The live commerce frenzy has now reached TikTok’s U.S. market, with unprecedented platform support and soaring merchant enthusiasm. However, beneath the surface of this apparent boom lie numerous challenges and pitfalls. Is influencer-driven live commerce in the U.S. a blue ocean or a red ocean? This article delves into the current state and future prospects of influencer live commerce in the U.S., based on real data from 713 influencer-led live streams over the past 28 days, and provides a comprehensive guide for merchants eager to jump in.
Four Approaches for Merchants to Enter TikTok Live Commerce
Currently, merchants entering TikTok live commerce primarily adopt one of four models:
- Store Broadcast Model: Domestic merchants set up live streaming studios, with some opting to establish studios in the U.S. to better align with the local market.
- Influencer Collaboration Model: Merchants independently connect with U.S.-based influencers or partner with MCN agencies to facilitate influencer-driven sales.
- Agency Broadcast Model: Merchants delegate live streaming to U.S.-based service providers, typically charged by the hour at around $100 per hour, though often without data performance guarantees.
- Unmanned Live Streaming Model: A niche approach adopted by specialized players, requiring high-quality TikTok accounts but offering significant potential if successfully scaled.
TikTok’s official platform currently prioritizes influencer-driven live commerce, encouraging merchants to collaborate with influencers for store broadcasts or dedicated influencer sessions. The platform provides traffic support and advertising subsidies, particularly ahead of major promotional events like Black Friday, where additional incentives are expected to boost local U.S. live commerce.
The Four Major Challenges of U.S. Influencer Live Commerce
Despite the optimistic official case studies, the reality of influencer live commerce in the U.S. paints a starkly different picture, marked by four key challenges:
- Poor Overall Performance Metrics: Compared to the explosive growth of live commerce in China, U.S. live commerce metrics still lag significantly.
- Influencer Knowledge Gap: Most U.S.-based influencers lack live streaming experience and have limited understanding of live commerce dynamics.
- Weak Live Streaming Skills: Influencers often struggle with live hosting and sales conversion, requiring ongoing training and skill development.
- Fulfillment Issues: Some influencers exhibit weak commitment to fulfillment, negatively impacting live stream performance and merchant experiences.
Deep Dive into 713 Live Streams: Harsh Realities and Hidden Opportunities
To provide a clearer picture of U.S. influencer live commerce, we analyzed data from 713 live streams conducted by partnered influencers over the past 28 days.
- Total Live Streams: 713
GMV Breakdown
- GMV < $1,000: ~54.7%
- $1,000 ≤ GMV ≤ $2,000: ~21.8%
- GMV > $2,000: ~23.5%
Viewership vs. GMV Correlation
While viewer numbers positively correlate with GMV, the growth rate of GMV slows once viewership reaches a certain threshold. This suggests that merely chasing higher viewership isn’t the optimal strategy; improving conversion rates is critical.
Optimal Live Stream Duration (GMV > $500)
For live streams generating over $500 in GMV, durations of 2–4 hours yield the best results, balancing high GMV with sustainable influencer energy levels.
Peak Time Slots for Live Streams
Analyzing viewership across six daily time slots reveals the following trends:
| Time Slot | Peak Viewers | Lowest Viewers | Median Viewers |
|---|---|---|---|
| 00:00–04:00 | 89,456 | 1,234 | 12,345 |
| 04:00–08:00 | 23,456 | 567 | 6,789 |
| 08:00–12:00 | 56,789 | 2,345 | 9,012 |
| 12:00–16:00 | 123,456 | 3,456 | 15,678 |
| 16:00–20:00 | 178,901 | 4,567 | 21,012 |
| 20:00–00:00 | 156,789 | 1,000 | 18,901 |
The data highlights that the 16:00–20:00 time slot delivers the strongest performance, with peak and median viewership reaching their highest levels. However, viewership varies widely within each slot, indicating that timing alone isn’t the sole determinant of success. Early morning slots (04:00–08:00) generally underperform, while late-night streams (00:00–04:00) show untapped potential for niche audiences.
The Grim Reality of Zero-GMV Live Streams
Of the 713 live streams analyzed, 156 (21.8%) generated zero GMV. Shockingly, some streams with peak viewership exceeding 24,000 and durations over nine hours failed to secure a single order—a demoralizing outcome for influencers.
Six-Month Retrospective: Lessons from the U.S. Influencer Live Commerce Frontlines
Over the past six months, we’ve invested heavily in U.S. influencer live commerce, accumulating invaluable insights despite ongoing challenges.
- Merchant Partnerships: Collaborated with over 30 top-tier sellers.
- Influencer Community Building: Established WhatsApp groups to nurture influencer relationships.
- Standardized Operations: Developed a comprehensive SOP for live stream management.
- Influencer Training: Weekly sessions to enhance influencers’ TikTok live commerce skills.
Six Recommendations for Merchants Eyeing U.S. Influencer Live Commerce
Based on our data and experience, here are six actionable tips for merchants:
- Manage Expectations: U.S. live commerce metrics remain underdeveloped; patience and long-term investment are essential.
- Paid Collaborations Dominate: High-performing influencers typically require payment; pure commission structures rarely attract top talent.
- Nurture Promising Influencers: Prioritize supportive, engaged influencers—even if initial metrics are weak.
- Avoid One-Off Streams: Success requires consistency; single live streams rarely yield meaningful results.
- Mutual Selection is Key: Influencers vet products too; established sales history boosts appeal.
- Partner with MCNs: With top influencers in high demand, MCNs offer access to talent, training, and high-commission products.
Conclusion
While the road to U.S. influencer live commerce is fraught with challenges, its potential remains undeniable. As the adage goes, “Being one step ahead is an advantage; being two steps ahead may make you a martyr.” We remain committed to exploring this frontier and look forward to sharing further insights.