Unlocking the Secrets Behind Impulse Buying in Live-Streaming

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Live-streaming commerce (LSC) is revolutionising e-commerce by fostering real-time interaction between streamers and customers. With the market growing at an annual rate of 20.3%, from $1.03 billion in 2021 to $1.23 billion in 2022 (The Business Research Company, 2023), 66.2% of shoppers admit to making impulsive purchases influenced by streamers (iiMedia, 2021). This dynamic platform offers more than just shopping—it delivers engaging, interactive experiences that captivate viewers and boost sales. But what drives shoppers to make impulsive purchases during live-streaming? This study delves into this phenomenon, uncovering actionable insights to help businesses harness LSC's full potential.

This study stands out by revealing how streamers leverage reciprocal relationships to send signals that drive impulsive purchases. Conducted through an online survey of live-streaming shoppers in China, it analysed 735 responses using Partial Least Square Structural Equation Modelling. The findings provide businesses with a practical roadmap to refine their live-streaming strategies and increase sales effectively.

The results of this research highlight the critical role streamers play in influencing consumer impulsive purchase intention. Streamer credibility and their ability to interact effectively with viewers significantly enhance the perceived quality of product information. Interestingly, the quality of streamer interaction also strengthens their credibility, fostering trust and deeper engagement with audiences. These factors create an environment where shoppers feel more confident and engaged, making impulsive purchases more likely.

Product information quality emerged as another vital factor. High-quality, clear, and persuasive product details significantly impact customer engagement, which in turn directly drives impulsive buying tendencies. In fact, customer engagement acts as a bridge between product information quality and impulsive buying behaviour, emphasising its importance as a mediator in the live-streaming shopping experience.

One unique finding of this study is the moderating role of “guanxi orientation”—a cultural concept that emphasises relationship-building. Guanxi strengthens the connection between product information quality and customer engagement, as well as the link between engagement and impulsive buying tendencies. This underscores the importance of fostering relational dynamics in live-streaming commerce, particularly in markets like China, where relationships and trust are highly valued.

This research also provides valuable practical implications for e-retailers on LSC platforms. It highlights the importance of recruiting and supporting credible, engaging streamers who can effectively communicate product details while building trust and emotional connections with viewers. By prioritising the delivery of high-quality, persuasive product information, e-retailers can significantly enhance customer engagement, ultimately driving impulsive purchases. Additionally, leveraging cultural elements such as guanxi can deepen relational ties with shoppers, encouraging loyalty and repeat business. These strategies not only enhance the shopping experience but also foster a competitive edge, helping businesses transform casual viewers into long-term, loyal customers.

By uncovering the key drivers of impulsive buying in live-streaming commerce, this study empowers businesses to craft highly effective strategies that maximise sales while enhancing customer satisfaction. It explores how live-streaming commerce (LSC) drives engagement and impulsive buying, offering actionable insights to boost e-commerce performance. Furthermore, aligned with the United Nations' Sustainable Development Goal 8, this research promotes economic growth and encourages digital entrepreneurship, helping streamers create sustainable livelihoods and thrive in the digital economy.

Dr. Cloris Xi Luo
Ƶ Business School 
@email 

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