Social Commerce

What is Social Commerce?

We humans are social beings. Nothing proves this notion more than the fact that half of the world’s population is on Social Media. While many argue Social Media is not really social; we cannot overlook how it has permanently altered the way we interact with each other and express ourselves. Social commerce is exploding in interest and we will explore why and how to leverage it.

As the reach of Social Media has grown so has the interest of marketers for this new and highly lucrative e-commerce opportunity. The prospect of reaching a global audience at this scale was never imagined. With it, exciting new sales opportunities are now available to small businesses.

The phenomenal growth and sophistication of the algorithms governing online marketing have created greater depths of being able to truly know your ideal customer. Digital Marketing is getting much better as a result. The growth opportunities for small business have never been more exciting.

Using Social Media platforms to promote and sell products and services is called Social Commerce. It is one of the fastest-growing trends of the 21st century. It has become another channel of sales and revenue in online retail, and one that is growing in importance daily.

Innovation, Covid-19 and Rise of Social Commerce

Covid-19 forced people to stay at home and as a result, they spent more time social shopping and surfing social media platforms. This sudden shift in consumer behavior has pivoted businesses towards developing online stores. The prolonged pandemic has caused many businesses to shift away from the reliance on their brick-and-mortar stores to generate sales.

As a result, all the foremost social media sites have equipped themselves with e-commerce capabilities. Pinterest has Catalogs, TikTok has partnered with Shopify, and Facebook and Instagram have created their Shops. Thus, the future of social commerce appears very bright with these outlets.

How to Benefit from Social Commerce?

As a small business owner, this may seem like another new thing to learn in order to generate revenue. It can, in fact, feel overwhelming. We understand and we are here to help you!

At Asset Digital Communications, we are here to help you bridge the gap between where you are today and where you can be in fully exploiting the Social Commerce opportunities for your business. We believe the power lies with you. As a successful business owner, you know your customers well and know exactly how to engage with them on a platform that would be most profitable.

Here are some actionable tips that will get you started with Social Commerce.

1. Know Your Audience Deeply

In order to be successful at Social Commerce, you need to have a thorough understanding of your audience. If your business has younger buyers, then opening Instagram Shops may make sense. But if your audience is older, perhaps 65+ then Facebook may be a better platform. Many of our B2B clients have been very successful in networking on LinkedIn, yet so many are reluctant to take that step. For a visual business, and many B2C companies, such as wedding, interior décor, or fashion businesses, platforms like Pinterest or Instagram can work extremely well. If you’re not sure which platform to set up for Social Commerce, consider which one generates the most engagement for you.

2. Set Realistic Expectations

It’s critical that you understand the difference between a marketing plan and a Social Media strategy. Social Media is only one aspect of marketing. By setting up shops on the right platform you increase your brand’s digital footprint. Thus, Social Commerce enables you to create more awareness with new audiences, while also keeping your existing customers posted about your latest offerings.

3. Leverage Customer Data

The first and foremost thing to keep in mind is that customers look for a richer experience online shopping than they did for in-store. Advances in technology have resulted in higher expectations among online buyers. A digital shopping experience must be informative, immersive, and offer personalized shopping tools.

All of this can be achieved by leveraging customer data to create one-to-one personalization. Advancements in big data and the use of artificial intelligence allows business to now send out highly targeted ads to individuals who are part of valuable customer or buyer segments.  These promotions and products are developed distinctively serve them.

This would require you to set up your budget to include advertising costs. Reaching your potential customers and existing customers with carefully refined offers based on their needs and timing can deliver excellent return in investment.

4. Produce Quality Content Everywhere

While the prospect of selling on Social Media is exciting, don’t lose sight of the fact that it is paid media and not earned media. In other words, your strategy must also include bringing social traffic to your website.

Creating quality content on your blog and website is equally as important to creating awesome, engaging posts and offers on Social Media. Social Media is still, a social media platform but has been added with a shop component.

Do not change your focus to only selling your products and services. Remember to share quality content that connects with your audience. This will build important customer loyalty for your brand.

5. Valuable Role of Influencers & User-generated Content

Social Media is the place where Influencers can drive sales. A highly effective tactic for building your follower base is by engaging with the Influencers in your industry. A timely recommendation from an influencer can significantly raise your credibility in the market.

User-generated content is increasingly recognized as an essential aspect for successful online engagement. You can connect with your existing customers, build trust with your audience, and attract new active users with user-generated content.

Social commerce may be an excellent social media opportunity for your business. Questions about whether it’s a good fit for your brand can be answered through the process of developing your digital marketing strategy.