The rising of livestream business model: Insights fromthe case study of TikTok in the UK

Li, Honglei and Zhao, Jian Qin (2022) The rising of livestream business model: Insights fromthe case study of TikTok in the UK. In: Proceedings of The International Conference on Electronic Business: Volume 22. Proceedings of the International Conference on Electronic Business (ICEB), 22 . UNSPECIFIED, Bangkok, Thailand, pp. 535-543. ISBN 1683-0040

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Abstract

Consumer purchasing behaviours have experienced a revolution from offline shopping malls to social media Livestream during the last decade (Sorescu et al., 2011). This study adopts the case-study approach and an online focus group with the managers of TikTok trading business in the UK to examine how TikTok's retailing path can help brands or sellers build a close tie with consumers. This paper concludes with how the TikTok Livestream commercialization pathway impacts the conventional business model. Three conclusions are drawn from this study. Firstly, a video creator who holds the Intellectual Property of a TikTok account plays an essential role as the Livestream video influencer. They have created value for their followers and drive consumers' intention of purchasing behaviour. The livestream of video creators provides opportunities for consumers to interact with the video creator and other consumers. Secondly, Livestream video shopping breaks the limitations of offline physical space and attracts consumers efficiently. Thirdly, social e-commerce empowered by artificial intelligence technologies including image analysis and text analysis plays an essential role in targeting consumers and sustaining the operation of the Livestream shopping platform.

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