Abstract
The digital acceleration triggered by COVID-19 was a disruptive transformation of society, which was not prepared for such quick changes in socialization, work, and consumption, among other activities. We were forced to reinvent ourselves, to pursue the continuity of our daily routines using tools already available, because there was no time to invent better ones. In this context, live performances on social media became very successful as a zero-cost (both for content producers and audiences) and highly engaging format. Brands, and particularly small companies, quickly took over this new tool, adopting a practice that had already emerged a few years ago, consisting of using live streaming as a channel for showcasing products and selling, thus being an alternative to the mandatory closure of stores. In order to better understand this emergent practice, this chapter looks into two examples: Mh2, a Brazilian fashion accessories company which used lives on Instagram to sell its products, and São Costureira, a Portuguese clothing brand which did the same using Facebook.
TopIntroduction
Currently, we often speak of “going back to normal”, but many argue that “normal” will not be the same anymore. Sneader and Singhal (2020) claim that we are moving on towards a “new normal” that will not resemble the pre-Covid-19 times. It is in this context that our research aims to better understand how companies reacted to the Covid-19 pandemic and quickly migrated to the digital environment, many without strategic planning or budget for this digital transformation.
When mandatory lockdowns forced stores to close, businesses, and particularly those who did not have ecommerce, struggled to find new ways to sell their products. During these periods, live transmissions on social media grew exponentially, in an attempt to provide entertainment to those confined in their homes. Brands looked at this trend as a possibility, and some came up with the new concepts of “live shopping”, “live commerce” or “shopstreaming”. In this modality, brands promote live showcasing of their products, during which consumers can interact, ask questions, see the products from different angles and understand its uses, and buy, all without leaving their homes or even taking their eyes off a screen. The whole consumer journey is made during the live broadcasting.
This chapter addresses this emergent shopstreaming practice, aiming to understand how and why many brands saw in this technological possibility a means to connect with their targets in a closer and more human way, contributing to a “participative culture” (Jenkins, 2006) of sales, through a bidirectional channel where brands and customers can interact in a similar way to what happens at a physical store.
We observed this phenomenon in two different settings: Brazil and Portugal. In each country we studied a case - Mh2 in Brazil and São Costureira in Portugal - focusing on how they performed these lives. The main difference was the use of different Social Networking Sites (SNS) (Boyd & Ellison, 2007): Instagram by Mh2 and Facebook by São Costureira. Our methodology included the non participant observation of lives during their transmission, and the content analysis of the corresponding comments feeds.
Our research is exploratory of an emergent phenomenon that occurred during a strong crisis, but not, in a post-pandemic period, it keeps being used and brings good results for the studied brands. Our research aims to discuss whether this practice is an ephemeral trend, or a new tool for communication and sales. The content analysis of consumers comments allowed us to understand how they perceived this innovation, and the analysis of sales and orders is evidence of the return afforded by this practice. Our results show that this initiative of the studied brands became a consolidated practice, well accepted by a high number of customers, and resulting in an increase in sales.
Key Terms in this Chapter
COVID-19: Coronavirus disease (COVID-19) is an infectious disease caused by the SARS-CoV-2 virus.
Facebook: Is an American online social media and social networking service owned by Meta Platforms. Users can post text, photos and multimedia which are shared with any other users who have agreed to be their “friend” or, with different privacy settings, publicly.
Live streaming: Is the live broadcasting of media through the internet.
Live Shopping: Have the same meaning that Shopstreaming, but in other words.
Shopstreaming: In this modality, brands promote live showcasing of their products, during which consumers can interact, ask questions, see the products from different angles and understand its uses, and buy, all without leaving their homes or even taking their eyes off a screen. The whole consumer journey is made during the live broadcasting.
Phygital: Defined as the connection between two worlds – the physical and the digital.
Instagram: Is an American photo and video sharing social networking service. Users can like photos and follow other users to add their content to a personal feed.