Written by Ji De

Edited by Ziye

The live e-commerce world has finally entered its 'high-end game'.

Since the beginning of this year, anchors, brands, and platforms have all been exploring possibilities for transformation. Some top anchors are broadcasting less frequently, instead focusing more on content experimentation, supply chain management, and other behind-the-scenes tasks.

Clearly, big anchors have encountered similar obstacles in their pursuit of 'conquering' consumers—optimizing the shopping experience is no easy feat.

On the other hand, the 'sales magic' of professional anchors is infiltrating people's minds at a visible rate.

From a broader perspective, concepts such as 'knowledge-based live streaming,' 'slow live streaming,' and 'sharing-based live streaming' are gaining popularity, attracting a large number of followers. From the Ministry of Human Resources and Social Security's announcement of the new occupation of 'Internet Marketer' in 2021, to the increasing emphasis on professional competence assessment for anchors, the industry rules are becoming clearer.

Brands have also introduced the new slogan of 'focusing on quality live streaming,' while MCN agencies are striving to win on multiple fronts. Almost everyone realizes that in the second half of the game, the survival space for 'low price + shouting sales pitches' is becoming increasingly narrow. To stand out in the existing market, a live streaming sales model comprising professional anchors, quality products, excellent content, and consumer trust must be formed.

After the industry has undergone a process of 'weeding out the weak and retaining the strong,' high-quality live streaming, as an emerging consumption model, has become the most commercially competitive force and may propel the market into a new stage. For participants, it's time to take up their positions early.

1. In the tide of change, live e-commerce enters the stage of competing for 'quality'

Live e-commerce has been in the news frequently this year.

In September, 'Xiaoyangge's' live streaming sales encountered controversies over product quality and false advertising, leading to punishment and rectification orders from relevant departments. In the same month, after going solo, Dong Yuhui made several mistakes while introducing Marie Curie during a live stream, causing his 'cultured person' persona to collapse. Additionally, the recent million-follower blogger 'Northeast Rain Sister' has been questioned by a large number of fans for 'knowingly selling fake goods' during live streaming sales.

The frequent occurrence of public controversies indicates that the industry is undergoing a process of weeding out the weak. While some irregularities are being exposed, it also means that some distorted games in the industry are coming to an end. The entire industry must develop in a healthier direction to have a future.

Many changes point to this fact.

Consumer groups are continuously returning to rationality. Amidst a receding wave of impulsive spending and more cautious shopping decisions, consumer dissatisfaction with anchor irregularities is on the rise, significantly contributing to the increase in live streaming sales complaints and reports. According to data from the State Administration for Market Regulation, the number of complaints and reports related to live streaming sales reached 337,000 in 2023, a year-on-year increase of 52.5%.

Merchants are also paying more attention to selecting professional live streaming rooms while developing their own store broadcasts, turning product sales into a professional endeavor and avoiding increased operational pressure due to high return rates.

Against this backdrop, the focus of big anchors is also shifting.

The era of solely pursuing traffic and low prices is over. GMV and pure sales volume are no longer the best indicators of an anchor's strength.

The 'Report on the High-Quality Development of the Live E-commerce Industry' mentions that the live e-commerce industry is undergoing a comprehensive evolution from transactions to content, from buying and selling to experiences, and from competing on sales volume to building brands.

Compared to purely pursuing low prices, which can harm various parties upstream and downstream in the industrial chain, and as consumers' pursuit of comprehensive experiences in terms of product quality, functionality, and service improves, live e-commerce is gradually transitioning from the era of 'cost-performance ratio' to that of 'quality-price ratio,' moving towards a more diversified, differentiated, and sustainable development path. Simple and Rough and rough low-price competition strategies are gradually being phased out, replaced by strategic layouts that prioritize good products, services, and content.

To maintain their influence, big anchors must create high-quality live streaming rooms.

Currently, the industry is not short of live e-commerce enterprises that compete based on 'quality-price ratio' products, professional anchors, and comprehensive after-sales services as barriers to entry.

However, as consumers and merchants place increasing importance on 'quality live streaming,' the requirements for anchors and MCN agencies have also become higher.

What constitutes a high-quality live streaming room? The key lies in value—how much value the content provides, what value it creates for merchants, and what value it creates for users.

2. What constitutes a high-quality live streaming room?

Why do people go to live streaming rooms? Today, the industry has a clearer answer to this question.

Professional anchors are one of the key factors attracting consumers to live streaming rooms. Zara once conducted a massive Live Show-style broadcast that differed significantly from the usual '3-2-1, link up!' sales pitches. The anchor, a former supermodel with professional fashion insights, calmly chatted with viewers, successfully breaking through and gaining a reputation.

Having professional anchors means that live streaming rooms can output a large amount of high-quality content. Another typical example is Dong Yuhui's 'knowledge-based sales' during his time at Dongfang Zhenxuan, and Zhang Xiaohui's leisurely sharing-based live streams, both of which meet the demand for continuously producing high-quality content in live streaming sales. However, the industry is gradually recognizing that supporting anchors and personal IPs is highly non-replicable.

Anchors serve as the central nervous system linking all aspects of a live broadcast. In terms of acquiring users through content, high-quality live streaming rooms pursue certainty and continuity, requiring MCN agencies to achieve breakthroughs across multiple points from a full-process perspective.

A live broadcast is divided into pre-sales, in-sales, and after-sales stages. In terms of presenting high-value content throughout the entire process, MeiONE's approach is relatively well-developed.

During the pre-sales stage of this year's Singles' Day, Li Jiaqi's live streaming room put more effort into analyzing product highlights. For the first time, the 'Super Strategy Class' featured a large 'strategy wall,' with an impressive blackboard area and abundant content that was somewhat 'unfamiliar' even to experienced consumers.

Combined with the 'strategy wall,' physical product displays and Q&A sessions provided comprehensive product information to consumers. Whether consumers had individual needs related to product pricing, skin type compatibility, or professional demands for product efficacy education, they could all be met. According to data released by MeiONE, the amount of additional purchases during Li Jiaqi's live streaming room's Singles' Day sales increased by more than 20% year-on-year, with over ten million domestic products sold on the first day of pre-sales.

Image source: Xiaohongshu screenshot

In addition to pre-broadcast product highlight analysis, anchor explanations and content presentation during the live broadcast are also crucial in determining consumer trust.

However, finding innovative ways to showcase products in live streaming rooms is becoming increasingly difficult. Robotic vacuum cleaners are a common household item featured in many anchors' broadcasts, but most anchors demonstrate them by simply letting the robot run around the floor, leading to increasingly homogeneous live streaming content.

To stand out among the crowd, in September last year, the emerging brand NARWAL launched its new sweep-and-mop robot J4. After brainstorming with Li Jiaqi's live streaming team, its engineers decided to break the conventional demonstration method by flipping the robot over to showcase its dust-collecting process at the bottom. This more vivid demonstration attracted over 10,000 consumers to place orders.

Moreover, the high quality of a live streaming room extends beyond the phone screen, encompassing the entire service chain from product selection, quality inspection to after-sales.

In the after-sales stage, while leading industry players have significantly improved their handling efficiency, only a handful offer 24/7 after-sales service.

As early as 2021, Li Jiaqi's live streaming room introduced the 'No. 1 Customer Service' model, and its regular customer service has been rapidly iterating in two main directions: extending service coverage to 365 days a year and 24/7, and improving response speed to 40 seconds across multiple channels.

The next area of intense competition in the industry is enhancing the quality of customer service consultations. Due to the diverse range of live e-commerce products and consumer demands, many consumers still struggle with customer service personnel who lack systematic knowledge in specialized fields and cannot address all inquiries.

In such cases, dedicated customer service personnel are needed to address consumers' questions.

However, the reality is that few agencies pay attention to this aspect. A rare example is MeiONE's launch of a beauty consultant hotline during the 618 Grand Promotion in 2023, staffed by specialists trained in multiple rounds of practical beauty knowledge and passing an internal certification with only a 10% pass rate.

Endless competition and upgrades may be the foundation for achieving high-quality live streaming. All of this is inseparable from anchors collaborating with various professionals and MCN agencies to link the entire live streaming process from pre-sales to after-sales, providing optimal solutions to consumers' needs and pain points.

3. Why is high-quality live streaming the 'must-have' option for future retail?

As the infrastructure of online retail, the advancement of the live e-commerce industry is driven by multiple factors such as quality, service, and trust, ultimately aiming to cultivate a high-value consumer group and inject new growth momentum into the retail market through high-quality consumption.

What sets the real-time feedback and behavioral data generated by a high-quality live stream apart?

In recent years, the new consumer brand Beneunder has primarily developed new products targeting consumers seeking high-quality lifestyles. In promoting the optimization of its 'Hot Skin' yoga pants, it leveraged real-time feedback from top live streaming rooms to drive supply chain developments, resulting in a more trendy 'dark green' variant that quickly accounted for 20% of overall sales after its launch. Beneunder mentioned that effective feedback is built on the large sample size collected from live streaming rooms and the high alignment between the demands of live streaming room users and Beneunder's brand positioning.

Image source: Beneunder Weibo

This authentic and accurate feedback better assists the retail supply chain system in optimizing product design and production plans based on the demands of high-value markets, enhancing agility in trend perception.

Similarly, the skincare brand Osmotics has collaborated with MeiONE to innovate formulas in the product development process, setting 52 strict testing standards for its 'Pearl White Essence Lotion' to meet young consumers' demands for higher-quality products.

The unmet needs of high-value consumer groups encompass not only more quality-price ratio products but also more life-like purchasing scenarios.

From the various explorations of industry players, extending into more segmented scenarios and forming a multi-layered anchor matrix, ultimately creating a concerted effort across the entire ecosystem, is the primary direction of effort for top players.

Among them, Yuemang Technology adopts a matrix approach, having established a multi-platform, multi-layered anchor matrix comprising over a hundred celebrities and influencers, conducting targeted live broadcasts based on different scenarios. Additionally, Yuemang Technology has refined its live streaming scenarios by deploying its business complex X27 offline.

MeiONE has also deployed a professional anchor matrix for various segments, but its more prominent advantage lies in its ability to create multi-scenario immersive live streaming rooms. In contrast to the simplistic and monotonous set-ups of ordinary live streaming rooms, MeiONE's rooms often feature intricate backdrops that replicate real-life scenarios.

More uniquely, during a single live broadcast, MeiONE often creates multiple set-ups targeting different usage scenarios. For example, Li Jiaqi's live streaming room has featured seven distinct scenarios, including 'Product Mechanism Display Area,' 'Outdoor Sports Area,' 'SPA Treatment Area,' 'Fashion Clothing Room,' 'All Girls' Living Room,' 'Bedroom,' and 'Kitchen.'

This 'what you see is what you get' model bridges the gap between the two ends of the phone screen, allowing consumers to more intuitively understand product usage effects, making it easier for them to make rational purchasing decisions and boosting traffic and sales in the live streaming room.

High-quality live streaming can alter the composition of consumers in the online retail market and even drive brand transformations within the industry.

Over the past few years, numerous brands have successfully accumulated goodwill and reputation through this approach. For instance, the skincare brand SK-II, after the popularity of 'slow live streaming,' shifted its focus to innovating live streaming content. It has since conducted in-depth conversational live streams on topics such as women seeking true selves and social value, once breaking the record for store broadcasts by achieving a 5-minute average viewing duration per user.

A similar story unfolds with Osmotics. Established in 1967, Osmotics underwent a complex brand transformation, effectively increasing the overall proportion of younger users through deep collaboration with MeiONE's top live streaming rooms and product quality improvements.

For example, in the program 'All Girls' Offer,' Osmotics successfully created the personified IP 'Pearl Grandpa,' which, with its sincere, adorable, and down-to-earth image, enhanced young consumers' attention to and identification with the brand's story.

A live streaming room that gathers high-quality consumers can also invisibly provide a stage for brands to tell their stories, thereby conveying product barriers, technical capabilities, or raw material advantages and opening up upward brand development paths.

The market is never static. In the evolution of the live e-commerce industry, consumers are shifting from cost-performance to quality-price ratio considerations, brands are moving from scale expansion to brand upgrading, and anchors and live e-commerce enterprises are transitioning from quantity growth to quality improvement. The industry trend is clear: high-quality live streaming rooms will become an essential component of future retail models.

Beneath the surface lies an undercurrent. The path traveled by live e-commerce is also a necessary process for the retail market's model iteration, technological innovation, and efficiency enhancement.