Live Shopping’s Untapped Potential: Why US Retailers Risk Falling Behind Global Competitors

The holiday shopping season is well underway. While U.S. retail giants such as Walmart, Target, and Best Buy leaned into their annual October sales rollout, foreign competitors like Shein have taken a different, more innovative, route by using video commerce to engage directly with U.S. consumers, leading to increased conversion. TikTok is also making waves with TikTok Shop, offering a robust social commerce experience aimed at turning its 170 million American users into active shoppers.

This stark contrast in strategies sets the stage for a holiday shopping season that could redefine what success looks like for the biggest shopping event of the year. Countless U.S. brands have missed the chance to engage deeply with their customers and capitalize on cutting-edge commerce innovations designed to elevate their sales strategies. Major American retailers are sticking to outdated playbooks, failing to adapt and leverage these channels to their full potential.

The gap between consumer enthusiasm for direct engagement and brands' slow adoption of such formats highlights a misalignment. U.S. enterprise brands that hesitate to embrace these innovative approaches risk losing their competitive edge to faster-moving foreign competitors in their own market.

Generational Insights: Who’s Live Shopping?

A survey by VTEX revealed that 45 percent of U.S. consumers aged 18 and older participated in live shopping events over the past year. This signifies growing consumer interest in a format that combines real-time interaction with the convenience of online shopping. Live shopping is becoming an integral part of how Americans want to shop.

Moreover, 61 percent of consumers have browsed or purchased through social video commerce channels such as Facebook Live, TikTok Shop, YouTube, or Instagram Reels within the last year. These platforms aren’t supplementary anymore — they're central to modern shopping habits.

Generational engagement with video content on social platforms reveals that Gen Z leads the charge, with 83 percent interacting with video content. Despite not yet reaching their full economic potential, this generation wields $360 billion in spending power in the U.S. alone. Their preferences are shaping the future of consumer engagement and will have lasting implications on how brands should market and sell their products.

The Opportunity for US Brands

While beauty and fashion brands have pioneered live commerce, other sectors like home improvement and tech have only begun to scratch the surface of its potential. These industries can use live commerce to offer real-time demonstrations, expert advice, and interactive Q&A sessions. For example, home improvement brands could walk consumers through projects step-by-step, while tech brands could offer in-depth product tutorials and demos.

A notable insight is the dominance of men in live commerce engagement. Forty-eight percent of men have participated in live-streamed events, compared to 42 percent of women. Men also place significant value on discovering new products through live shopping, with 31 percent identifying this as a primary benefit. This creates a strategic opportunity for brands with predominantly male audiences — particularly tech and electronics — to tailor their strategies to tap into this highly engaged demographic.

When consumers are emotionally connected through live or video content, they tend to stay longer and shop more. This “content-based” approach has become more attractive as the cost of producing live commerce content decreases, making it a financially smart investment for brands willing to commit fully.

The Need for Consistency and Visibility

Despite consumer demand, many U.S. brands continue to underdeliver on live shopping opportunities. An impressive 55 percent of consumers said they would engage more frequently if live shopping options were consistently available, emphasizing that brands must incorporate live shopping into their long-term growth strategies rather than treat it as a one-off experiment.

Data reveals a disconnect: 38 percent of consumers aren’t sure if their favorite brands offer video commerce. Meanwhile, 28 percent of marketers agree that live shopping provides the best return on investment, but inconsistent engagement leaves consumers wanting more. To meet these growing expectations, brands need to position live shopping as a key pillar of their communication and community engagement strategy.

The Rise of Concierge Commerce

To create consistency in live commerce, U.S. brands must first understand the broader trends driving this channel. Live shopping isn't an isolated innovation; it's part of a larger consumer shift toward real-time, direct interaction with brands. This trend has evolved into what VTEX refers to as "concierge commerce.”

Live shopping and personalized experiences are part of this broader trend. Driven by rising consumer demand for real-time, direct interactions, concierge commerce allows for enterprises to engage with customers in new, profitable ways. Brands like Samsung have successfully used this model, achieving a 192 percent increase in website sessions and a 129 percent rise in items added to carts during a single event. These interactions boost engagement and lead to informed, immediate purchases, underscoring the profitability of this trend.

Concierge commerce isn’t just for consumers — it’s a game-changer for corporate buyers in B2B commerce. Gartner predicts that 80 percent of B2B sales interactions will be digital by 2025, enabling B2B sellers to guide buyers through high-investment decisions remotely, building trust and improving the decision-making process.

The Path Forward

For U.S. enterprise brands hesitant to dive into live shopping — or more broadly, concierge commerce — the key to success lies in investing in their audience and crafting engaging, personalized experiences. Even when immediate purchases aren’t made, live shopping significantly enhances brand discovery and consumer engagement. This is why U.S. brands and retailers should continue to experiment with live shopping as a powerful brand-building tool.

The real challenge for U.S. enterprise brands is overcoming internal barriers and being agile enough to adopt strategies that fully leverage the evolving innovations and channels. They must align with consumer behavior and seize the huge opportunities concierge commerce presents. The stage is set for live shopping to soar. Will U.S. brands seize the momentum or allow global competitors to outpace them on their own turf?

Santiago Naranjo is the chief revenue officer of VTEX, a composable and complete commerce platform.