Fly with the wings of live‐stream selling—Channel strategies with/without switching demand

Live‐stream selling is becoming increasingly popular in e‐commerce platforms, where streamers sell products through real‐time interactions, while consumers make purchases during live‐stream time. We identify several important factors to evaluate the live‐stream selling: (1) the streamer's ability to sell , which brings an extra value to consumers through real‐time illustrations and social interactions; (2) whether the extra value is positively or negatively correlated to consumers’ preference value; and (3) consumers’ cost to purchase through the live‐stream channel since consumers have to participate in the live‐stream show during a fixed time. We find that adding a live‐stream channel is profit‐enhancing…

• NN
  National Natural Science Foundation of China

  Award: 72171132