Live streaming has transformed into a major revenue source for the jewelry industry, enabling manufacturers to boost sales and connect with tech-savvy consumers globally.
A few years ago, filming at jewelry trade shows was prohibited. Now, many vendors actively encourage live streams, marking a major shift in the industry. Initially used as a survival tactic during the pandemic, live streaming has become a lucrative business model embraced by small and large jewelers alike.
The Evolution of Live Commerce
KGK Group began live streaming during the pandemic, responding to the surge in online shopping and consumers’ demand for interactive experiences. Similarly, Vithal Trading had been engaging live streamers on platforms like WeChat even before COVID-19, leveraging the reach of local streamers during travel restrictions.
The strategies vary. While some, like Thailand’s Hatai Gems and Jewelry, collaborate with streamers globally, others, such as Zhejiang Minghuang Jewelry in China, focus on multi-platform branding through apps like Douyin, Tmall, and Xiaohongshu.
Expanding Global Reach
Live streaming has opened doors to new markets. Vithal Trading collaborates with over 200 live streamers across regions like China, the Philippines, and Vietnam. Filipino streamers, fluent in multiple languages, are instrumental in reaching diverse audiences, from Japanese housewives to consumers in the U.S., Spain, and the UAE.
For KGK, live streaming has proven especially effective in markets like the U.S., China, and Japan. The real-time interactivity builds trust with buyers, while the excitement of limited-time offers adds a unique allure for viewers.
Driving Sales and Building Trust
Live streaming has become a significant revenue driver. For KGK, mid-range to high-end jewelry, such as intricate necklaces and gemstone-adorned bracelets, performs exceptionally well. By presenting detailed product descriptions and high-quality demonstrations, KGK has minimized return rates and maximized customer confidence.
Chinese jewelry retailer Yuanmei Pearl reported that live streaming accounted for 80% of its total sales by 2024. Short videos now serve as pre-sale tools, drawing audiences to live events and boosting conversions.
Overcoming Challenges
Despite its success, live streaming faces hurdles like high return rates and consumer mistrust due to misleading claims or counterfeit products. Retailers are addressing these issues with transparent product descriptions, quality controls, and enhanced consumer education during live sessions.
Logistics and coordination also present challenges. Managing cross-time-zone streams while ensuring consistent quality across markets requires meticulous planning.
The Future of Live Streaming in Jewelry
As demand for live streaming grows, jewelers are strengthening collaborations with influencers and expanding to untapped markets. For many, live streaming has evolved into a vibrant and indispensable sales channel, offering immense growth potential for the future.