- Aug 10, 2020
- Executive Spotlights
Kevin Jiang Shares Insights on Luxury Livestreaming
by Rachel Liu
Why livestreaming is attractive to Chinese consumers? Kevin Jiang, president of International Business at JD Fashion and Lifestyle cites two main reasons. The first is the massive lower-tier market in China, where the customers have a lot of time to spend, and sometimes even higher dispensable income than first-tier city customers. The second reason is that smart phones and 5G network expenses are affordable in China, enabling many customers to watch livestreams and short videos very conveniently. With the popularity of livestreaming, Jiang believes all luxury brands should be open to doing livestreams.
On August 5th, a webinar was jointly hosted by Jing Daily and Content Commerce Insider (CCI) titled, “Next-Level Livestreaming: How Luxury Brands Can Profit from China’s Top E-Commerce Trend”.
What should luxury brands be aware of when doing livestreaming? Jiang points out on the event that livestreaming is one of the key tools to increase customer awareness of a brand in China. Luxury brands also need to find the appropriate KOL with proper content to represent the brand and reach out to the right audience, and effectively handle customer inquiries to create conversions. Livestreaming on an e-commerce platform will greatly help brands convert consumers from being aware to making transactions.
Jing Daily’s editor-in-chief Enrique Menendez moderated the conversation, Sky Canaves, editorial director of CCI, Masha Ma, owner and lead fashion designer of MASHAMA, and Anny Fan, a top luxury KOL in China also participated in the discussion. Nearly 600 people, primarily representatives from fashion brands, registered for the event.
The “Next-Level Livestreaming” whitepaper released by Jing Daily and CCI points out that the GMV of e-commerce livestreaming has skyrocketed from RMB 20 billion yuan ($2.8 billion) in 2017 to RMB 430 billion yuan ($61 billion) in 2019, representing almost 9% of all online sales and 1% of total spending on consumer goods. The COVID-19 outbreak has made livestreaming more important than ever. While many luxury brands have worked with major e-commerce platforms, it’s also necessary for them to catch up with the livestreaming trends on their own.
Although livestreaming is very important for luxury brands to build brand awareness and generate sales, Jiang also suggests brands “don’t put everything in one basket”. Livestreaming is only one of the many available tools, and building brand awareness requires a systematic approach including articles, short videos, advertisements and more.
JD is doing everything to help luxury brands who are interested in livestreaming to practice on the platform. JD Luxury has opened a livestream channel especially for luxury products on JD Live. For luxury brands, it’s important that customers can enjoy the same premium experience through livestreaming, and JD will help brands maintain a high standard for their live shows and protect their brand images.