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Social Commerce: How Social Media Platforms are Transforming E-commerce

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First we had markets, then super markets, then online shopping now people are buying products straight from social media! The world really has advanced as of late. Every platform is ready and willing to become an essential step of the customer journey. Not too long ago we were following links on social media from our favourite brands, now we need not even leave our feed. Yes, social media is, indeed, transforming the world of e-commerce. Aptly referred to as Social Commerce, this new method of purchasing speaks to those seeking convenience, impulse buys, and those not wanting to leave the comforting arms of the entertainment available on social media.  So, let’s take a deeper look at social commerce.

Social Commerce

What Drives Social Commerce?

Social media, as we all know, has transformed the face of marketing. With so many new ways to reach our audiences and learn more about them, social media really is the next step in the marketing world. Let’s take a look at those key features that have driven us towards a world in which social commerce exists.

Data, Analytics and Advertising

Social media is a place where everyone wants the world to know everything about them, down to what they ate this morning for breakfast, yes, usually with pictures. There is a whole host of information available on the platforms, from the usual stuff such as name, age, and location to the more advanced things like topics they are interested in, preferences and consumer behaviour. Almost everything you do on social media records data and helps companies personalize ad experiences further to cater to you as an individual. With this kind of knowledge available on social media, it would be foolish not to take advantage of it and introduce direct selling of some kind. And with the adoption of AI, we can now throw super-powered predictive analysis into the mix. This will allow us to not only know what our consumers want at this moment but also forecast what they want to see from us in the future. Companies are now able to enhance personalization by delivering tailor-made ads and marketing initiatives that fit like a made-to-measure suit. With the added benefit of Dynamic Ads, you can even re-target users who have previously interacted with your brand and its content, increasing the possibility of a sale.

 

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Consumer Engagement and Feedback

Another aspect that helps towards the social commerce world is the quick , easy and copious amounts of consumer engagement available on the channels. We see people’s views and interest in our brand as they follow our pages, we see their reactions to our campaigns and social posting in the likes and comments, and we are able to easily and efficiently communicate with people through the various messaging services that each platform provides. With the addition of chatbots to answer simple questions in these channels, we are able to push our consumers further along the customer journey and closer to making a purchase. These platforms also allow consumers to persuade each other to buy from us by leaving reviews, and our response to those reviews also helps keep up our image as a brand from which you want to buy.

Influencer Marketing

Influencer Marketing

Again and again, we hear those two words coupled together: Influencer and marketing. Influencers are people who have gained so much popularity through social media channels that people take their advice and allow them to influence their purchasing decisions. Influencers are all over social media and are, indeed, working for the brands we know and love. They have become a powerful force and have really started to shape the world of ecommerce with their activities. By partnering with an influencer via an influencer program or the relative platform creator areas, you can increase your sales. And it’s all down to social media.

Direct Social Commerce

Different platforms offer different types of shopping opportunities. Let’s examine what is available from the main contenders in terms of selling and buying on social media.

Facebook

Marketplace

Most of us have probably used Facebook Marketplace at one time or another. Normally, buy 2nd hand products; however, it is possible for businesses to sell on the Marketplace too. Marketplace is a quick and easy method of buying and selling usually with buyers and sellers making their own arrangements of meeting up to buy the product or sometimes delivery. Marketplace is quickly accessible from the app or desktop site, having its own tab, which has led to over 560 million people using this feature

 

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Facebook Shops

Unlike on the marketplace, where you get a basic listing, Facebook shops are digital storefronts right in the heart of the platform. Businesses can customize their stores, and consumers can look through their products and buy directly from the shop without leaving the platform.

Facebook Pay

Facebook Pay is Facebook’s own alternative to Google Pay except for the platforms that reside under Meta’s Umbrella: Facebook, Instagram, Messenger, and WhatsApp. Facebook users can store their payment information just as they would on any online shopping website and use it as a fast and easy payment method. Facebook Pay not only facilitates the purchasing of products but also allows you to donate money to charity and send money to your family and friends without taking their cut, unlike companies such as PayPal.

Instagram

Instagram

Instagram Shopping

Just as Facebook has Facebook shops, Instagram does too.  So, a business can set up its own digital storefront and allow users to buy their products straight through the app. Businesses can also add a link to their products or Product Tage in content, and it will take direct users to buy from their store.

Live Shopping

Remember the old shopping channels on the TV? Well, this one is one step ahead, this method of purchasing caters more to the introvert than its predecessor and removes the need for any type of phone call. The hosts of the live stream are able to provide the links to their products right on the user’s screen, allowing them to click and buy, much simpler than in the old days. What’s more consumers can even ask questions to the hosts about the product in real-time for the more extroverted amongst us. Users don’t even have to stop watching the stream. They can carry on watching and buying as the show goes on, It is very futuristic, if I do say so myself.

Influencer Collaborations

What’s better than influencers? Influencers who can link a product directly to you so you can click your way to becoming a conversion, that’s what! Yes, influencers can add product tags to their content so that their audience can not only consider buying the products they are highlighting but also buy them at the same time. What more could you need?

TikTok

TikTok

Tik Tok Shops

It seems every platform has some variation of shop available to its users. TikTok shops, like Instagram and Facebook, allow you to set up a shop by applying through TikTok’s sellers platform, where you will be placed amongst various other sellers in their marketplace. Just like with the others, you can manage your stores and sell directly from within the platform.

Product Listings

These work in the same way that product tags on Instagram work, you can add a link to your product in various forms of posts and allow direct your customers straight to the checkout, all of which can be done without leaving the app.

Creator Tags

The same idea as the other platforms, creators and influencers can tag the products they are showcasing to the public, allowing them to purchase them in the app.

Live Shopping

Similar to Instagram’s live shopping, businesses can showcase their products and provide clickable links for their audience to buy the items they are currently showcasing.

How do Social Shops Work?

Well, it’s all about e-commerce integration. A small online shop will usually require some form of e-commerce integration to work. There are many different types of platforms available to a business, and the choice is based on preference, scale, price, etc. Some of the main platforms are Shopify, WooCommerce, and BigCommerce. These are usually integrated into the website’s CRM. However, larger retailers may have their own custom platforms for selling their goods.

Social shops work the same way through the power of integration. Most e-commerce shopping platforms require a monthly subscription to use; however, being at the forefront of the digital world online and inside social media, being able to sell your products is normally well worth the price.

Benefits of Social Commerce:

  • Users can visit your store and see and buy your products without even leaving their respective apps
  • While users are engaging with social media posts, they can be directed straight to a product with product tags
  • Enhanced analytics and insights from social media apps allow for cost-effective targeted and dynamic campaigns leading to higher conversions
  • Live streams allow you to showcase and sell your products directly at the same time providing an interactive experience for the user
  • Community engagement and feedback such as likes, shares, reviews and personal recommendations improve your brand image and make others more likely to buy from you too

Does your business need that extra boost? Would you like to get your products in front of more people and enable them to buy your products quickly and efficiently? Then we advise you try out Social Commerce today!