Investigating the live streaming sales from the perspective of the ecosystem: the structures, processes and value flow

Abstract

Purpose

Live streaming sales (LSS) is an emerging and flourishing practice in the retail industry. While its implementation has been pervasively attempted, there is a lack of systematic and academic exploration of the practice. Therefore, the aim of this study was to investigate the LSS ecosystem and its development through a literature review and an industry analysis. Moreover, by pinpointing the pitfalls in current practices, this paper presents the practical implications of LSS and provides recommendations and directions for future academic exploration.

Design/methodology/approach

The aim of the present study was to investigate the developing trajectory, exclusive elements (such as multi-channel networks (MCNs) and live streamers) and other critical components of the LSS ecosystem using a mixed-methods approach that comprises content analysis of newspaper articles and press releases, literature view and industry analysis.

Findings

The results of the analyses indicate the presence of several nonfungible modular components in the LSS ecosystem, including upstream suppliers, MCNs, live streamers and platforms. It was also found that inequalities and hierarchies are inherent to the LSS ecosystem as it currently exists: low-end participants in the LSS industry and small- and medium-sized enterprise owners, who constitute the majority of LSS practitioners, cannot reach the break-even point via LSS hosted by top-level live streamers or others (low-level live streamers, employees, etc.).

Originality/value

This article discusses the LSS ecosystem based on the nature of the nonfungible modules within it. In addition, it discusses the modules (roles) and relationships among them based on the theory of ecosystem developed by previous studies. Furthermore, drawing from an analysis of the pitfalls in the LSS ecosystem, this article highlights strategies for two critical e-commerce processes: 1) choosing which type of LSS to apply based on the factors of brands, products and consumers and 2) integrating LSS to optimize post-sale service and appeal to the sustainability of development.

Citation

Xue, J. and Liu, M.T. (2023), "Investigating the live streaming sales from the perspective of the ecosystem: the structures, processes and value flow", Asia Pacific Journal of Marketing and Logistics, Vol. 35 No. 5, pp. 1157-1186. https://doi.org/10.1108/APJML-11-2021-0822