Brockhampton, a hip-hop group, will perform at the Coachella concert. Viewers can stream the festival live on YouTube and purchase a commemorative T-shirt.
Viewers will be able to click on a link or scan the Q.R. code to purchase Brockhampton shirts from Coachella’s shop during the performance. This is all without having to leave the live-streamed concert.
YouTube will sell exclusive merchandise for the Coachella Livestream for the first time. This is part of an effort by YouTube to improve the viewing experience at home.
YouTube viewers can also shop and view short-form videos created by Kaiti Yoo and Larry at Coachella via their YouTube channels. Fans can join a live chat during live stream performances.
Lyor Cohen, YouTube’s global head for music, stated that “We are always trying to deepen our roots [with] fans/artists and one of the best methods that you could do it” is merchandise. “The idea behind exclusive merchandise drops was to allow fans and artists to have more connections.”
Google’s social video giant, which Google owns, has hosted live concerts for years to attract viewers and advertising dollars. The company wants to increase its online presence to attract more people to its live events.
YouTube launched the “YouTube holiday stream and shop” last week. Creators market products from retailers such as Walmart, Samsung, and Verizon.
The popularity of purchasing products through links via social media increased during the pandemic. This was because consumers switched to shopping online over buying in-stores.
According to research firm eMarketer, the U.S. is expected to see a 25% increase in social media sales to $45.74 billion. According to an Insider Intelligence survey, half of U.S. social-media users reported that they had purchased something via a social network site within the past 12 months.
According to Insider Intelligence, YouTube was third in popularity for shopping online, with 16% choosing the Google-owned video company.
According to Mike Chapman (partner at Kearney management consulting firm), Gen Z is a loose definition of people born between 1997 and 2007. They are twice as likely as other Gen Z members to purchase something based on what influential people say. Chapman said that Gen Z consumers are more likely to ask lots of questions about their purchases, and they tend to be impulse buyers.
Chapman stated that live streaming is a way to interact with consumers and validate their questions before purchasing. This is a different approach than traditional eCommerce.
TikTok, Instagram, and Facebook all offer tools that enable creators and businesses of social media to display images or links to products that viewers can click to buy during live streams. There are many start-ups in the live streaming retail space. These include L.A.’s NTWRK, which received $50 million last year, and ShopThing in Toronto, which received $10 million in a Series A round.
Amazon also tries to connect its retail business with original programming. Amazon Prime Video’s “Making the Cut,” a series about fashion design, features clothing that can be purchased on Amazon’s website.
Bridget Dolan, Managing Director of YouTube Shopping Partnerships, stated that the idea behind selling Coachella merchandise was to allow viewers to purchase a T-shirt from the concert or other merchandise to commemorate the experience.
Dolan stated, “When you have livestream experiences, that was probably one of the most missing elements, was the idea you actually participated. You watched it live and saw the artists come on stage and interact with you, and that’s what makes it special.”
She stated that the Brockhampton shirts she sold during Coachella would only be available to those who could watch the Livestream. Performers like Flume and Billie Eilish will sell exclusive merchandise during YouTube’s Coachella Livestream.
YouTube has an exclusive deal with Goldenvoice, the promoter of Coachella. It will stream the music festival exclusively through YouTube. This has been happening since 2011.
YouTube declined to comment, but both companies saw the benefits. YouTube reported that it received 82.9 million views during the first weekend at Coachella 2019, the last Coachella event. This was due to the COVID-19 epidemic. More consumers are now used to streaming entertainment from home.
Sophia Chu (center) talks to viewers of ShopShops’ live stream. ShopShops, a Chinese start-up, live streams QVC-style events at American fashion boutiques.
Paul Tollett (President and CEO of Coachella) said, “It’s been amazing to see the performances at our festival being shared with fans around the globe,”
It can be hard to get tickets for Coachella because of the high demand. The festival is held over two weekends at Indio. Cohen stated that making parts of the festival live streamable allows for more people to view it from their homes, which has, in turn, increased awareness about the festival.
Cohen stated that live streaming offers endless possibilities. It helped to create Coachella’s global brand.
YouTube is expanding its YouTube Originals collection of original T.V. programs and films to include shopping.
The San Bruno-based company makes its money primarily through advertising. It generated $8.6 Billion in advertising revenue in the fourth quarter of 2014, an increase of 25%. Analysts believe that live-streamed shopping will be a promising area for growth.
YouTube does not receive any revenue from live shopping experiences.
Dolan stated, “We are testing and experimenting so many that right now we really just want it to be right before we figure out our exact business model.”
