Social Commerce

New Infographic – 9.4% Conversion: The Social Commerce Opportunity [Download]

The good guys over at the popular social commerce platform Moontoast have put together a new infographic/e-book; ‘The Social Commerce Opportunity’ (downloadable in ebook format) that makes the case for social commerce.  Good for conversations with social commerce newbies – be they budget holders or clients.  And a nice data point – Moontoast’s impulse shopping events on Facebook have conversion rates of up to 9.4%.

In an accompanying post, Moontoast’s Tim Putnam offers five excellent evidence-based tips for driving social commerce transactions.

  1. Differentiated Offers (sell what, how and how much you sell for elsewhere won’t work; offer limited editions, exclusives, VIP discounts)
  2. Consistent Campaigns (social commerce is new, your fans need time to get used to it – so run multiple campaigns and use similar format)
  3. Regular Campaigns (repetition build familiarity and familiarity builds affinity – use it)
  4. Create expectation (think of social commerce as event shopping create a sense of anticipation with coming-soon posts)
  5. Ask to share (fans will share the good news if you ask them to – so ask them and see your offer spread exponentially)

Moontoast Infographic Insights & Data

  • Shift in online behaviour means brands should meet consumers where they spend most of their time online
    • 23% of all time spent online is on social networks and blogs
    • Nearly 4 in 5 US adults use social networks
    • 70% of adult social networkers shop online
  • Brands who add social commerce to their social media strategy not only increase revenue, but also increase community growth
    • According to Gartner research by 2015, companies will generate 50% of Web sales via social and mobile
    • Booz Allen forecasts people will spend $30 Billion through social commerce by 2015
    • Moontoast has found a 68% average lift in community growth as social commerce is introduced
    • 42% of consumers have followed a retailer proactively, with the average follower following 6.3 retailers
  • Brands can use social commerce to reach engaged audiences better than ever before
    • 53% of social networkers follow a brand
    • 75% of social networkers are more likely to be heavy spenders on music
    • 47% of social networkers are more likely to be heavy spenders on shoes, clothing and accessories.
  • Brands can present offers better than ever before
    • The right offer to the right person
    • Commerce as a reward
    • Facebook tab stores
    • Facebook news feed stores
    • Moontoast found that conversion rates nearly tripled (from 3.4% to 9.4%) as consumers came to expect fan-offers on Facebook
  • Three tips for making social commerce work
    • Repetition:  The more a fan sees a post for an offer (from a brand), the more they trust the offer
    • User Experience:  Allow user to stay on the site they are browsing and create impulse purchase opportunities
    • Trusted Payment Methods: Consumers trust known payment methods and security standards such as PayPal

Chartered psychologist specialising in consumer behaviour, wellbeing and technology. Certified CX professional experienced in Design Thinking. A researcher, writer and speaker, Paul is head of Digital Insight at SYZYGY.

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