In the dynamic landscape of commerce, the intersection of technology and consumer engagement is evolving at an unprecedented pace. As we bid farewell to 2023, it is evident that live and video commerce have undergone a seismic shift, driven by technological advancements such as Artificial Intelligence (AI) and Natural Language Processing (NLP) and evolving consumer preferences. Now, as we step into 2024, the realms of video commerce and live commerce are poised for groundbreaking transformations, setting the stage for a new era in retail and content-led businesses. There are five notable trends that will be mainstream in 2024.
#1: AI-Powered Personalization
Artificial Intelligence (AI) is taking center stage in enhancing the personalization of video and live commerce experiences. Retailers and content-led businesses are leveraging advanced algorithms to analyze user preferences, enabling tailored content recommendations in real-time. From personalized product suggestions to interactive shopping assistants, AI is elevating engagement and conversion rates at unprecedented levels. These personalization features will continue to allow businesses to improve operational efficiency as well as direct engagement with consumers.
#2: Interactive Shoppable Videos
As a result of the rise of AI in live streaming, shoppable videos will benefit greatly as they continue to redefine the consumer experience in 2024. As consumers increasingly seek seamless integration between entertainment and shopping, this year marks a pivotal moment for shoppable videos. One notable trend is the rise of augmented reality (AR) try-on experiences within videos, allowing users to virtually interact with products before making a purchase. The integration of AI also enhances personalization, providing users with tailored product recommendations based on their preferences and behaviors.
Shoppable video in 2024 will not just be a transactional medium; it will be an immersive, personalized, and interactive journey that transforms content into a captivating retail experience. This seamless integration of content and commerce will redefine the typical e-commerce model. This provides an opportunity for every content piece on the internet to be made shoppable.
#3: Extended Reality (XR) and Immersive Experiences
The immersive power of Extended Reality is reshaping how consumers interact with products in virtual spaces. Extended Reality (XR) and Augmented Reality (AR) emerge as transformative forces, reshaping the way consumers engage with products and brands.
XR, encompassing both virtual and augmented reality, introduces immersive experiences that go beyond conventional boundaries. AR, in particular, takes the spotlight, providing users with interactive overlays that enhance their real-world environment. In the world of live and video commerce, AR is leveraged to offer dynamic and personalized try-on experiences, enabling consumers to virtually experience products before making purchase decisions. Businesses are integrating AR seamlessly into their content, allowing viewers to visualize products in real-time and fostering a deeper connection between the digital and physical worlds.
The trend extends to XR, where virtual environments are created for immersive brand experiences and interactive product showcases. As technology advances, XR and AR redefine the concept of online shopping, making it not just transactional but experiential, offering consumers a compelling and interactive journey through the innovative integration of augmented and virtual realities. The latest immersive 5D experience in China has proven that XR will not just be a trend but will pervade our everyday lives. Since the start of 2023, a few Chinese physical businesses and locations have been launching immersive experiences, including restaurants, art exhibitions, public spaces, and even a few offices. They are set to become more seamlessly integrated into daily routines, blurring the lines between the physical and digital realms.
#4: Live Commerce 2.0: Gamification for Engagement
The realm of livestream shopping is not merely an extension of traditional retail — it is a dynamic and interactive commerce experience that continues to redefine consumer engagement. Live Commerce 2.0 represents the next evolutionary phase, transcending the initial excitement generated in 2023.
Brands will incorporate game-like features into their live streams, encouraging user participation through quizzes, challenges, and interactive polls. This “shoppertainment” approach not only boosts engagement but also transforms the shopping process into an entertaining and rewarding experience. Its ability to transform passive viewers into active participants creates an immersive and enjoyable experience that goes beyond traditional content consumption.
#5: The Emergence of Voice Commerce
Voice-activated commerce will emerge as a convenient and hands-free way for consumers to engage with video and live commerce. With the proliferation of smart speakers and voice assistants, users can verbally interact with live commerce sessions, make purchases, and receive personalized recommendations.
Advanced Natural Language Processing (NLP) and machine learning algorithms enable voice assistants to understand context, nuances, and user preferences. Consumers can now engage in more complex and nuanced conversations, making voice interactions feel less like transactions and more like natural conversations with a knowledgeable assistant. These “assistants” guide users through the entire shopping journey, from product discovery to transaction completion. Users can ask questions about product details, inquire about promotions, and even receive real-time updates on their orders, creating a hands-free and efficient shopping experience.
The video and live commerce industry has always been in the forefront of innovation, with 2024 poised to be a year of unprecedented advancements. From AI-driven personalization to the transformative power of XR experiences, the future of commerce is not just about transactions; it's about creating immersive, personalized, and engaging journeys for consumers. As retailers and broadcasters embrace these trends, they are not just adapting to change; they will redefine the future of commerce itself.
