When it comes to social commerce, Facebook. Pinterest and Twitter are all making headlines. Initially these social media sites were for socializing, sharing ideas, thoughts, recipes and pictures. Merchants are now realizing they are directly profiting from these social sites.
Yahoo! introduced this term back in 2005 to describe a set of online collaborative shopping tools such as user ratings, product information, advice and shared lists.
The concept of social commerce was developed by David Beisel to denote user-generated advertorial content on e-commerce sites, and by Steve Rubel to include collaborative e-commerce tools that enable shoppers “to get advice from trusted individuals, find goods and services and then purchase them”. The social networks that spread this advice have been found to increase the customers trust in one retailer over another.
So getting back to the definition of Social Commerce, it’s basically a combination of social media and shopping. Consumers can rate, recommend, and even promote their favorite products. Data reveals that e-commerce revenue, from just Pinterest’s referral traffic alone, grew an average of 67 percent from January to June 1014. Its very beneficial for e-commerce businesses to set up their own social media accounts to interact with the public, post specials, new items and testimonials to share with their followers. The more interaction, the more followers, which will create an increase in traffic to the website, which in turn. will increase sales.
So what are you waiting for? Get your e-commerce site generating more traffic, and hop on the Social Commerce train.