Social Merchandising: Data, Strategies, and Trends
During the 2014 Visual Revolution Summit, Emily Adler (BI Intelligence), Milton Pappas (Nine West Group), and Mike Effle (11 Main) joined Jessica Kia (RJK Project) to discuss the shifts in how and why people buy.
Today, social commerce still accounts for only a small portion of direct retail sales. However, with a 60% growth over last year, it is expanding at a rate that outpaces the entirety of e-commerce.
“For retailers to be competitive, they have to be in the social space to keep up with that growth,” Adler said during her presentation.
According to Adler, social commerce takes two forms: The first, and most obvious, is an immediate click and purchase. However, the second form accounts for social’s influence on an eventual offline or online sale. The second form makes attribution difficult and puts into question standard forms of measurement like conversion rates or click-throughs. Just because a person engages with a product on social doesn’t mean their purchase will occur online. In fact, an equal amount of social-fueled sales happen in-store.
Watch Emily Adler share more social commerce trends and data in her Visual Revolution Summit talk below!
Next, Milton Pappas shared how Nine West Group has tackled the rise of social commerce through engagement and visual content.
“Like most retailers, we’re doing customer reviews…We know that they help to drive conversion,” Pappas said. “But we had a lot of this really great visual content out there in standalone social channels.” To find, curate, and publish that content, Nine West worked with Chute and Sociable Labs.
“We’re able to take it one step further and integrate content and commerce,” Milton said. And this integration has lead to a higher conversion rate and order value among these engaged shoppers along with a 126% growth in volume of photos shared and 134% growth in users!
Watch Milton’s presentation below:
Lastly, Mike Effle took the stage to introduce the audience to 11 Main. Part of the Alibaba Group, 11 Main features a curated selection of boutiques and shops. Mike provided insights gleaned from building not only the 11 Main brand but also the brands of many small shops. Watch his talk below!
To wrap up, Jessica Kia led the three speakers in a Q&A:
Want to learn more about social shopping? Download the Social Commerce 101 white paper here!