Optimal Live Streaming Strategy Selection Considering Consumer Returns

Shumin Liang ()
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Shumin Liang: Shandong Normal University, School of Business

A chapter in Proceedings of 2025 2nd International Conference on Applied Economics, Management Science and Social Development (AEMSS 2025), 2025, pp 105-113 from Springer

Abstract: Abstract This study explores the optimal live-streaming strategy for brands while considering consumer return risks. By comparing the demand, return volume, and profitability under influencer live-streaming and brand-owned live-streaming models, we analyze their ability to mitigate return risks and identify the most effective strategy. Using mathematical modeling and numerical simulations, we examine key influencing factors such as influencer impact, commission rate, and return cost. And unit return cost are critical factors influencing demand differences between the two models. While fluences can effectively boost demand, their advantage diminishes as re-turn costs rise, making the brand-owned model preferable in high-return-cost scenarios. Additionally, commission rate and return cost significantly affect return volume, influencing the choice of the optimal model. Brands should also consider baseline return volume differences and fixed cost gaps when selecting a live-streaming strategy.

Keywords: Live-streaming e-commerce; Pricing strategy; Product returns; Live-streaming strategy (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:advbcp:978-94-6463-752-6_11

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DOI: 10.2991/978-94-6463-752-6_11

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