What lies behind the USD3 million live stream in Vietnam?

What lies behind the USD3 million live stream in Vietnam?

Recently, a TikTok live stream in Vietnam generated a remarkable VND75 billion sales revenue during a single session, equivalent to approximately USD3 million. RMIT experts shed light on the burgeoning trend of live stream in Vietnam.

Dr Jasper Teow (left) and Dr Alrence Halibas (right), RMIT Vietnam Dr Jasper Teow (left) and Dr Alrence Halibas (right), RMIT Vietnam

From a digital marketing perspective, Dr Alrence Halibas, Senior Lecturer in Digital Marketing at RMIT Vietnam, said that the success of this phenomenon can be attributed to targeting the right customer, utilising the right channel, delivering the right message, and timing it effectively.

“Right customer means the TikTok account Quyền Leo Daily effectively targeted its ideal customer base by consistently creating content tailored to family-oriented individuals with stable incomes and significant purchasing power”, said Dr Halibas. 

Meanwhile, right channel refers to the fact that there are now almost 50 million TikTok users in Vietnam, thus, TikTok proved to be the ideal platform for this live stream event. Dr Halibas added that utilising TikTok's live streaming feature allowed Quyền Leo Daily to reach a large audience and capitalise on the platform's interactive and engaging nature to drive sales.

In terms of the right message, pre-live stream promotion played a crucial role in generating anticipation and excitement among viewers. “By leveraging well-known influencers and teasing exclusive deals, Quyền Leo Daily effectively communicated the value proposition of attending the live stream event. During the live stream, they continued to deliver the right message by presenting highly attractive deals. 

“This strategic approach aligns seamlessly with the preferences of consumers in Vietnam, who are known to be price-sensitive and value-conscious,” Dr Halibas said.

She further elaborated on the right timing factor. The timing of the live stream event coincided with promotional activities on TikTok Shop and memorable dates such as 2.2, 3.3, or 4.4.  

“This strategic timing helped capitalise on consumer behaviour patterns and the habit of checking the platform for sales during these periods. Additionally, the 13-hour duration of the live stream ensured that it provided ample opportunities for engagement and sales.”

RMIT Lecturer in Digital Marketing Dr Jasper Teow provided insights from a consumer behaviour perspective. He highlighted three fundamental elements comprising trust, scarcity, and likeability. 

Dr Teow said, “the groundwork for this successful live stream was laid long before the event”. It started with Quyền Leo Daily creating consistent, relatable and authentic content, which established a sense of connection and trust with their audience. “This trust made viewers more receptive to their product recommendations and discounts during the live stream, increasing their purchase intentions,” he explained.

Besides, the live stream successfully utilised scarcity tactics in terms of time (“limited-time exclusive discounts”) and quantity (“while stocks last”), creating a sense of urgency or the fear of missing out (FOMO) in consumers. “This leads to consumers adopting an automatic, “buy first, think later” mindset, which makes them more susceptible to making impulsive, instant purchases,” said Dr Teow. 

In a traditional marketplace, these constant sales pitches and marketing tactics may be viewed as annoying, pushy or pressurising. This was not the case in the live stream’s dynamic. Dr Teow pointed out that the likeability and “star power” of influencers and KOLs, with their followers egging them on with likes and comments, cannot be overstated. 

“Overall, this dynamic interaction with their viewers created a positive selling momentum that contributed to the record-breaking sales revenue,” Dr Teow said. 

Brands can learn from Quyền Leo Daily’s exceptional live stream to boost their online sales (image: Freepik). Brands can learn from Quyền Leo Daily’s exceptional live stream to boost their online sales (image: Freepik).

Insights for brands to amplify online sales performance

Dr Alrence Halibas suggested that one strategy for brands is to invest in influencer marketing, utilising influencers to expand their reach and boost engagement.  

Echoing Dr Halibas's sentiment, Dr Jasper Teow also underscored the significance of influencer marketing. According to him, brands should ensure that the chosen content creators are the right "face for the space”.

Dr Halibas said “Ideally, these should be influencers who can provide compelling, authentic narratives to engage their followers, and can speak about the products or product category with genuine passion and/or subject matter expertise. Combining prior influence with consumer psychology tactics would significantly increase the chances of successful online sales campaigns. 

“Providing exclusive deals and promotions can encourage consumers to make purchases while watching live stream events. Brands should prioritise developing captivating and interactive content to attract and retain viewers' attention throughout live streams.

“Likewise, it is important to create anticipation through pre-event promotion to spark excitement and build anticipation among viewers,” Dr Halibas explained.  

Moreover, they can utilise consumer psychology, like FOMO, to prompt immediate action from viewers.

Will another record be set?

Dr Halibas anticipated that this record will likely be surpassed in the future. This live stream event's success marks the start of a viral live stream trend in Vietnam. 

“With the ongoing evolution of digital platforms and the changing consumer behaviour towards online shopping and entertainment, more brands and influencers will likely utilise live streaming to effectively connect with their audiences and boost sales,” Dr Halibas said.  

Dr Teow also saw the possibility, given the increasing prominence of live streaming and influencer marketing in Vietnam. 

“Followers/fans/friends/family of different influencers may be motivated to see their favourite influencer succeed, which may lead to “competitions” between influencer communities and increasingly higher sales records,” he noted.  

However, as competition intensifies, businesses should note that an oversaturation of live stream events may lead to consumer fatigue. “It will be up to brands to come up with more innovative and creative methods to maintain consumer interest and engagement in these events,” Dr Teow concluded.

Story: June Pham

15 March 2024

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