India's live commerce industry to reach US$ 4 billion - US$ 5 billion by 2025: report
- IBEF
- June 15, 2021
On Monday, according to a new report, live commerce market in India is expected to register a gross merchandise value (GMV) of US$ 4 billion - US$ 5 billion by 2025, driven by beauty and personal care (BPC) products.
Beauty and personal care (BPC) category is expected to increase the highest with > US$ 1 billion GMV in live commerce market.
According to report by RedSeer, a market research firm, fashion is expected to add 60-70% of the GMV while BPC is expected to add 30-40%.
Live commerce is a type of online shopping where shoppers purchase through live streaming video events.
Content is transforming in a way where it is shifting the consumer’s trend of online shopping.
The report highlighted, “At present, brands are adopting campaign approach that run through 1-2 says and capture number of views and backed by celebrity endorsements on TikTok, Instagram Reels, etc.”
Brands such as BYJU's, Flipkart, Myntra, target youngsters and small towns have campaigned on these platforms while celebrities such as Mr. Amitabh Bachchan, Ms. Alia Bhatt, Ms. Shilpa Shetty, etc. have endorsed these campaigns.
As an alternative strategy to aboard new customers, brands are now exploring live commerce on their platforms and on ‘Short-form’ platforms.
As per the report, ’Short-form’ content is the fastest growing content in India as well as globally and is expected to primarily drive live commerce market up to US$ 2.5 – US$ 3 billion by 2025. The market is expected to register a 3X growth in customers in the next five years in India.
The report added, “So far large marketplaces have not commenced live commerce but combining it can absolutely be a success. Vertical players are soon projected to commence live commerce.”
As per the report, India is expected to offer a significant large market for live commerce in the years to come.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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