Social Commerce - What Are We Waiting For?

Social Commerce… What Are We Waiting For Jurgen Appelo [email_address] version 2

The 7 Social Media Marketing Trends ( ViralBlog - March 31, 2010) http://www.viralblog.com/social-media/7-solid-social-media-marketing-trends/

The 7 Social Media Marketing Trends ( ViralBlog - March 31, 2010)
The Audience Is In Control
http://www.viralblog.com/social-media/7-solid-social-media-marketing-trends/

Social Media Is Not Free Publicity

Social Gaming

Social Gaming
ROI Measurement

Social Gaming
ROI Measurement
Integrating, Mixing & Sharing

Social Gaming
ROI Measurement
Mobile & Location Based Content

Social Gaming
ROI Measurement
Mobile & Location Based Content
Social Commerce

Social Commerce… a trend? When? http://www.google.com/trends?q=e-commerce,+e-business,+social+commerce

An investigation…

Social Commerce… a definition
“ A subset of electronic commerce that involves using social media, online media that supports social interaction and user contributions, to assist in the online buying and selling of products and services.”
http://socialcommercetoday.com/social-commerce-definition-word-cloud-definitive-definition-list/

Ratings & Reviews Sharing & Referring Social Media Marketing Social Shopping Forums & Communities Social Applications Conclusions Agenda

Ratings & Reviews

Why do we trust what other buyers recommend?

Why should we trust the reviews at point-of-sale or in a brochure?

traditional approach: the brand controls the reviews not really social, no trust

Can we trust independent product directories?

Should we trust independent search?

Maybe we can trust experts and authorities?

Hm, apparently not…

word-of-mouth, but who can we trust?

Social proof: Put your money where your mouth is

trust + social proof = $$$
Ratings & Reviews http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/

boosts traffic volume and order value (up to 25%)

boosts traffic volume and order value (up to 25%)
negative reviews have little or no effect on sales

Sharing & Referring

Social network sharing: word-of-mouth for friends

This has led to an answer to… What do my friends think of this product?

And also an answer to… What are my friends buying?

And it also led to... Influencer marketing

A small detour… social network theory

focus on the right people

“ gatekeepers” know the right people

“ pulsetakers” know the most people who know the right people

“ hubs” know the most people

End of detour… social network theory influencer marketing is not spamming the hubs it’s working through the right people (and let the network do the rest)

Sharing & Referring http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ endorsements by friends: double conversion rates

Sharing & Referring http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ endorsements by friends: double conversion rates shifting ethics: people are sharing more and more

Sharing & Referring http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ endorsements by friends: double conversion rates shifting ethics: people are sharing more and more requires strategies for influencing the right people

Social Media Marketing

Broadcast promotional content, to the right people

Broadcast exclusive deals, to the right people

But that is all still about broadcasting …

Organize social media events and contests…

Use local promotion…

Involving consumers means engagement

Social Media Marketing http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ engagement replaces broadcasting

Social Media Marketing http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ engagement replaces broadcasting up to 500% sales increase

Social Media Marketing http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ engagement replaces broadcasting up to 500% sales increase big opportunities for location-based services

Social Shopping

Synchronous shopping… “just like in real life”

Group buying… “get a better deal”

For shop-a-holics… “fun shopping”

adding value between networks and vendors

Factory outlets… “remove the middle man”

Social storefronts… “put the shop in the street”

Garage sales… “shopping among friends”

Social Shopping http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ specialist networks moving in to add value

Social Shopping http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ specialist networks moving in to add value producers and consumers getting closer

Social Shopping http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ specialist networks moving in to add value producers and consumers getting closer reports of up to +50% in average order value

Forums & Communities

Consumers following a brand

Consumers discussing products

Consumers discussing ideas

Consumers helping consumers

Consumers supporting consumers

conversations between consumers and consumers

conversations between consumers and employees

Employees assisting consumers

Forums & Communities http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ requires trust between consumers and brand

Forums & Communities http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ requires trust between consumers and brand strengthens trust between consumers and brand

Forums & Communities http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ requires trust between consumers and brand strengthens trust between consumers and brand reported to be 4x as effective as TV ads

Social Applications

M-Commerce: move shops from web to mobile…

Add on-line features to off-line products…

Offer added value for existing customers…

Tap into new social credit systems…

Social Applications http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ apps move from web to mobile (M-commerce)

Social Applications http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ apps move from web to mobile (M-commerce) apps move from web to social (F-commerce)

Social Applications http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/ apps move from web to mobile (M-commerce) apps move from web to social (F-commerce) new social credit systems emerging

Conclusions

increased demand volatility Focal Intent

blurring and convergence of channels kevindooley

matching business structure with dynamic environment jared

master data management for social identities

So, is Social Commerce… a trend

Social Commerce is… a transformation
“ Just as e-commerce transformed retail ,
social media transforms e-commerce
by changing people’s expectations.”
Mitch Joel - April 21, 2010 - Social Commerce Summit
http://socialcommercesummit.com/

7 Important Questions…
What is our strategy for targeting the right people ?
How do we build trust in our brand?
How do we develop social proof ?
Are we engaging instead of just broadcasting?
What can we do locally instead of globally?
Can social media disrupt our supply chain ?
Are our consumer apps where our consumers are?

the end

@jurgenappelo

Social Relationship Management

Sources
The 6 Dimensions of Social Commerce: Rated and Reviewed
http://socialcommercetoday.com/the-6-dimensions-of-social-commerce-rated-and-reviewed/
Simple Definition of Social Commerce
http://socialcommercetoday.com/social-commerce-definition-word-cloud-definitive-definition-list/
7 Solid Social Media Marketing Trends
Speed Summary / Mitch Joel on Social Media @ Social Commerce Summit
http://socialcommercetoday.com/speed-summary-mitch-joel-on-social-media-social-commerce-summit/
Five Reasons why Supply Chain Leaders need to know More about Social Commerce
http://www.supplychainshaman.com/2010/03/five-reasons-why-supply-chain-leaders-need-to-know-about-social-commerce/
Amazon: You Need to Change Your Idiotic Customer Review Policy Right Now
http://techcrunch.com/2010/03/22/im-not-kidding-do-it-now/
Amazon readers’ reviews, and professional critics
http://www.amandacraig.com/pages/blog_01/blog_item.asp?Blog_01ID=229
One’s Thoughts of Epinions.com
http://www.associatedcontent.com/article/1941586/ones_thoughts_of_epinionscom.html

Sources
Announcing the Google Product Reviews Program
http://googlemerchantblog.blogspot.com/2010/04/announcing-google-product-reviews.html
Review of Google Product Search
http://google.about.com/od/googlereviews/gr/productSearchRe.htm
Bing Now Lets You Shop With Your Friends
http://thenextweb.com/microsoft/2010/05/07/bing-now-lets-you-shop-with-your-friends/
SponsoredReviews.com Review
http://www.bukisa.com/articles/254781_sponsoredreviewscom-review-my-experience-with-this-blog-review-service
Amazon.com Recommendations: Item-to-Item Collaborative Filtering (PDF)
http://agents.csie.ntu.edu.tw/~yjhsu/courses/u2010/papers/Amazon%20Recommendations.pdf
How Levi’s and Facebook Prompt Your Friends To Improve Your Buying Experience
http://www.web-strategist.com/blog/2010/04/30/social-commerce-breakdown-how-levis-and-facebook-prompt-your-friends-to-get-you-to-buy/
Review: Blippy (“What are your friends buying?”)
http://paulstamatiou.com/review-blippy-what-are-your-friends-buying
YouTube Brand Channels – The Missing Link
http://www.reelseo.com/youtube-brand-channels/

Sources
Facebook Fronts on Foursquare, Drinks McDonald’s Milkshake
http://www.fastcompany.com/1640354/facebook-foursquare-location-security-personal-data-leak-check-in-mcdonalds
A TechCrunch Teardown: What Makes Groupon Tick
http://techcrunch.com/2010/05/02/teardown-groupon/
The Lure of Freebies: Try Some Tryvertising
http://blogs.bnet.com/customer-service/?p=951
Building online brands: the influence sphere of brand communities
http://www.socialemailmarketing.eu/2010/05/social-media-marketing-online-brands-and-the-influence-sphere-of-brand-communities.html
Marketing to the Ubiquitous Cellphone
http://www.ecommercetimes.com/story/69399.html?wlc=1273916377
How Nike’s Social Network Sells to Runners
http://www.businessweek.com/magazine/content/08_46/b4108074443945.htm
Starbucks f-commerce + m-commerce = New Gold Standard
http://socialcommercetoday.com/starbucks-f-commerce-m-commerce-new-gold-standard/
Facebook’s Credits Bank of the Web
http://blogs.ft.com/techblog/2010/04/facebook’s-credits-bank-of-the-web/

Sources
5 Ways Facebook’s Open Graph Will Impact E-commerce
http://mashable.com/2010/05/07/facebook-open-graph-ecommerce/
Trends: Master Data Management 2010 – Focus on Outcomes Drives Push for Value
http://blog.softwareinsider.org/2009/10/26/trends-master-data-management-2010-focus-on-outcomes-drives-push-for-value/
Trend: When Digital Displays Fuel Social Commerce
http://www.web-strategist.com/blog/2010/05/08/trend-when-digital-displays-become-social/
Pepsi rolls out multifaceted LBS mobile loyalty initiatives
http://www.mobilecommercedaily.com/pepsi-rolls-out-multifaceted-lbs-mobile-loyalty-initiatives/
Speed Summary / Google on Social Commerce – Social Commerce Summit
http://socialcommercetoday.com/speed-summary-google-on-social-commerce-social-commerce-summit/
On Trust and Culture (Social Network Theory)
http://globalleadershipnetwork.com/Articles/trust-and-culture.htm
Procter & Gamble’s new e-store markets directly to consumers
http://econsultancy.com/blog/5941-proctor-gamble-markets-directly-to-consumers-with-new-e-store

This presentation was inspired by the works of many people, and I cannot possibly list them all. Though I did my very best to attribute all authors of texts and images, and to recognize any copyrights, if you think that anything in this presentation should be changed, added or removed, please contact me at jurgen@noop.nl.
http://creativecommons.org/licenses/by-nd/3.0/

http://econsultancy.com	818
http://www.socialbeta.cn	690
http://socialcommercetoday.com	250
http://www.slideshare.net	245
http://www.vaninadelobelle.com	183
http://mangastorytelling.tistory.com	155
http://www.emreguzer.com	146
http://igonecastillo.blogspot.com.es	139
http://www.noop.nl	138
http://www.20ju.com	57
http://www.web-ideas.de	42
http://igonecastillo.blogspot.com	20
http://wiweck.wordpress.com	18
http://social.weizhuli.com	17
http://translate.googleusercontent.com	10
http://otter.popmultimedia.com	9
http://blog.salmonindia.com	9
http://timdl.posterous.com	9
http://som-marketingberatung.de	8
http://maripe.tistory.com	7
http://www.socialbeta.com	7
http://blog.sociotoco.com	6
http://feeds.feedburner.com	5
http://www.lmodules.com	5
http://www.som-marketingberatung.com	4
http://ecombw.wordpress.com	4
http://static.slidesharecdn.com	4
http://etailing.wordpress.com	3
http://olpost.com	3
http://igonecastillo.blogspot.mx	3
http://nooperation.typepad.com	3
http://yok.to	2
http://hestory72.tistory.com	2
http://paper.li	2
http://www.dudleylearning.ac.uk	2
http://frank-xs.blogspot.com	2
http://igonecastillo.blogspot.in	2
http://webcache.googleusercontent.com	2
http://pinterest.com	1
http://www.hanrss.com	1
http://us-w1.rockmelt.com	1
http://www.typepad.com	1
http://www.copyscape.com	1
http://66.163.168.225	1
http://ieyil.blogspot.com	1

Social Commerce - What Are We Waiting For?

by Jurgen Appelo on May 20, 2010

Accessibility

Categories

Upload Details

Usage Rights

45 Embeds 3,038

Statistics

Social Commerce - What Are We Waiting For? Presentation Transcript