<![CDATA[Changes in consumer behavior towards digital have encouraged the birth of live commerce as an interactive marketing innovation. This study aims to analyze the mechanism of live commerce in increasing sales conversion and identify the factors for the success of its application to MSMEs in Indonesia. The method used is qualitative with a literature review approach. The scope of the study is focused on the use of the TikTok Shop, Shopee Live, and Instagram Live platforms by MSMEs in the trade and culinary sectors in the 2019–2023 period. The results of the study show that live commerce is able to transform sales conversion by more than 40%. This success is driven by two-way real-time interactions, live product demonstrations that build trust, and psychological stimulation of urgency through limited promos. In addition, the communication competence of the host, the readiness of the technical infrastructure, and the consistency of the broadcast are the main determining factors. This study concludes that live commerce is effective in cutting the psychological distance between sellers and buyers to optimize the sales performance of MSMEs.]]>
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