The contemporary world is based on connections. Globalisation, technology, and social media have reduced if not removed the barriers of the previous century. Social media is being used not only to stay connected, but also as a marketing tool. Brands, today, are going a step further and are now delving into social commerce to improve their bottom line.
Simply put, social commerce is the strategy of connecting potential customers with sellers through social media. However, the strategy has come a long way from being merely a mailing list. It has become the comprehensive use of social media to enhance, expand and expedite the customer experience and improve the conversion rates by making sales.
The Social Aspects of Social Commerce
Social commerce is the perfect amalgamation of social media and e-commerce. It entails leveraging social media to promote your brand in order to buy and/or sell your products and services online. Many brands are tweaking their business model to either add or increase the use of social media in their marketing strategies. This helps in generating awareness about their brands, increases their social presence and engages their customers, both existing and potential, thereby increasing their chances of making a sale.
You should use social media strategically to improve your bottom line. This should be done by analysing where your customers and potential customers are congregating online. That social platform should be leveraged to connect them with your brand. Customer engagement will not only encourage them to make a purchase, but will also help in brand awareness. To know more about customer engagement, check out this blog.
Using social media, you can also ask your followers to recommend your products and services to their friends, family, colleagues, and others in their social graph as their social followers. This, according to 3dcart, will “give your business a distinct strategic advantage; the opportunity to reap the rewards of a powerful insight led social commerce strategy, as opposed to merely thinking of social commerce as a set of tactical tools.”
The Commercial Aspects of Social Commerce
Simply put, commerce is the large-scale activity of buying and selling goods and services. When this is done by using social media, it becomes social commerce. A good social media marketing strategy allows you to use those customer interactions to sell your products and services. For a long time now, social media has been used as a marketing tool. As important as marketing is, it is a passive strategy in terms of conversions and creating revenues on the spot. This can be rectified with social commerce that revolves around people making decisions on the spot.
The passive aspects of social commerce involve the study of graphs and social analytics to improve ROI. According to 3dcart, “Strategy execution and accurate measurement of results cannot be blinded by hype or the promise of a positive outcome that has no economic value. Commerce should reinforce the thought that any social strategy must directly have an impact your bottom line.”
The ultimate goal of using social media is to increase your revenues. The strategy should, therefore, not be counterproductive, leading to a negative brand image and therefore a loss in revenues. When developing a social media marketing strategy, you must keep in mind the pros and cons of using social media tactics, and how they will affect your brand. To know more on how to use social media effectively, check out this blog.
Core Principles of Social Commerce
Social commerce is a difficult and rather vague concept to define. However, it has certain core principles.
- Social shopping is the driving force behind social commerce. Don’t forget to include mechanisms to enable social shopping in your social profiles.
- Remember that customers want to participate in your marketing campaign.
- People use social media to voice their opinions. This includes both positive and negative comments related to your brand.
- Customers act as promoters of your brand. To know more about this, check out this blog.
- Do not be afraid of negative comments or feedback. They serve as an opportunity for you to rectify your mistakes.
- Social commerce is about the customer to customer interaction to improve their shopping experience and help them in making better purchasing decisions.
- Your social commerce strategy should improve your P&L and ROI. If it doesn’t, tweak it until it does, otherwise, it defeats the purpose of having a social strategy.
- Social commerce strategy provides cost-effective solutions for capturing traffic and market reach.
- Social media provides a platform to gather knowledge and insight about your customers.
- Engagement with the target audience is of extreme importance. If you won’t, your competitors will.
Social commerce entails engaging and enabling your customers to “search, view or add products to a shopping cart within the framework of social network sites such as Facebook and Twitter.” It gives the customers the agency to make informed choices regarding their purchases and enables them to take their decisions easily and quickly. Social media is awash with potential customers, it is up to you to convert them into buying customers and bringing them into your domain.
SmatBot from SmatSocial can help you with your social commerce needs. It is based on the chatbot’s interaction with the users and their preferences. It recommends products and services inside the chatbox itself to increase conversions by twice as much. Read this blog to know more about SmatBot. It also helps with lead generation (read more about it here) and customer support, answering FAQs accurately on websites, blogs, Facebook Messenger, Whatsapp, and other social channels.
You can manage your social accounts using SmatSocial. You can save time and resources by scheduling your posts ahead of time, engaging with your followers, and measuring your social performance from a single dashboard. Try it free today.