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How in-video commerce is becoming the next big thing

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How in-video commerce is becoming the next big thing

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As of 2019, India’s online video market had a 300 million strong user base. On the other hand, India’s e-commerce market has also witnessed a skyrocketing customer base and is expected to reach USD 200 billion by 2026. Now, place the two industries together, and we get shoppable videos.

How in-video commerce is becoming the next big thing
How many times have you wished to purchase that new pair of sneakers worn by a celebrity/model or the newly launched earphones that appeared in an ad that preceded an online video? For most of us, this is a ubiquitous experience. What if we could pause the video, tap on the product that appeals to us, and directly buy it without any hassles? This is in-video commerce. Online content platforms are transforming the way advertising is done, and shoppable videos are spearheading this change.
 Video content has gained immense traction as the most preferred form of entertainment, and the ongoing pandemic and lockdowns have spurred this further. Shoppable videos or in-video commerce is quickly becoming the simplest way to streamline sales and is the next big thing for brands looking to innovate their marketing efforts.
The perfect blend of e-commerce and digital content is set to revolutionize the way we shop in the future and open several doors for partnerships and brand engagements while improving customer experience. Let us delve deeper into how in-video commerce is becoming the next big thing in the media and e-commerce industries.
 Shoppable videos: The untapped gold mine for brands
 To truly understand the latent power of shoppable videos, let us first examine the video content industry. 2020 has seen a bountiful amount of video content.
With the rise in consumer demand, OTT platforms are racing to increase the amount of meaningful and relevant content on their platforms that is enough to last a lifetime. There is no shortage of content to consume, and India has one of the highest per-capita consumptions of data, with digital media driving the overall growth at a CAGR of 16 percent over the past two years.
As of 2019, India’s online video market had a 300 million strong user base. On the other hand, India’s e-commerce market has also witnessed a skyrocketing customer base and is expected to reach USD 200 billion by 2026. Now, place the two industries together, and we get shoppable videos.
Having recently entered the picture, shoppable videos are an untapped gold mine for brands.
The future belongs to those that bring an integrated and seamless shopping experience for customers. With clickable feature integration, consumers can now view the product on an e-commerce website while watching a video thanks to technology such as AR and VR.
Another reason for brands to capitalize on shoppable videos is the vast amount of data generated each second across the world. In today’s fast-changing world, data is the king for businesses. Shoppable videos offer an immersive and interactive experience to the consumer and give brands the key to unlock valuable user data through meaningful engagement.
 Particularly within the advertisement segment, brands in the media industry leverage the ‘shoppertainment’ factor in this new world of retail-entertainment.
Although this might appear to be a simple process, keeping consumers engaged in the video and not compromising on the shopping front can be a daunting task. This is where media tech platforms step in.
Driven by cutting-edge technology, media tech platforms ensure that content providers can merge both the elements together as one and offer a frictionless and unified end-to-end experience for the users. They act as aggregators between the content providers and the e-commerce platforms, thus bringing the ‘shoppertainment’ factor to life.
 The road ahead
 Without a doubt, video-based commerce is the future. Reports show that by 2021, people will spend 100 minutes per day on average watching online videos, and by 2022, approximately 80 percent of all consumer internet traffic will stem from video content. These statistics have made brands race to capitalize on blending commerce and video content, creating more shoppable videos.
Today, consumers are frequently on the lookout to streamline and enhance their experience and prefer instantaneous results. Shoppable videos offer just that in addition to an engaging, entertaining, and informative experience, making them a powerful way for brands to connect meaningfully with consumers through the medium of digital media.
--Vinayak Shrivastav is the Co-Founder and CEO of Toch. Views are personal.
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