We live in an era of technology where people use social media to stay connected with their friends and family. In the current scenario of the COVID-19 pandemic, the trend of shopping has changed. Many social media users prefer to shop online instead of using traditional methods.
With this rapid change in shopping trends, social commerce is a popular trend among modern retailers. Brands are now using it to increase their customer pool by directly selling their products to new and existing customers.
To know what social commerce is, how it is changing your sales strategy, and what its impact will be on e-commerce, keep reading!
What Is Social Commerce?
Some brands are selling their products directly on social media instead of moving them to an e-commerce website. For example, you can click the product photo on Pinterest and complete the entire shopping process without leaving that website.
In 2020, the market for social commerce was estimated at $89.4billion. That’s why more retailers are interested in it.
Common Social Commerce Platforms
Many social media sites like Facebook, Instagram, Pinterest, and Snapchat allow retailers to sell their products on their platform directly. Customers can quickly learn about product features before buying on these social media.
Facebook for Business is one example that allows retailers to create a shop on Facebook and Instagram.
Another example is Pinterest. 83% of Pinterest active users buy a product based on the content they saw on Pinterest. This makes it a good platform for e-commerce. The “Buy It” button available on the Buyable Pins makes the process easier.
Snapchat and Tik Tok have also tested the buy it now features that directly allow users to buy from these platforms.
WhatsApp Business also has the feature to create a product catalog. Customers can directly buy products on WhatsApp Business. Companies can run ads to drive WhatsApp users to a brand’s website or mobile app to buy their products.
How to Get Started With This Trend?
Facebook, Pinterest, and Instagram are good platforms for social commerce. Instead of having a personal account, there are requirements of having a business account to sell a brands’ product on many of these platforms. To find eligibility criteria for a business account on Facebook or Pinterest, please refer to these links:
When choosing a platform, ask yourself:
- Whether you have an active business account on this platform already?
- Do you meet its eligibility requirements?
- Which platform fits your business’ needs?
After choosing a social platform to create a catalog for your product, add tags, call-to-action button, and run an ad to get customer engagement.
Examples Of Brands Running Successful Campaign Related To This Trend
Several brands are running their business successfully through social selling to generate more revenue. They are focused on getting better customer attention and personalized buyer experience from a new set of customers.
Let’s have a look at brands running successful social selling:
- MVMT Watches on Pinterest
Pinterest has 320 million monthly active users. And 35.5 million of those engage with fashion Pins. So it becomes a good platform for brands like MVMT. They promote their Pins using Pinterest’s shopping ads to reach more customers. In this way, they get a low cost per customer acquisition and increased conversion rate.
- Meller via Facebook
In just three years, Meller made a $60.5 million business with their optimized content after launching the company. They run simple ads through Facebook to get more customers.
- Marvel on Facebook Messenger
Marvel has a successful example of selling movie tickets online. They used chatbots on Facebook messenger to convert 53% of new users and 71 % of retargeted users to sell movie tickets.
- IPSY On Pinterest — The Power of Social Proof
IPSY has 1.6 million followers on Pinterest, and more than 10 million people view IPSY’s unique beauty products each month. It uses the “Tell a Friend” strategy to sell the products. IPSY also shares a link of its products via Facebook Messenger to gain more customers.
Top 5 Benefits Of Social Commerce
Here are some of the top benefits of selling on social media:
Boost Customer Engagement: Due to millions of active social media users, it’s very helpful for brands to interact with their customers efficiently. One example is customers using the hashtag strategy to post photos of the product they have bought. For instance, Audi uses the #WantAnR8 campaign to interact with customers and as a marketing tool.
Build Customer Trust and Loyalty: Customer interaction helps in building trust and loyalty with the company. Potential customers might be influenced by a business reaching out to them using ads.
Boost Sale Count: People remain active in their social circle. When they see products of their choice on a social media platform, it influences their buying choice. This boosts the average sales count.
Customers Community: Customers can easily interact and build a community bond with other customers about a specific brand or product. They can create or follow trends about a product or service.
Product Review and Sharing: Provide feedback or writing a review about a product is easy on social media. People may share news and information about a product or make recommendations to a friend. It builds trust for new customers.
Over To You
There you have it:
Social commerce: What is it, and how it will continue to grow in 2021.
Social selling will be popular for the next four to five years. If you are running a business, move to social media as millions of active social buyers are ready to boost your sales.
Social media has the power to attract customers. Just follow the best practices of social trends to compete in the marketplace and grab more customers.
I want to hear from you. What do you say about this trend? Please leave a comment!