It's one thing to advertise via social media and bring people back to your site, but social media platforms are looking to bring conversions closer and control them further by bringing them directly into their platforms.
For e-commerce providers, this is a welcome move because it's been difficult to measure and see an excellent response on their social media investment with conversions. Tracking and attribution continue to be a challenge.
Of course, for social media platforms, this is a step closer to getting in between the e-commerce provider and their customer. If they can own that relationship, they can siphon the profits off of it. This can lead to a lot of revenue growth in the social media space. No doubt once that relationship is owned, they'll crank up the dial.
Your friendly neighborhood social media giants seemed to have cracked the code when it comes to advertising. But they’ve had more misses than hits so far in their efforts to take a slice of our e-commerce shopping dollars – from the Facebook Gifts experiment (discontinued in 2013) to Twitter’s flagging #AmazonCart. This year, however, it seemed that brands like Pinterest, Instagram, Youtube, and even Facebook and Twitter, may have turned the corner on social shopping.
Slant Marketing has put together this comprehensive infographic with the State of Social Media, and they provide the following details of the social platform's commerce availability, opportunity and limitations.
Some Key Statistics to Social Media Ecommerce
- 93% of Pinterest users use the platform to research purchases
- 87% of Pinterest users have purchased an item because of Pinterest
- Instagram engagement is 58x to 120x higher than other platforms
- Youtube videos provide an 80% lift in consideration and 54% in ad recall
- Facebook accounts for 50% of social referrals and 64% of total social revenue