What is Social Commerce ?

venkatesan | September 28 - 2012

Social Commerce

It is an undoubtful fact that shoppers are social by nature and those who trend in a conscious manner, really care about what others think. So it is kind of important for customer or even for normal people to understand the basic context around particular items. Let it be the popularity of the item or the customer review. In all these cases, the need of social commerce is important.

What is Social Commerce?

Technically, social commerce is an electronic commerce medium that involves using various social media and online media which support the social interaction between companies and individuals. It also consist of contributions of the user to help and plan in the online buying and selling of products and services.

In short, it is nothing but making the products of a company as social objects by giving the users the authority of rating, liking, reviewing, commenting and sharing in different ways that it drives the page ranking of your website and side by side the sales.

What Social Commerce should do?

The following are some of the basic strategy the social commerce should do –

● It should offer the option of real time commenting on each product page. By doing so, shoppers can be informed about the product and they can like or dislike it.

● Most importantly, it has to facilitate a real time question and answer with the product designer and that too by the use of crowd-sourcing question sessions. It has to basically connect the buyers with the product designer via video confering and chat. And there should be moderation of the discussion by the usage of green room.

● Also it should aggregrate discussion of the products from social media websites like Facebook, Twitter, Orkut, Foursquare, and other social media networks into a(an) interactive and single stream on the client website.

● It should make the interaction interactive where shoppers can post the photos of the product and along with that put there reviews. Almost a user-generated media gallery is created by this process.

● Plus it should enable shoppers to login and participate in the discussion within seconds using the login credentials. That too from any one of the 25 popular social networking websites.

Statistical Data About Social Media

In General Social Networking Sites
About 62% of the adults worldwide use the social media.
Social Networking has become one of the most popular online activity. About 22% of the people who are online spend their time on Facebook, Twitter, etc.
In the given number of people who use social media, 56% of them use the channels to spy on their partners.
Brazil is the only country which has the highest number of online friends a user has. It is about 481 per each user. Japan is the lowest, having 29 friends per user.

In Mobile Apps
Surprisingly, 42% of the mobile users share multimedia data through Facebook.
Google+ is the second most used social network used by mobile users for multimedia content.
It was found out that most of the Smartphone users spend majority of their time using social networking apps like Facebook and Twitter as much as playing games.
In the first quarterly of 2012, there were about hundred billion smartphone application sessions.

Social Comm Statistics
It is estimated that social commerce sales will reach to about $9.2 billion by end of this year. Plus it is also assumed that by 2013, it will climb to $14.25 billion in 2013 and by 2015, it wil reach to $30 billion.
167 million people will do online shopping rather than the normal shopping. And by 2016, it will increase to 192 million people.
Plus it is also assumed that 20% of the online shoppers will purchase products from social media sites.
It is also found out that 40% of the Twitter users regularly search for products via Twitter.

Social Media in Business
Most of the world’s top companies i.e. 65% of them have active Twitter profile.
90% of the markerters use the social media channels for their business activities. And among them 93% of them rate social media as an important marketing tool.
About 43% of the markerters have seen a great improvement in sales due to social media campaigns.

As of 2012, the revolution that social media has brought about is truly humongous . It is definitely noteworthy to say that as years pass by this social commerce will become an effective tool for business and marketing strategy.