Digital transformation has paved new ways for e-commerce businesses to boost sales with social media platforms. With a genuine feeling of community and connection, it has integrated purchasing and selling opportunities to help executives generate revenue & what better way to communicate with your customers than social media platforms?
An online purchasing experience is referred to as e-commerce. However, social commerce allows customers to make purchases while interacting on social media. It includes everything from product discovery to the checkout process – the entire shopping experience.
It has been estimated that the global social commerce market will multiply almost two-and-a-half times to reach US$ 1.2T by 2025 from US$ 492B in 2021. The Indian social commerce industry has grown three times faster than its conventional e-commerce counterpart.
This
branch of digital commerce has the potential to redefine the way people shop
for their favorite items, especially in a densely populated country like India
We have barely scratched the surface of what social commerce can become. Any brand, large or small, and any individual can now become or create a ‘brand’ of their own and reach a market directly. This gives consumers more control. It gives power back to the people. Rather than a handful of big retailers and brands selling to mass markets of millions, millions of individuals and smaller businesses are seen selling to one another within a vast social commerce ecosystem.
Social commerce is a democratizing force that is driven by creativity, ingenuity, and the power of people. It empowers small brands and individuals and makes big brands re-evaluate their strategies. The implications cut across every consumer category, across products and services, and will impact every platform, brand, and retailer.
These
social e-commerce players need to put people at the heart of their strategies
and embrace this rich ecosystem with new partnerships and business models.
With
increased internet penetration in India, social commerce is expected to
revolutionize and democratize the overall e-commerce landscape in India.
However, social e-commerce platforms should seek necessary KYC documents, declarations,
representations, warranties, indemnities, etc. from concerned sellers to hold
them accountable and liable in case of non-genuine sales.
Social
media platforms such as Instagram, Facebook, WhatsApp, Trell, and Chingari
dominate 65% of the social commerce market in India, the rest lies with
e-commerce-led platforms such as Meesho, GlowRoad, Dealshare, and Shop101.
Currently,
social media-led social commerce is dominated by international brands such as
Facebook, Instagram, and WhatsApp who were also the early movers in this
segment. However, India-based social media apps such as Roposo, Trell,
Chingaari, MX TakaTak, Moj most of whom have come up in the last 1- 2 years are
also looking to enter the social commerce space to grab the opportunity
The year 2020 saw a sizable increase in social commerce occurring on social media networks, with people making purchases without leaving their social accounts. In 2022, we can expect more integrations among different platforms that will enhance omnichannel and multidevice experiences for both consumers and brands.
When
the term ‘social e-commerce’ was first coined under the e-commerce umbrella, it
was perceived to be just a passing trend in e-commerce. However, it has since
become a whole new market in itself. With increased consumer engagement in
social media platforms, we see social commerce creating a new economy that
brands should proactively strive to reach