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How to unlock maximum profit: a guide for social commerce strategies

Tracy Steffensen

Selling products and services on social media platforms is a popular retail strategy many businesses use to boost their sales. This selling model is called social commerce. It lets customers complete their purchases without leaving a social media platform.

The social commerce industry is expected to grow steadily in the next few years. A recent report by ResearchandMarkets.com revealed that the social commerce industry here is likely to increase by 14.4% annually to reach US$1655.5 million this year.

So, what’s the buzz all about

When you have a big chunk of your population hooked on social media, it is easy to understand why many brands seize social commerce opportunities. Now more than ever, social media plays a meaningful role in people’s everyday lives and Australians are no exception. It has evolved from a place for consuming content to a place for discovering brands, researching products and services, interacting with customer support and purchasing products and services.

Social media platforms like Facebook, Instagram and TikTok now act as virtual storefronts where you can scroll through product listings, add what you like to your shopping cart, and then check out within the app – a seamless shopping experience.

What brands and businesses stand to gain from social commerce:

  • You can reach a larger target audience – Social media platforms have the ability to effectively reach a wider audience, from local to global, as people scroll through their feeds and are often ready to shop.
  • It offers a seamless shopping experience – With social commerce, shoppers can enjoy a seamless shopping experience as everything happens within the app. With functionalities like in-app checkout, buy buttons and instant messaging tools, why leave, right? There are no extra steps in the buying process, which means a customer doesn’t lose interest and abandon items in their cart.
  • You can gather data on your audience for your marketing strategies – We all know that social media platforms are rich in customer data that a business can use for future marketing campaigns, product development, customer service enhancement, content strategy and so much more. The demographics data provided by a social media platform may vary, but most include age and gender breakdowns, job titles, relationship statuses and education levels. Some may have information about users’ interests and hobbies.
  • You can leverage social proof to gain a shopper’s trust – We know that customers check for reviews before deciding to buy. Social commerce comes with integrated social proof in the form of user-generated content. Likes, shares, comments and followers indicate that you can be trusted, making you a top choice for potential customers. When customers keep interacting with and promoting your brand, other social media users are more likely to trust your brand too.
  • You can easily gather customer feedback – Easily interact directly with your customers by running polls, asking them to share their opinions in the comments or reviews and having a one-on-one chat through messenger tools. Being proactive in getting feedback about your brand, products, or services is a good business practice that potential customers will appreciate, especially if you follow through with an improved product or a better customer experience.

What can you do to stand out in social commerce?

There are numerous tactics to cut through the social media noise and beat your competition. One of these is creating a video marketing strategy for every stage of your marketing, as consumers increasingly rely on video throughout their shopping journey.

Brands and businesses new to the video space can test the waters by incorporating both product and live videos into their social commerce strategy. For example, you can look into creating shoppable videos where you do a short clip of one to two products in action. Then, within the video, you provide clickable calls to action, directing followers toward your social storefront. Be sure to make it obvious that viewers can shop for products directly through the post with captions and frequent reminders.

You can also do livestream shopping which blends live streaming and commerce. Shoppers can tune in to your live stream (e.g., Facebook Live), interact with your business in real-time and purchase immediately.

Social commerce is not going away.

Trust us when we say that as the number of active social media users rises, platforms will continue to release new features to capture consumer spending. You don’t want to miss out on these opportunities.

Get your team to explore how you can start or improve your social commerce strategy this year. Whatever expertise you lack in your team, you can always outsource to a marketing agency for creative services, video production, content writing and other services.

You need more than a strategy to stand out in an increasingly crowded social commerce setting. You need a social commerce strategy that is fool-proof and future-proof.

Ready to tap into the power of social commerce and boost your sales? Schedule a consultation with our expert team to learn how to get started! Don’t miss out on this opportunity to take your business to the next level. Contact us now to schedule your consultation.

Also read: 8 Essential Reasons Why You Need a Reliable Digital Marketing Strategy in 2023

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