays, it’s not uncommon to see live streams with meager view counts or GMVs (Gross Merchandise Volume) plummeting. The era of billion-dollar live streams and live-streaming celebrities seems to be fading, with KOCs now demanding deeper discounts from brands to offer the most attractive deals to their followers.

One reason for this shift is viewer fatigue from low-quality, incessant live streams. The market is saturated with live streams that lack substance, rely on loud sales pitches, and fail to offer unique and engaging experiences. Buying behaviors are evolving. Customers no longer want to sit through hours-long live streams to catch a deal. They prefer quick, concise reviews, highlights, and carousel content, with short videos (30–60 seconds) and “click-to-cart” options rising in popularity.

Algorithms are also shifting away from favoring live streams. Platforms are now limiting the distribution of live streams to promote newer formats like TikTok Shop clips and affiliate shorts, as well as personalized “For You” recommendations.

This shift signals a move towards a multi-touchpoint content ecosystem. According to the latest 5A Customer Experience model, sellers should aim for as many touchpoints with customers as possible. Each customer journey progresses through stages: Awareness, Appeal, Ask, Action, and Advocate. At each touchpoint, sellers need to create more creative, relatable, and need-based content. Even short videos require thoughtful scripting and authenticity.

Sellers should focus on building their channels and creating diverse content across multiple platforms. The content must be of high quality, well-planned, and deeply understanding of the target audience’s pain points. Continuously showing up and being present for customers is key. They might discover a product through a reel or clip and then encounter it again during a live stream. The live stream becomes the final nudge, not the starting point.

Building an internal KOC team is a sustainable approach to long-term sales. This strategy reduces reliance on external KOCs or those not affiliated with the business. For medium to large brands, selectively partnering with top KOCs (top creators) can be a costly yet effective strategy to leverage their existing traffic and quickly gain brand recognition.

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