People’s activities have shifted online from communicating and socializing to shopping. The Internet has changed business forever as Social Commerce creates opportunities for small and big businesses. New media platforms also paved the way for online sellers and shoppers to transact and connect.
In 2021, this trend even pushed businesses to switch to an online portal to reach a wider audience and provide convenience for consumers through pick-up and courier services. If you still have not considered social commerce as of now, it’s time to re-evaluate your new year plans and set up your social media selling hub.
How Social Commerce Can Expand Your Business
Social Commerce is defined as the buying and selling of goods or services directly within a social media platform like Facebook Marketplace, Instagram Shopping, and Pinterest Product Pins, and it has been making waves in commerce and online selling for the past few years. A similar business concept, E-commerce, on the other hand, uses a dedicated website or branded app to sell goods. While e-commerce requires a devoted team, web development, and additional operational costs, Social Commerce is considered more start-up friendly as it is more economical and engaging for consumers.
Everyone Is On Social Now, Here’s Why You Should Too In the US, the Convenience is the Key. monthly footfall in physical stores dropped again to under 29% in November 2021 after it peaked at a 44% increase in July. A similar drop during the Black Friday Sale at retail stores of 28.3% compared to 2019 was also observed. Americans are now shifting more to online shopping because of (1) COVID concerns and (2) worries about the supply chain as the two main reasons. Shoppers are now more strategic in gift shopping, eager in buying before the holiday season, and wiser in ensuring that they get the best deals. Nowadays, careful customers would even turn to business process outsourcing services to lessen face-to-face contact. Convenience plays also a key role in the digital commerce trend. Consumers have pivoted to using mobile devices and electronics in making their transactions faster and smoother from ordering to shipping and even returning items. This trend has also seen consumers show loyalty to brands that keep them safe, healthy, and hygienic during the pandemic. People spend most of their time on social media, most especially the Gen-Z and younger millennials which comprise the largest population in the world. Remember how MySpace turned into an exchange of culture, music, and trends in the 2000s? Now we have Facebook Marketplace where you can sell and search for pre-loved items, Instagram where you can launch your startup retail brand, and TikTok is where you can efficiently promote a plethora of essentials from skincare to household items. To meet your customers and build an instant connection with them, going to where they’re scrolling is a smart move. Go Where Your Customers Are. Since companies are already using social networking sites to advertise their products, why not make the shopping experience seamless for everyone and allow them to shop instantly straight from their social media accounts? By offering a 360 functional one-stop-shop through social commerce, customers will be most likely retained and engaged with the use of hassle-free buy buttons, quick customer service assistance, chatbot set-ups, and organic or direct promotion. Build your social media into a seamless shopping experience. Social media is the platform of the future. Sprout Social reported that 40% of users will most likely discover new brands and products in the next 3 years, and 36% of them will most likely purchase. The Statista Digital Market Outlook also estimates that by 2025, retail commerce revenue will increase to 563.4 billion dollars in the US. If we look beyond the figures, we have a view of up-and-coming innovations that will help shape the future of online shopping that are content, experience, and network-driven. Facebook and Microsoft have recently staked claims on the “Metaverse” cyberspace with promising 3D and virtual reality concepts. These days, shoppers can test products through AR and VR, be assisted by Artificial Intelligence (AI), or pay using e-wallets. Ready to launch your Social Commerce site?
Know our audiences and start studying their purchasing behaviors. It’s not surprising to find out that most of them have shopped or at least are willing to purchase online nowadays. Let
VXI help you harness the power of social commerce! We can optimize your social media platforms to launch or shift your business and see how it can cost you less and shoot up your revenue. After all, you can always go back to the norm or keep your physical store if you prefer to. Who knows what the future can offer us when it comes to shopping? Innovation is endless, and this is why we should embrace change.