How has Social Media Created a New Online Retail Experience?
Without a doubt, 2020 was the year of Zoom quizzes, FaceTime dates, Netflix binge-watching and, mostly importantly, online shopping. The pandemic has forced us to stay at home and has increased online spending habits that will become habitual for many, even after the pandemic. These habits have led to an unsurprisingly boost in eCommerce spending.
Online shopping surged last year – pandemic-weary customers sought products ranging from skincare to cleaning supplies, as they feared the concealed virus. The convince of shopping from home has now grown to become second nature. However, within this, we must understand how individuals are discovering and buying items.
To provide more information, The Influencer Marketing Factory has showcased details on how social media has helped to create a new online retail experience, which is social commerce.
What is social commerce? In basic terms, it is the process of selling products directly on social media. It is important to note that social commerce is not e-commerce. E-commerce is when you buy and sell goods through websites or a dedicated app.
According to The Influencer Marketing Factory, studies have shown that social commerce is currently an $89 billion market. Additionally, The Influencer Marketing Factory surveyed 350 individuals’, focusing on Gen Z and Millennial shoppers. They focused and gained insight into preferences regarding social media, products, and overall consumer behaviour.
(Image Creds: The Influencer Marketing Factory)
They were able to figure out that:
- 40% of Gen Z and Millennials have bought an item whilst watching a live stream on a social media app.
- 53% of the participants said they like to research the product online before buying. While 12% said to have purchased something straight away after seeing the item on social media (i.e., from an influencer post or live stream).
- 61% preferred to “Add to cart” from the social media site they are on, while 39% prefer to “Buy on third-party website”, therefore leaving the social media app.
- 60% purchased at least one item on their smartphone thanks to social media brand’s posts and /or influencers’ content.
(Image Creds: The Influencer Marketing Factory)
Social commerce is here to stay, as it has provided a platform, created opportunities and reliable data for small businesses and influencers. The power and ease of social media have allowed small businesses and influencers to triumph behind a screen.
Click here to read the report in full.
Finally, for our previous #SocialShort, click here.
