Social commerce is the practice of promoting and selling products and services through social media platforms. It encompasses tools like shoppable Instagram ads, Snapchat Takeovers, TikTok videos, and more. For example, when you click on that cute skirt that keeps popping up in your IG feed, you’re engaging in social commerce. A key feature of social commerce is that you buy the product directly through the platform instead of going to the brand’s website.
Naturally, social commerce has a few advantages for both shoppers and brands alike. It’s easier for the consumer, who can make a purchase without abandoning whatever else they were doing. It’s also an ingenious way for brands to get customers to the bottom of the purchasing funnel a lot faster. However, social commerce isn’t just convenient and fast; it’s also changing the way we do business as a society. Here are some ways social commerce is impacting consumer culture.
New Paths to Brand Discovery
In the recent past, consumers typically discovered products by heading to search engines like Google, or large marketplaces like Amazon. In some cases, they might also go directly to the website of their favorite brand or retailer. For example, a customer looking for a new, affordable pair of headphones might type “best budget earbuds” into Google. Or, they might go to Amazon or Best Buy, head to the electronics section, search the word “ear buds” and filter by price.
With commerce media and other social commerce tools, however, more customers are discovering products by scrolling their feeds. They might hear about a new pair of headphones from their favorite Reels creator or see a targeted ad on IG. They might search for a product on TikTok, so they can see different creator and customer reviews and unboxings. They’re learning what brands they’ll like from their algorithms and online communities, not just SERP results.
More Impulse Purchasing
The nature of most social commerce is that shoppers don’t log on with the intent to purchase. They’re there to get updates from their friends and communities, laugh at funny memes and videos, or get riled up about politics. This can make it a little harder to sell, because you have to move customers to the purchasing stage sooner. However, some other qualities of social commerce make it easier to land that sale.
For example, social platforms may enable you to create a sense of urgency with customers. For example, with live, shoppable video or limited time offers, they have to act fast or risk missing out. Deeply personalized, highly-engaging interactive content can also draw them in and trigger a quicker purchase. For example, they might participate in a quiz, poll, or flash sale that prompts them to purchase before they’ve had a chance to really think about it.
Consumption = Community + Conversation
Social commerce works because it comes with the power of social proof — positive feedback on products and services from trusted friends, influencers, and peers. Modern shoppers, especially Gen Z, trust their social communities much more than they trust information that comes directly from brands. If their favorite creators or internet friends say a snack, shoe, or movie is good, they’ll go all in. It’s like getting a recommendation from a friend instead of a sales associate.
The long-term cultural impact is that shopping has and will continue to become a larger conversation, rather than an individual decision. Products will gain popularity or even go viral because they get people talking about them across social platforms. Think of the viral Stanley thermos, Elf concealer, or virtually any CeraVe product. Social media influence can even be powerful enough to renew consumers’ interest in an 8,000 year-old cheese.
Better Customer Insights
Another way that social media is changing the face of consumer interactions is by feeding more information back to brands. Social media is one of the easiest ways to collect data about your customers and their shopping habits. Beyond gathering first-party data and data input when a customer makes a purchase, many shoppers intentionally interact with brands. Consumers’ comments, mentions, and user-generated content can provide insights into their habits and needs.
Social commerce platforms also allow brands to track other kinds of interactions, like ad clicks and time spent viewing products. They allow brands to track individual user behavior, providing deep insights and opportunities for targeting and personalization. Brands can follow the buyer’s journey across social and learn exactly what triggers a purchase. They can use this information to A/B test and shape and reshape their content to influence purchasing decisions.
Don’t Just Do It for the Likes
Perhaps the most significant way that social commerce is redefining consumer interactions is by creating deeper demand for authenticity. People want to hear from other people first, but when they do hear from brands, they want nothing but the truth. A brand really can’t go anywhere anymore with frilly sales language, false claims, or broken promises. Consumers are more discerning, and more eager to share their experiences of brands with their friends and followers.
Knowing this, brands need to work that much harder to make sure they’re selling a high quality product or service. They can’t coast by on an age-old reputation or expect a flashy ad to make their audience forget their failures. When they do make mistakes, they need to be honest with their followers, or risk further reputational damage. Most importantly, brands need to know who they’re trying to reach and how to resonate with them on a deep, genuine level.
