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Amazon Live is a feature on Amazon that allows brands to reach their target audience and promote upcoming sales and new products. Amazon Live is a QVC-style livestream that is used to boost product visibility as brands can demonstrate their products in real time while shoppers navigate the site. The feature is a channel for both sellers and vendors to join their customers in a shopping experience through real-time chats and shoppable product carousels, ultimately increasing engagement and conversation surrounding products. Brands can connect with their customers by utilizing the feature. They may even gain new ones. To learn more about Amazon Live and how you can utilize the feature, continue reading.
What Is Amazon Live?
Individuals and brands alike can host on Amazon Live to engage with shoppers in real-time. This is a way to showcase products as a part of their customers’ shopping experience. Brands can even pay to have a host discuss their products on a live show. For example, a host can promote a Lighting Deal or Fashion Find on their live broadcast. Sellers can broadcast their own live shows through a new app by Amazon called the Amazon Live Creator. Shoppers can view live streams on their website through this feature to engage with their customers in the moment through a live chat.
Who Can Use Amazon Live in the United States?
In the United States, access to Amazon Live is governed by Amazon’s Brand Registry participation requirements, as vendors and sellers must meet specific conditions in order to utilize the feature. Meeting these requirements is integral for account safety and compliance.
Eligibility Requirements for Amazon Live
- Active enrollment in Amazon Brand Registry
- Must sell products through the U.S. Amazon marketplace
- Accounts must be in compliance with advertising, content, and product policies
- Must have an active Amazon seller or vendor account in good standing
How Does Amazon Live Support Product Discovery and Sales?
Amazon Live can help brands influence buyers during the initial purchasing process through education, entertainment, and a sense of urgency. As such, brands use this feature to:
- Demonstrate product features and how to use them in the real world
- Answer questions immediately, reducing hesitancy from buyers
- Showcase Lightning Deals and other limited-time or special offers
When utilized consistently by brands, Amazon Live can have a direct impact on conversion rates and sales by reducing buyer hesitation and showing the use of the product beyond static images. This can ultimately result in more confidence for buyers who may engage with the product page longer, resulting in visibility boosts.
How Can I Start Using Amazon Live for My Brand?
Eligible vendors and sellers who are brand-registered can enjoy simple steps with minimal setup for their Amazon Live feature.
Step-by-Step Setup Process
- Download the Amazon Live Creator mobile app (iOS)
- Decide which products from your catalog you would like to feature in the live stream
- Go live or schedule to go live at a later time
- Begin streaming using your mobile device or an external camera set up
Live streaming your products on the Amazon Live self-service option comes at no cost. Your live stream will be accessible to shoppers on your product detail page, Amazon.com, and the Amazon app. All live streams can be found on Amazon.com/live. To get started with this new feature today, download the mobile app.
Strategic Ways Brands Utilize Amazon Live
While Amazon Live is especially helpful for shoppers to see how the product works, many sellers use this feature as a means of growing their reputation and visibility.
Common High Impact Uses
- Launching a new product with full walkthroughs
- Supporting promotions, especially those in conjunction with holidays or Prime events
- Pairing livestreams with Amazon ads
- Reinforcing brand trust through face-to-camera engagement
Compliance and Financial Considerations for Amazon Live Sellers
As mentioned, Amazon Live is free to use. While your account must first meet the eligibility requirements, you will not be required to pay any fees to utilize this feature. However, the revenue you earn through these livestream sales will still have tax and accounting implications.
For example, sales generated from livestreams may be misclassified or underreported if they are not tracked properly from standard Amazon sales activity. As such, this can lead to significant issues in income reporting, expense matching, and state sales tax for promotions to consumers across the U.S.
As such, if you are considering using this feature on Amazon, you may wish to consider:
- Property income tracking from sales driven by live-streams
- Multi-state sales tax implications across the United States
- Accurate expense classification for production and promotion codes
Contact Our Competent Accounting Team Today
If you are an Amazon seller and require the assistance of an experienced Certified Public Accountant, please contact Ebiz Accounting for an initial consultation. We provide Amazon business accounting services to clients in New York and throughout the United States. All Amazon sellers should have an accountant they can trust. If you are looking to expand your business or form a new one, do not hesitate to reach out to our knowledgeable team today.
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