Shoppable Video and the Customer Experience

As shoppers fill their shopping carts this season, many have added a new stop on their customer experience journey: online shoppable video. Whether through TikTok, Facebook or Instagram Reels, or a brand’s own website, 55% of consumers said they are embracing this new, more interactive form of shopping.

To better understand how brands, retailers, and platforms should think about where this new form of entertainment shopping fits on the customer journey, we tapped into the DISQO CX platform. 

But first, let’s define “shoppable video.” For the purpose of this article, we define it as live or prerecorded online video shopping events. This can include Facebook or Instagram Reels, where brands or influencers promote items that can be purchased, a video event on shopping platforms like Amazon or Walmart, or shoppable video events on brands’ own websites. Each of these various platforms offers a unique opportunity for brands, whether it’s increased engagement or extended reach, and each brings its own set of challenges, such as siloed measurement or limited consumer insight.

Who is the shoppable video watcher?

We learned that online video shopping is dominated by men, with 66% of male respondents saying that they had watched an event, compared to only 43% of female respondents who said the same. Today’s shoppable video watcher is highly educated with more than three-quarters having at least some post-secondary education and half (50%) of this subgroup having a post-graduate degree. 

Shoppable video watchers are highly educated

Regarding generational differences, the forgotten generation, Gen X is the most visible shoppable video watcher, comprising 37% of the group, with Millennials close behind at 31%, Boomers at 19%, Gen Z at 11%, and the Silent generation at 2%. Shoppable video watchers are also more likely to have children (64%). 

What motivates the shoppable video watcher?

We wanted to know more about what drove this shopper group to participate. Was it the entertainment value or were they more sensible about their motivations? With 42% of people who have shopped before saying that they participate in these events daily, and another 26% saying they participate weekly, it’s a highly engaged group for retailers, brands, and platforms to consider.

Shoppable video watchers participate often

While motivations differ across generations, income levels, and even genders, for our watchers, each demographic group aligns on the top motivator: the ability to pay through buy-now, pay-later (BNPL) services like Klarna or Affirm, followed closely by the familiarity and comfort of shopping via platforms with whom the shopper is already registered. The story changes, however, if we look at what would motivate our non-watchers to jump in and participate in shoppable videos. They are much more likely to be motivated by the products being something they needed or wanted and by familiarity and reputation of the event host.  Motivations differ between watchers and non-watchers

Even those who haven’t purchased yet, represent value

Consumers who have watched shoppable videos, but haven’t made a purchase yet still represent a valuable opportunity for brands. Because DISQO’s CX intelligence platform measures online activity, we can connect what people actually do online with what they say they say they do. Accordingly, we were able to look at the shopping cart value of our audience members across a multitude of retail sites to aggregate value per shopper over three months.

On average, the shopping cart value for people who said they had watched online shopping events during Q2 2022 was $10 higher, demonstrating that watchers (but-not-yet-shoppers) do spend online. It’s important to develop a deep understanding of these engaged customers to learn what it takes for conversion.Those who watch, but haven’t purchased yet spend more online

Key takeaways 

Historically measuring customer activity across siloed social media and retail platforms has been challenging, requiring a patchwork of data and methodologies. By tapping into DISQO’s proprietary, single-source audience, we were able to break through the silos and see that online shoppable video presents each of brands, retailers and social media platforms with unique and compelling ways to activate a shoppable video content strategy. It offers the ability to both engage with loyal customers and to attract new ones, but you must first know their needs and motivations and then meet them. This requires developing a thorough understanding of not just your customer, but every customer, to ensure you’re approaching them with the right content in the right place at the right time. 

  • If you’re a brand, consider hosting shoppable video on your website to engage with your loyal customers. 
  • You can convert non-watchers by appealing to their desires with products that meet their needs and wants. 
  • Just because a consumer hasn’t participated in an online shopping event with you, doesn’t mean there’s not value in converting them. 
  • Offer buy now, pay later, or other services that make the purchasing experience more convenient for your customers.
  • Online shoppable video should not be a one-and-done activation. Those who shop, do so often, so consider how you’ll keep them engaged in your content and consistently moving through your funnel.

Learn more about how DISQO helps brandsagencies and media understand every customer experience.

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