Posted  April 19 2022

What is "s-commerce" or "social commerce"?

Written by Jerônimo do Valle
What Social Commerce and Social Media Marketing have in common is that they put the consumer at the center of the entire communication and sales process. More than ever, it is now essential to involve customers, selling experiences rather than products. In this way, it is necessary to conduct the consumer's purchase journey, from the discovery of the product. And all this can happen using the great potential of social networks.
It is important to clarify; when we talk about s-commerce we are on a different level from Social Media Marketing. The latter only aims to direct the followers of a particular social network to an online store, where the brand's sales are carried out. However, in the case of s-commerce, the objective is to keep users on the social network, leading them to finish the operation directly there, without unnecessary redirects that could "scare" less experienced users - or "annoy" others. This represents a whole new concept that needs to be introduced and that is directly related to the theme; it is the "Social Shopping", where all purchases are made within the social network - which manages sales and interactions with users, promoting the effective integration between the manufacturer and the platform. In this way, when your product is shared by Internet users or receives "Likes", it moves on, always gaining space in the sea of ​​information that abounds online and can thus manage to stand out, reaching more and more people, progressively .

Resellers also benefit from such an arrangement. As they are not involved in manufacturing and logistics, they can start the business with minimal or zero investment. No need to keep inventories, no dedicated office or warehouse space; you can work from anywhere, using just a phone or laptop with internet access. More important; you can promote and sell a wide range of product categories - which may or may not be related to each other - and define your own profit margins.

Even with e-commerce gaining popularity and adoption around the world, there are still millions of potential buyers who are new to the process or, while interested, are reluctant to accept the change. The meaning of value is also different for each consumer segment, depending on a number of social, economic and cultural factors. To make e-commerce more inclusive and bring these consumers into the digital economy, companies have already realized that they will have to adopt a combination of business models, each with a well-defined customer profile and market in mind. Reseller, direct-to-customer (D2C), hyperlocal – all these can coexist and succeed. There may be an occasional overlap, but together, the benefits of e-commerce are guaranteed to reach everyone.

Finally, the "Egg of Columbus" is that s-commerce is directly related to consumer interactions with a particular product or brand; this is the great strategic added value. The approach is based on the ability of Internet users to give their opinion, classify the quality of products and evaluate the functioning of the service provided by brands and online stores. Based on this data, other consumers become aware of the products (or brands) and are able to form their own opinion, feeling more comfortable buying. Social commerce therefore involves integrating sales with social networks, also promoting the sharing of content. The ultimate goal, of course, is to sell, but it's even more vital to create a "buzz" around the item or brand, get consumers talking about it and "pass the information along" - ideally in a positive way!