A Retailer's Guide to Facebook Commerce
Upcoming SlideShare
Loading in...5
×
 

Like this? Share it with your network

Share

A Retailer's Guide to Facebook Commerce

on

  • 2,842 views

Step back for a moment and think about the power of...

Step back for a moment and think about the power of
Facebook from a logical point of view. Facebook is a business.
While it is selling itself as a “social” business, it is also a booming business on its own. Similar to any business model
that is based on attracting visitors, the intent is to keep their users engaged and interacting.

The proof is in the numbers:
• According to Forrester Research and Shop.org, the
conversion rates of an f-commerce store are just as high as a store from the brand or retailer’s website. Conversion rates for an f-commerce store are 2-4%, while a web store averages 3.4%.
• Click-through rates on Facebook walls are 6.5%
• Wetseal, for example, says that 20% of its e-commerce sales come from Facebook
• 1 in 11 people are on Facebook, which is 642,613,700 users and growing
• 700 billion minutes are spent on Facebook on a monthly basis
• 57.1% of Internet users are on Facebook

Statistics

Views

Total Views
2,842
Views on SlideShare
2,842
Embed Views
0

Actions

Likes
2
Downloads
107
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

A Retailer's Guide to Facebook Commerce Document Transcript

  • 1. 150 Million FacebookUsers Will PurchaseSomething On a Brand’sFan Page This Year.How many will buyfrom you?Want to get your piece of retail sales spent onFacebook? Complete the following form to learnhow to get revenue from your brand’s Facebookpage without alienating your community.
  • 2. Retail sales onFacebook in 2011 willbe $100 million, whatportion of that will bespent with your brand?Want to get your piece of retail sales spent onFacebook? Complete the following form to learnhow to get revenue from your brand’s Facebookpage without alienating your community.
  • 3. A Retailers Guide toF-Commerce Selling to People Where They Are Anyway – On Facebook!
  • 4. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! About this whitepaper The content is protected by copyright and cannot be duplicated without permission from Zmags Inc., 320 Congress Street, Boston, MA 02210, USA. The author or any other advisors distributing this guide can under no circumstances be held responsible for any damage or business impact from taking advice from this whitepaper. For any questions regarding this whitepaper, please email Peter Velikin, VP of Marketing at pvelikin@zmags.com Published May 2011 © all rights reserved2
  • 5. The Fusing of ContentIntroduction and Commerce As the Internet continues to to evolve with it. These firms evolve at a rapid pace, so do the have been diligent in building opportunities that brands and active social media communities, retailers have available to them and now want to turn those to increase their online revenue communities into revenue and brand engagement. Now that streams. The key to achieving social media networks, such as this objective is to make your Facebook, LinkedIn, Twitter—and products and services available countless others—are attracting for purchase directly from millions of users on a daily basis, the Facebook platform while all retailers and brands are consumers are highly engaged. looking for ways to turn these The question then becomes, social interaction tools into a “Which Facebook commerce way to make money. Already, solution will best help me meet some of the biggest brands in and exceed my objectives? the world are harnessing the In this paper, we will discuss: power of social media to increase their sales. This phenomenon • Why Facebook can be a is being defined as Social highly effective platform Commerce. for selling your products and services, if approached With the rapid pace of the correctly. Internet and the growth of • How you can apply proven Facebook—and not just solutions to turn your participating network members, Facebook community into a but also the evolution of the revenue stream. capabilities made available in the network—leading retailers and brands are being compelled 3
  • 6. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Facebook: The Social Media Network Leader “In three to five years, 10 percent to 15 percent of total consumer spending in developed countries may go through sites such as Facebook.” Mike Fauscette, Analyst, IDC Consulting “It’s a matter of time—within the next five or so years—before more business will be done on Facebook than Amazon.” Sumeet Jain, Principal, CMEA Capital With 1 out of 11 people on Facebook, and with the total number of daily users surpassing 600 million, Facebook is now the undisputed leader in social networks. Social media networks, like Facebook, have long been offering retailers and brands the option to drive traffic to their own e-commerce sites by enabling them to link from their pages to other sites and content. Paid ads, ‘like’ button plug-ins, and custom apps have all been made available by the network for brands to leverage. In recent months, the actions and changes made by the social network leader (e.g., Facebook Deals, Facebook Credits, Facebook ‘Send’, etc.) validate Facebook’s recognition of the rapid growth of their network, coupled with the growth of e-commerce. Consequently, Facebook is now encouraging brands and retailers to leverage their community to build supporting revenue channels. The availability and likability of social networks has introduced a change in the buyer/seller relationship in recent years, such that the consumer is now in control. With access4
  • 7. to user reviews, recommendations and other insightfulinformation available online, your buyers now have moredata about your products than you do as the seller. Sinceconsumers are spending so much of their time (1 out of every8 minutes) on social media networks, it’s imperative thatbrands strongly consider establishing a presence on socialmedia networks, and support customers who wish to conductpurchase transactions on these social media outlets.Consider this: You, as a retailer and brand owner, have alreadyrecognized the power of this network when you decided toadd ‘Like’ or ‘Share’ buttons to your product and solutionspages. Connecting a recommendation or product validation to additional information and ability to transact is a natural evolution in this connection between e-commerce and social networks. It then makes sense that Facebook would introduce the tools for brands and retailers to use the Facebook platform as a selling platform. These statements drive home the point that f-commerce, retail enhanced by the use of Facebook, is the new online selling avenue in thehere and now, and will continue to be for the foreseeablefuture.The top three brands on Facebook, based on ratings deriveddirectly from the fans of the brands, include Coca-Cola® (24mfans), Starbucks® (20m fans) and Disney® (19m fans). Whileeach brand sells different products and services, they haveeach evolved their presence on Facebook to provide theirconsumers with both meaningful content and the opportunityto transact. 5
  • 8. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Since these top three brands all “sell” on Facebook, they all engage in f-commerce. Here’s how: • Coca-Cola sells branded products directly from its Facebook page. Facebook users can buy branded items, including clocks, sun visors, salt and pepper shakers, popcorn bowls and other merchandise emblazoned with the Coca-Cola brand. • Starbucks focuses its f-commerce efforts on its current customers, so it engages in a loyalty strategy, where Starbucks card holders can manage their My Starbucks Rewards cards on Facebook. In short, it’s an e-commerce-enabled customer retention management (CRM) strategy. Starbucks Fans on Facebook have a variety of options to demonstrate their loyalty. They can buy and give a gift card to someone else, or load more money onto a current Starbucks card, or check the current balance on a card, or check the current loyalty rewards status level, or cash-in rewards points for prizes and Starbucks merchandise. • Disney sells tickets to current Disney movies in theaters, directly from its Facebook Store (f-store). Users can pick the movie they want to see, invite friends to join them, and choose the date and time—all without ever leaving the comfort of their Facebook page. (Payment processing for the Disney f-commerce store is handled by Fandango.) Each of these brands is using Facebook in its own way to reach and convince consumers to shop where they are already connected to the products—on Facebook.6
  • 9. Keeping It in the Family:The Case for Selling onFacebookStep back for a moment and think about the power ofFacebook from a logical point of view. Facebook is a business.While it is selling itself as a “social” business, it is also abooming business on its own. Similar to any business modelthat is based on attracting visitors, the intent is to keep theirusers engaged and interacting.To encourage this, Facebook has created tools, applications,games and a myriad of other ways that enable users tocommunicate with each other, conduct business, and evenshop without ever having to leave Facebook. Essentially,Facebook is a platform that other brands can use to attractand engage shoppers where they are already electing tospend their time. 7
  • 10. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook!are on Facebook57.1% of internet users The proof is in the numbers: • According to Forrester Research and Shop.org, the conversion rates of an f-commerce store are just as high as a store from the brand or retailer’s website. Conversion rates for an f-commerce store are 2-4%, while a web store averages 3.4%. • Click-through rates on Facebook walls are 6.5% • Wetseal, for example, says that 20% of its e-commerce sales come from Facebook • 1 in 11 people are on Facebook, which is 642,613,700 users and growing • 700 billion minutes are spent on Facebook on a monthly basis • 57.1% of Internet users are on Facebook These are just some of the figures that illustrate the power of Facebook. These are but a few of the numbers that reveal customers and prospective customers not only are on Facebook, but are spending increasing amounts sharing and shopping while there. In essence, this means that, to get your products in front of new customers and prospects, your products have to be on Facebook too. 642,613,700 Facebook users8
  • 11. Social ShoppingBy nature, people are social. Not only arepeople using Facebook to share picturesand updates with friends, but they are alsoshopping with friends and getting theiradvice and opinions on what productsto buy. The old-school method of askingfriends and family members which product they recommend hasbeen replaced by the Facebook “like”. It’s happening everydayand it’s happening with or without you, so you need to seriouslyconsider adding social commerce to your multi-channel webstrategy. Still have doubts? Take a look at these numbers:• 75% of Facebook users have “liked” a brand• Facebook users share over 30 billion pieces of content on a monthly basis• The average Facebook user creates 90 pieces of content per monthThe long and short of it is that social media has a tremendousimpact on shopping behavior. The fact is a referral from anetwork connection has been found to be one of the mostinfluential drivers of purchase intent.When you add consumer mobility to the equation, it furtherincreases the need for retailers and brands to be selling onFacebook. More and more consumers are using their mobiledevices (smart phones and tablets) to access Facebook on amore regular basis. As that trend continues to rapidly increase,selling on Facebook allows brands to reach consumers intheir social environment and on the go. Instead of asking yourconsumers to come to you, you’re now interacting with them ontheir terms. 9
  • 12. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook!No Need to Reinvent the you don’t have to spend The great news for brands is that Wheel valuable time coming up with a super unique way to leverage the social shopping phenomenon. That’s because Facebook already ‘gets it’ and Facebook is making it easy for you to sell where people are shopping. Here’s how: • Facebook already combines visual content with experience, which engages users and drives them to interact with each other. • Facebook is primarily driven by visual content, specifically pictures. And, as we all know, visual content is core to effective merchandising. • Facebook combines the personal experience of shopping, which a brand’s website cannot offer shoppers directly (unless they leverage the power of Facebook or allow product reviews on their own site). • Facebook users are receptive to using the platform to shop because it is interactive. Progressive retailers and brands have been diligent in establishing communities of target consumers on Facebook. Enabling f-commerce capabilities allows these loyal, engaged target consumers to both have a dialogue and transact with you, and then spread the news of that purchase through their networks. When you employ the ability to conduct commerce on Facebook and offer shopping applications to the users of Facebook, you are providing the platform for communication and leading them from having these conversations to taking action.10
  • 13. Creating an Exciting Online Experience Is Key to Success When you think about in-store shopping behavior, you realize that an exciting shopping experience is critical to success. When you merchandise the store carefully, play the right music, have the right fragrances, and provide knowledgeable sales people that engage with consumers, you have created a retail experience that will keep customers in the store longer and ensure higher purchase intent levels. Today, you have to transfer this competency to Facebook. In other words, you have to learn how to create a carefully merchandised shopping experience on your Facebook page. The majority of the ingredients you need for the recipe already exist within Facebook. You do, however, have to take the steps necessary to get it up and running for your own brand. Here are the necessary steps, along with valuable tips on successful execution of each solution:INTERACTION: The primary ingredient to a successful consumer-brand relationship is interaction. This is as true in an f-commerce situation as it is with an offline one. On Facebook, retailers and brands are interacting with an organic community of loyal brand fans. And, just as you have to stay connected with your audience in other marketing strategies, it’s critical that you interact with them frequently and with exclusive insider information to keep this community engaged and growing. 11
  • 14. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Tip for Interaction: Turn your Facebook community into an elite group of lead users. To build a loyal following, companies have to interact and engage with Facebook users and fans on a regular basis and make them feel as if they are part of the company. This group should receive preferred offers on new products and services, and be invited to function as an incubator for feedback on new product concepts. FOLLOWING: Interaction between your brand and Facebook users creates a following. It builds up a group of individual consumers or potential customers that have an interest in your brand. The more people that have an interest in your brand, the better the chances you have to convert these followers into paying customers, for the first time and on a repeat basis. Providing Facebook users with the right mix of content on a consistent basis is what builds up this following. Keep in mind, too, that the average Facebook user has 130 “friends” on Facebook. This means that when you interact Like with the user or the user interacts with your brand or retail store, it also exposes the brand to an average of 130 additional people. Tip for Creating a Following: Build a following on Facebook with the content and information you share. Once you have a large, high-quality group of followers, you can then offer them the opportunity to buy directly from you on Facebook. The reason you want to build your following and then introduce f-commerce on the Facebook platform is that brands that have a following on Facebook, and then choose to conduct commerce on the platform, see benefits more rapidly than those that are still in the process of building a following.12
  • 15. FAMILIARITY: Humans tend to steer clear of the unknown. Even when we shop, we tend to gravitate to the stores we know. When we’re shopping in these stores, we tend to be attracted to the brands we are familiar with. Tip for Familiarity: Facebook allows brands to move the familiarity of the brand from the offline world to the online world. Not only is the consumer familiar with your brand, but they are also very familiar with using Facebook, and they are comfortable in conducting various types of transactions on Facebook. This includes communicating with other users and with brands. It also includes making purchases directly from the brands and retailers that offer some kind of f-commerce option. When it comes to familiarity, Facebook also endorses a casual relationship between brands and shoppers. The Facebook community is really a place where brands and retailers can “let their hair down” and have some fun. Some brands and retailers reveal the human side of their business by sharing pictures of their employees. Others engage “fans” by hosting fun or silly contests—all of which helps the fans become more familiar with the brand on a personal level, and makes shoppers feel more comfortable and personally involved with the brand. 13
  • 16. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook!MERCHANDISING: As a retailer or consumer brand, you are highly skilled at both in-store merchandising and catalog merchandising. You know how to lay out the store, or design the catalog, to maximize purchases according to shopper behavior. Tip for Merchandising: Use this same level of merchandising knowledge combined with online data and apply it to f-commerce. You can create a customized online shopping experience that replicates the carefully merchandised in- store and catalog experiences, but is highly optimized for performance based on analytics. Within this experience, use beautiful imagery, as well as rich media, to bring the company and its products and services to life.14
  • 17. Expectations of theFacebook ConsumerThe key to leveraging the power of f-commerce is creatingan innovative experience for Facebook users. Facebookusers expect brands and retailers to deliver an experiencethat makes them feel comfortable and is properly suited forthe social platform, yet conveys the look and feel the brandrepresents.The expectations of consumers are different on Facebook vs.the retailer’s direct site, regarding what they want and expectthe brand to deliver, in addition to how the informationshould be presented. For example, Facebook users arelooking to receive exclusive offers or be the first to knowabout new products before they become available to thegeneral public.Traditional ‘flat’ product images, often seen in online stores,are not effective in the social media network. Again, theexpectations of this network audience is highly connectedby content, so you need to consider incorporating videos,high-res graphics, or even real-life models wearing theclothes of the brand or retail store, so as to capture andkeep the attention of users on Facebook. One of the ways toenable Facebook commerce—we’ll talk more about later—isto offer your products right on your Facebook page. Yourpresentation of these products and your merchandisingtechniques will need to be modified to suit both the platformand the expectations of your shoppers. F-commerce is aboutmore than simply reproducing your traditional print catalogor e-commerce store and pasting it into Facebook. Catalogs 15
  • 18. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! or presentations should be built and designed based on merchandising techniques—which is the best way to expose brands and products. By using online analytics, retailers and brand manufacturers can accurately create content for the f-commerce store that is based on user preferences. F-commerce is the wave of the future, too, with the use of mobile and app-based platforms. Some experts see Facebook as the Operating System (OS) of the future. • More than 200 million Facebook users access Facebook with their mobile devices—smartphones and tablets • Facebook users accessing the social network with mobile devices are twice as active on Facebook than PC users accessing Facebook • 94% of phone users communicate on social networks using their mobile phones • 50% of mobile Internet traffic is for accessing Facebook and other social networks • 70% of Facebook users use Facebook applications • 550,000 applications are currently active on Facebook • 44% of retailers plan to use Facebook applications in place of microsites for product launches and promotions16
  • 19. 200 MILLIONmobile Facebookusers» using 550,000 apps» consuming 50% of mobile internet traffic 17
  • 20. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! 3 Ways for Brands to Harness the Power of F-commerce Now that you have a deeper understanding of the opportunity that f-commerce holds for your company, it’s time to get down to the solutions available to make it happen. Generally, brands and retailers have three primary options for using its Facebook presence to create an f-commerce opportunity: 1. The Facebook Mall 2. On-site Redirect 3. Interactive Catalog 1. The Facebook Mall The Facebook Mall works similar to a brick and mortar shopping mall. Facebook has partnered with Payvment to allow Facebook pages to create a “storefront” tab on a brand’s Facebook page. This allows retailers and brands to display their products for sale and allows Facebook users to shop from Facebook, add items to their shopping cart, and check out. The added bonus for Facebook users and shoppers is that they are not limited to just shopping for your products, but instead have the ability to add products from different merchants to their shopping carts and check out with one seamless process. Since people want to stay in Facebook while conducting their purchasing transactions, using the Facebook Mall allows brands and retailers to control merchandising on the brand’s Facebook page. You own the content and your page, but you have support promoting it to the millions of Facebook users via the public Mall.18
  • 21. Pros and ConsProduct Exposure. The Facebook Mall can work for and againstretailers and brands. Since it is a “mall” environment, it essentially isa warehouse of goods. Therefore, you don’t control how your productsare presented to consumers. The potential exposure can be valuable,but it can also put your identical products in direct competition withother companies selling the same or similar products.Facebook Presence. Getting your products in The Facebook Mall can,of course, work for companies that don’t have a strong Facebookpresence. It’s a fast, cost-effective way to test how your products willsell within your Facebook community members, and also allow you toextend your reach to non-members.Social Shopping. Another feature to consider is the social shoppingaspect that Payvment brings to the shopping experience in TheFacebook Mall. In addition to making multiple products availablefor shopping and checking out at one time, Payvment also allowsfellow Facebook friends to see what friends are buying, “liking” orreviewing.So, if you add in item in your shopping cart, it also appears in yournewsfeed. You can then make a comment on your purchase for othersto see. In turn, friends can also leave their own comments or commentback on the items that you have purchased.If you want to deliver memorable, highly curatedshopping experiences, the Facebook Mall is not foryou. However, if you’re a new business that is simplytrying to drive awareness of your products, thiscould be an effective solution. 19
  • 22. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! 2. On-site Redirect The second primary option for displaying your products and services on Facebook is with an on-site redirect. This option allows you to display your products on a custom tab on the brand or retailer’s Facebook page. When visitors to the page click on the product, it sends them to the e-commerce store that sits on your website to complete the transaction, taking them out of the world of Facebook. So, what happens here is that one of the tabs on your Facebook page is labeled “products” or “shopping” or “shop.” You can embed images of each of your products in the tab and even display some information, such as a product description and price. Facebook shoppers can click on the image of the product to obtain more information or to make a purchase. Instead of the transaction taking place within Facebook, however, the shopper is re-directed to your website e-commerce store so the transaction can be complete. In essence, your presence on Facebook acts like a link directory where you are positioning your company and information to consumers in places where they will find you in order to drive them back to your site. Pros and Cons Establish a Facebook Presence. Using the on-site redirect option has its advantages and disadvantages. The primary benefit is that it allows brands and retailers to enable commerce on Facebook. It gets your products in front of shoppers. Since the Facebook option redirects or sends the visitors back to the website of the brand or retail store, it works as a traffic driver.20
  • 23. Disconnected Experience for Consumer. The primarydisadvantage is that it creates a disconnected experiencebecause it requires consumers to leave Facebook to completethe transaction. While a percentage of your consumers willultimately feel more comfortable visiting your site directlyto complete the transaction, you risk alienating those thatwish to stay within their favorite social network to completethe entire consumer journey from awareness to transaction.Therefore, it may not be the most beneficial option in creatingthe Facebook experience that users seek. Once they see thatthey are being sent to your website, they may close your siteand simply return back to Facebook. Others, however, maycontinue with the transaction. The goal is to satisfy both, soyou need to strongly consider how much of this market youwish to capture before you choose this option solely.Technology Risk. There is also some infrastructure riskassociated with using onsite re-direct to promote yourproducts. Facebook, as it has been known to do, could makechanges to your ability to use this option. For example,Facebook recently removed FBML script from the site tomigrate everything over to iFrames. Consider the implicationsif they were to remove the products or shopping tabaltogether! In short, this puts your brand at risk and leavesit at the mercy of Facebook, which means you lose somecontrol. It’s completely unpredictable. » 21
  • 24. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! 3. Interactive Catalog The catalog shopping experience has evolved with technology. Now, you have the ability to embed an interactive catalog into a tab on your Facebook page and conduct commerce within it. Just as consumers would flip through a print catalog, they can “flip” through the interactive shopping experience that combines the rich media content that Facebook users consume with the ability to transact without leaving the catalog. Companies can leverage this option to satisfy shoppers who wish to complete the entire process within the social network, and provide the ability to navigate to their ecommerce website for those that do not. Pros and Cons Facebook Navigation. The primary advantage of the interactive catalog is that it allows companies to create an online experience that integrates compelling content with the opportunity to transact. Consumers can engage with your content, click on products, and add items to their shopping cart without ever leaving Facebook. Combining the familiarity22
  • 25. of their social network with the proven format of a linear, richmedia experience, this option truly supports users who wishto navigate Facebook and stay in the application to completeconversions.Capture Impulse Purchases. Another advantage of theinteractive catalog is that it allows retailers and brands tocapture impulse purchases because of the high levels ofcustomer engagement. The combination of validation of anetwork connection’s ‘like’ and the compelling content youpresent to potential shoppers to encourage the sales, causeconsumers to stay longer and buy more, without interruption.Technology Challenges. There are some technologychallenges associated with this option. First, you have tohave an interactive catalog to embed into Facebook. Aninteractive catalog is not a PDF file of your product catalog.It’s a virtual catalog that combines the look and feel of a realcatalog with online shopping cart capabilities. Rather thana flat look and feel, an interactive catalog creates a trulymerchandised presentation of your products that pulls theshopper in and moves them through the catalog.In order to truly monetize your Facebook presence, it’s notsimply a “build it and they will come” mentality when itcomes to successfully selling from the Facebook platform.While these consumers have elected to engage with yourcompany, what and how you offer them to purchase willdetermine your success. 23
  • 26. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook!Social Commerce Tipsfrom the Pros In order to cut through the mountains of information on the topic, here are some of the best practices from social commerce thought leaders: • According to Angie Schottmuller from ClickZ, it’s wise to offer exclusive content on Facebook. Create a special offer or special shopping experience to Facebook Facebook followers or those who are willing to “like” your brand E! EXCLUSIV or retail store on Facebook. The ‘exclusive’ may be the inside scoop, an exclusive deal, or products that are available to FB users prior to the rest of the world. • Jason Taylor from Usablenet says that retailers and brands should support easy and secure e-commerce, so that the “shop from Facebook” experience is positive when associated with your brand. • Ruth Mortimer from Adage encourages brands and retailers to leverage f-commerce as a way to provide instant gratification. • Jake Hird from Econsultancy warns that it’s not about choosing between e-commerce and f-commerce; it should in fact be both that you are using to promote your brand and its products. • Brian Solis from E-Commerce to F-Commerce says not to replace e-commerce with f-commerce, but to use both. F-commerce reaches the social consumer, while e-commerce reaches and fulfills the needs of your traditional consumers.24
  • 27. Don’t replacee-commercewith f-commerce—USE BOTHF-commerce reaches the socialconsumer, while e-commercereaches and fulfills the needs ofyour traditional consumers 25
  • 28. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Conclusion So, there you have it. We hope this paper provided you with the foundation to understand the opportunity presented by monetizing your Facebook community. However, you also see the need to approach this strategically, as the last thing you want to do is alienate this vital community by turning their social experience into a sales experience. You also know now that you have options in how you present and sell your products on Facebook. Now that you have all this information on this topic, it is up to you to evaluate which option provides the most benefits to you, your prospects and your customers.26
  • 29. To recap:• The Facebook Mall allows you to extend the reach of your products beyond your fan base, but puts you at risk of a highly competitive marketplace.• Using Facebook as a traffic driver to your ecommerce site will ultimately help improve your web traffic and may lead to conversions, but you are not reaching consumers that wish to transact within Facebook itself.• Interactive catalogs allow you to present your company in a rich, dynamic manner, enabling the consumer to transact directly from within the catalog, but achieving this solution will require you to devote additional resources to design and implement your online catalog.Regardless of the option that suits your needs best, as acompany seeking to increase revenue, you need to seriouslyconsider a multi-channel strategy in reaching today’sconsumer and one of those channels should be Facebook.Remember, as a retailer or brand, you are no longer in controlof where the consumer shops or finds you. The primaryway to reach them is to put your products in places whereshoppers are most likely to find them. Because of its sizeand potential impact on brands, Facebook has definedthe role “social commerce” plays when it comes to onlinetransactions.Leveraging Facebook permits your brand or retail store toplay a role in social commerce—one that just may help youreach a 3.4% conversion rate from your f-commerce store;obtain a 6.5% click-through rate on your Facebook wall;reach 642,613,700 Facebook users and 57.1% of the Internetusers that are on Facebook. How powerful would that be foryour sales? 27
  • 30. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Want to get your piece of retail sales spent on Facebook? Complete the following form to learn how to get revenue from your brand’s Facebook page without alienating your community.30
  • 31. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Are You Ready for Facebook Commerce? 8th Bridge, a Facebook e-commerce software company, forecasts retail sales on Facebook in 2011 will be IRO $100 million Facebook’s referral traffic to Amazon grew 328% year over year in Oct. 2010, while Google’s traffic dropped 2%. Facebook traffic to eBay grew 81% while Google traffic dropped 3%. According to 8th Bridge, people are 18 times more likely to buy directly in their News Feed than when clicking off to a separate website Progressive brands and retailers are taking notice that their consumers are spending their time on social networks. Zmags enables you to reach your community and share an enriched experience that not only engages them with your content and products but inspires them to convert without alienating them and making the transaction feel forced. • Easily publish online content to Facebook using a custom app located on your brand’s fan page and Zmags • Track engagement and conversion from your Facebook catalog to capture product performance data and overall conversions with your community • Deliver a fully merchandised, interactive experience to your fans that encourages conversions without disrupting the social nature of the network28
  • 32. Over 3000 brands use Zmags to deliver rich, interactivecontent to their audiences.Click on any of these brands to see how they are using ZmagsFacebook enhancement to connect their content to theircommunity. Cascio Music Great Valley Publishing MyTown NAVC District of Saanich University of Colorado Boulder 29
  • 33. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Online catalogs capture attention. When compared to navigation on HTML product pages, consumers stay longer in a catalog format and put more items in their cart. Online catalogs fit in with your mobile strategy. Because Zmags is fully optimized for all devices, you have the ability to create 1 catalog that is cross-channel. Brands have also added their Zmags catalog to mobile apps and double the number of visitors. Online catalogs provide consumer behavior and product performance analytics. Literally the only advantage you have online is the analytics. Using Zmags, track how consumers use your catalog to drive offline merchandising decisions.30
  • 34. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook! Over 2500 brands use Zmags to increase engagement and conversions. Get started today!30
  • 35. Over2500 brandsuse Zmagsto increaseengagement andconversions.Get started today! 31
  • 36. A Retailers Guide to F-Commerce: Selling to People Where They Are Anyway–On Facebook!30
  • 37. 31