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First-to-market strategic global partnership delivers livestream shopping solutions directly to brand websites enabling consumer experiences that drive conversion
NEW YORK, April 11, 2022 /PRNewswire/ -- Omnicom Group Inc. (NYSE: OMC) today announced a partnership with Firework, the world's largest livestream commerce and shoppable video platform provider. The partnership will give clients across all Omnicom agencies access to Firework's enterprise suite of proprietary short-form video and livestreaming technology, delivering shoppable livestreaming video directly to brand websites.
Omnicom is the first agency holding company to form a strategic partnership with Firework and gain this level of access to its platform.
In a recent study from Coresight Research, the U.S. livestream shopping category was projected to reach $11 billion by the end of 2021, and $25 billion by the end of 2023. This growth rate aligns with responses in Gartner's 2021 CMO Spend Survey, showing 26% of respondents are currently focused on livestreaming retail as a priority, and twice that number are expecting it to become a priority in the next 12 to 18 months.
Combining purchases of a featured product and audience participation through a chat function or reaction buttons, shoppable livestream—also known as live commerce—is transforming the retail industry. According to McKinsey, live commerce can help accelerate conversion, telescoping the customer journey from awareness to purchase, resulting in conversion rates up to 10 times higher than conventional e-commerce while also increasing brand appeal and expanding audience base, particularly among younger audiences.
By enabling livestream e-commerce on a brand's owned media - a capability that has historically been available only on social platforms - the Omnicom and Firework partnership gives clients the ability to provide frictionless consumer experiences that can accelerate conversion. And by enabling brands to build first-party data stores in a cookie-less world, marketers can deliver more relevant consumer experiences, boost conversion, and strengthen consumer relationships.
Seen through the wider commerce landscape lens, the partnership offers a single solution to help Omnicom clients adapt to critical changes in the marketplace, including the accelerated shift to e-commerce during the pandemic; the need to build deep, direct relationships with consumers in a cookie-less world; and meeting higher consumer expectations for connected personalization across a brand's owned, earned, and paid experiences.
"Brands today are in a race with the market to build the best commerce value proposition, while at the same time racing against the clock to build direct relationships with customers that will not simply replace cookies, but actually be more effective," says John Schorr, Managing Director, Commerce for Omnicom Media Group North America, which facilitated the partnership. "This agreement opens up a wide lead for Omnicom clients in these races, giving them technology that makes their websites and other owned destinations more shoppable, and helps them deliver the more personalized and relevant experiences that build stickiness."
The Omnicom/Firework news follows the March 14 announcement naming Frank Kochenash as the holding company's CEO eCommerce. Commenting on the partnership Kochenash said, "This collaboration exemplifies our mandate to build and innovate at the group level, driving the evolution and optimization of Omnicom's eCommerce offering across media, commerce and precision marketing. Our capability with Firework will enhance consumer interaction, optimize conversion and build invaluable direct connections throughout the purchase journey."
Under the terms of the partnership, Omnicom will also have first-look access to Firework beta products and research.
Summing up the goals of the partnership, Firework CEO Vincent Yang says, "As brands deal with concurrent seismic shifts in how they reach and engage with consumers, and how consumers buy their products, Omnicom and Firework will bring the full force of our combined strategic and technological expertise to turn these market-wide challenges into category-wide opportunities for Omnicom clients."
About Omnicom Group Inc.
Omnicom Group (www.omnicomgroup.com) is a leading global marketing and corporate communications company. Omnicom's branded networks and numerous specialty firms provide advertising, strategic media planning and buying, digital and interactive marketing, direct and promotional marketing, public relations and other specialty communications services to over 5,000 clients in more than 70 countries. Follow us on Twitter for the latest news.
Firework is the world's leading immersive "shoppertainment" platform with shoppable video, live streaming commerce and monetization capabilities powering over 600 direct-to-consumer brands, retailers and media publishers worldwide. Pandemic-accelerated, Firework has experienced 10x year-over-year growth, bringing TikTok-like interactive video experiences to your own website or app. Firework enables its customers to create and host native, shoppable video content for engaging product discovery, seamless shopping experiences and ultimately, a deeper emotional connection with consumers. The company is backed by IDG Capital, Lightspeed Venture Partners and GSR Ventures, with over $100 million in capital raised to date. To learn more, please visit firework.com.
SOURCE Omnicom Media Group