Social commerce is a subset of e-commerce that involves using social media and applications to allow online shoppers to network and collaborate during the shopping process. It encompasses ratings, reviews, deal sites, and social shopping malls/stores to assist both retailers and customers through the five stages of the shopping process: problem recognition, information search, alternative evaluation, purchase, and post-purchase evaluation. Strategies for social commerce include sharing tools, recommendations, reviews, testimonials, user galleries, pick lists, popularity filters, and forums.

1. CHAPTER 8
SOCIAL
COMMERCE
B Y : H A N N A H B U S C H J O S T

2. THE ZONE OF SOCIAL COMMERCE
• Subset of e-commerce – buying and selling products and services via the Internet
• Fourth zone of social media
• CRM/Service
• Retailing/Sales
• Human Resources

3. THE SHOPPING PROCESS
• Purchase Decision Stages
1. Problem recognition
2. Information search
3. Alternative evaluation
4. Purchase
5. Post-purchase evaluation
Each step is necessary to make an effective purchase decision.

4. RELATIONSHIP BETWEEN SOCIAL
COMMERCE & E-COMMERCE
• Use of social media and social media applications to allow online shoppers to network
and collaborate during the shopping experience.
• Assist retailers and customers during the shopping process.
• Encompasses online ratings and reviews, applications, deal sites, and social shopping
malls and stores.

5. STRATEGIES
• Share tools
• Recommend indicators
• Reviews and Ratings
• Testimonials
• User galleries
• Pick lists
• Popularity filters
• User forums

6. SOCIAL PROOF
• Cultural pressures
• Fear of deviance
• Commitment
• Group unanimity, size, and expertise
• Susceptibility to interpersonal influence

7. DEFINITIONS
• Affinity – “liking” people tend to follow those people whom they find attractive or
desirable
• Scarcity – wanting more than we can have
• Reciprocity – repaying debts and favors whether we request it or not
• Consistency – behaving in ways that are consistent with our attitudes and past
behaviors.