As shoppers continue to prefer online shopping, integrating social media with ecommerce is going to be one of the most powerful strategies for brands in 2021. Owing to Covid-19, the global social commerce market is expected to grow at a rate of 31.4%. Social ecommerce enables users to shop directly from social media. It is redefining the way people shop, from discovering new products, to collecting information, engaging with the brand and finally the checkout process and everything in between happens on the social media channel itself. Apps like Instagram, Facebook and Pinterest, Snapchat allow social ecommerce. According to BigCommerce:
“Social commerce sells products directly through social media networks. It differs from social media marketing as you’re not redirecting users to an online store, but offering them the ability to checkout directly within the network they’re using at that moment.”
Here are some facts to consider:
- Almost 25% of global commercial transactions take place over the internet.
- Close to 70% of the world’s population uses some kind of social media.
Research shows that customers depend heavily on social media for product reviews and recommendations instead of buying directly from the online store.
56% of online shoppers follow brands and browse for products. Marketing Week magazine asked the question, “when browsing online for products to buy, which of the following sites do you use?” 31% responded with social media, but 74% said the retailer’s website. Younger demographic are more likely to press the “Buy” button on social media.
Let’s look at some benefits of Social ecommerce:
- When you let customers buy directly through the platform and offer a seamless checkout, it enhances the overall customer experience. Which also results in an increase in sales.
- It’s a proven strategy to increase your average order value.
- When customers engage directly with your brand on the social media channels through commenting, sharing, discussions, tagging, giving reviews, all that social proof acts as a great tool for influencing purchase decisions of potential customers.
- This enables your brand to connect with your customers at a much deeper level, hence strengthening your relationship with them which leads to loyalty and retention. Also, happy customers become brand advocates and bring more referrals. This reduces your overall marketing costs and also drives repeat purchases.
Your business’ success will hinge on your ability to identify your customer behavior and the right channels and then creating a highly personalized and optimized shopping experience for them. If you understand when your customers engage with their preferred channels, and what kind of content do they consume the most, you’ll be able to design your marketing strategies around that. Modern shoppers expect brands to offer them convenience and ease of shopping. Hence it’s important to provide shorter paths to check out, shoppable social feeds and omnichannel approach to ensure rich customer experience. Leveraging UGC and influencer content are other best practices that create authentic experiences across every point in the customer journey. Facebook messenger chatbots, getting personalized messaging and apps are also some winning strategies.
Annex Cloud is a comprehensive platform that offers the ability to run loyalty programs beyond simple earn and burn solutions. We recommend enhancing loyalty programs by awarding points for social engagement, referrals and posting user-generated content. SleekVault, a loyalty program powered by SleekShop amalgamates our referral and UGC features into their loyalty experience which has raised their customer engagement to another level. Khanh Nguyen, Digital Marketing Strategist at SleekShop, says “Annex Cloud provides a customer engagement program that is robust and customizable, that really scales with our customers. With Annex Cloud, our customer retention and engagement is really high. That is something that differentiates us from our competition,” SleekShop has seen a 15% increase in growth of their loyalty members and 16% rate of redemption. Get in touch with us today!