How do you choose to spend your time when you have a few spare minutes? If you’re like 3.81 billion other people in the world, chances are you choose to scroll social media. With so many people on these digital platforms, it’s no wonder social commerce has grown.
What is Social Commerce?
Social commerce is the process of selling products directly through social media platforms. If you’re engaging in social commerce, the entire purchase journey from discovery through purchase is done through your social media, such as Facebook, Instagram, or Pinterest.
What’s The Strategy Behind Social Commerce?
Simply put, it gives you the opportunity to meet customers exactly where they are. While social commerce may be a relatively new concept, the social commerce market is predicted to grow to $604.5 billion by 2027. This is likely due to the extreme ease of purchasing social commerce presents. In action, you could be scrolling through your Instagram and see your friend’s new necklace with a “Shop Now” button. If you click it, you’ll be able to make a purchase without ever leaving Instagram. Alternately, if you want to browse a variety of products, you can click Instagram’s shopping bag tab and scroll through your very own, personalized social commerce suggestions. It’s a seamless process from start to finish.
Plus, social commerce is inherently a personalized experience. By tapping into consumer’s social channels, commerce options are filtered out and sorted down to what they care about. According to our 2020 B2C Report, consumers are expecting more personalized shopping experiences and social commerce will always be personalized.
Social commerce is the happy medium between traditional shopping experiences and ecommerce. It takes the social, conversational aspect of going to a brick-and-mortar store and pairs it with the convenience and personalized offerings of ecommerce.
Who Should Use Social Commerce?
Social commerce is an ideal platform for retailers for the exact reasons listed above. They can seamlessly integrate social commerce into their larger digital strategy to reach new customers and nurture the ones they already have. It’s especially beneficial for companies targeting Millennials and Gen Z, 48% of whom have already made a purchase on social media.
If you sell big ticket items such as cars or high-end laptops, social commerce may not be the route you want to take. At least not yet. With social commerce being a new phenomenon, only time will tell how it will evolve and how consumers will respond to those changes.