Shopping, especially for apparel, has always been considered fun and entertaining. However simply browsing through new items - either online or in stores - is no longer enough. Today’s consumer wants an ‘entertainment first experience’. Give them enough entertainment and engagement and some of them will end up buying something. Suddenly, actually making a purchase is now secondary.China’s e-commerce market has redefined online shopping from merely the acquisition of goods to a pastime, with retailers and apps curating spaces for people to discover, play, and enjoy either alone or with friends. 'Shoppertainment' is simply a matter of providing enough entertainment to value to keep the consumer reasonably engaged with the video. The format presents goods as engagingly and dynamically possible. The consumer becomes absorbed in the experience leading to purchases, resulting in higher sales through live commerce. In 2020, the global video streaming market was valued at US$50.11 billion, proof that this retail format works.Reinventing a Wildly Successful FormatThe concept isn’t entirely new. In fact it looks very much like a new spin on traditional television shopping shows (such as QVC and HSN (USA), both owned by the Qurate Retail Group), which featured a series of people presenting products in a manner that was engaging enough to draw a huge daily audience and drive massive sales. And home shopping television is, in a way, a throwback to late night TV infomercials. The technology isn’t as sleek, but the concept of having live presenters and product pitches that have high entertainment value is not really new.QVC is alive and thriving. It broadcasts daily to more than 350 million households in seven countries, including channels in the UK, Germany, Japan, and Italy, along with a joint venture in China with China National Radio called CNR Mall. The company has recently launched its streaming service.Quarate Retail reported Q2 2021 revenue increased 2% to $3.5 billion, with international revenue up 11%. Net income rose 2% to $232 million. The company said that it delivered “strong increases in apparel and accessories” sales during the recent quarter.Retailers See an Opportunity to Reach More ConsumersThe explosion of livestreams in China got the attention of global players that are now starting to embrace the format. For example, Nordstrom (USA) hosted over 50 virtual events last year while Printemps (France) recently broadcast four live-shopping programs from its Boulevard Haussman flagship store. Streaming Stats18 Facts & Statistics that Defines the Rapid Growth of Streaming Commerce96% of people say they’ve watched an explainer video to learn more about a product or service.With over 9.3 billion hours watched, Twitch is now the biggest live streaming platform worldwide.79% say a brand’s video has convinced them to buy a piece of software or an app.The live streaming market will be worth over $247 billion by 2027.Videos on social media generate 1200% more shares than texts and images.Companies that use video enjoy 41% more traffic from searches.40% of consumers state video increases the chance to purchase a product on their mobile device.74% of millennials find video helpful when comparison shopping.Based on the number of monthly active users, Facebook would be considered the largest live streaming platform worldwide.YouTube live streaming statistics reveal 70% prefered it over other platforms in 2020.80% of consumers prefer to watch live videos from a brand than read a blog.63% of people aged 18-34 watch live streaming content regularly.Replays of livestreams can provide content for social media postsLive streaming is going to be a $70.5 billion industry by 2021.Brands are expected to spend more than $100 billion on video content by 2023, up from $90 billion in 2018.China’s live streaming e-commerce reached 961 billion yuan (US$148.4 billion) in 2020, with a year-on-year growth of 121.5%Taobao Live, China’s dominant live commerce platform reported that its gross merchandise volume has grown by 150% per year over the past three years.Livestream-generated commerce was a US$60 billion industry in 2019. Only US$1 billion of that was generated in the US, while the vast majority was generated in China.Source: StreamElements, Restream, Vimeo, Livestream, iiMediaResearch, Garnter.The massive success of livestream startup Popshop Live (USA), which recently announced a valuation of $100 million, points to the success of this strategy.Instagram has jumped onto entertainment-led commerce by allowing creators to sell products via Instagram Live, click-through product launches in its Stories, and link to products in Feed photos. Shoppable Reels were introduced in December of 2020 and are similar to the Chinese Bytedance-owned video app Douyin.TikTok has persuaded consumers to shop via video in Europe and the US, with the hashtag #TikTokMadeMeBuyIt currently at 4.1 billion views and counting. While video commerce is likely to stick around for the long term, hashtags such as #TikTokMadeMeBuyIt are more likely to have the same trajectory as Pokeman Go - a fast rise and a just fast descent.Platforms Jump on the TrendLast December, Walmart livestreamed shopping events on TikTok. Amazon released a live platform where influencers promote items and chat with customers. Instagram launched a Shop feature that encourages users to browse and buy within the app. Facebook also kicked off Live Shopping Fridays for the beauty and fashion categories.Startups are growing fast as everyone as investors are attracted by the scent of a new cash cow. PopShop.Live raised $20 million to fund a streaming platform that lets people buy everything from books and toys to jewelry from sellers who livestream their offerings. Whatnot raised a $50 million Series B, largely to expand its livestream commerce infrastructure. There’s also a burgeoning category of SaaS tools such as Bambuser, which is working with brands like Klarna to test native livestream shopping directly within branded apps.Outlook and Future GrowthThe global live streaming market is forecast to reach as much as US$247,275 million by 2027, according to Market Research Future. Asia Pacific (APAC) is expected to dominate the global market owing to the entry of streaming companies in the region and use of these sites by influencers to reach a large customer base. It can display 30.6% CAGR over the forecast period owing to penetration of the internet in China, Singapore, Malaysia, and India. Preference of video streaming services over cable channels can bode well for the regional market. Large population and host of free content on live streaming sites can fare well for the live streaming market in the region.Worldwide, retailers and brands will be adding livestream commerce teams, just like they have influencer partnerships in recent years.