Snapchat continues to make incremental changes to e-commerce and making it easier to display and buy products in all new ways, this time by adding new product stickers for Snaps, which will guide users through purchase pages of the actual items.
But first, a quick recap: Back in April at its annual Partner Summit, Snap announced an upcoming ‘Dress Up’ element for the app, which would facilitate greater product discovery by putting a dedicated focus on its various buying and testing tools.
As you can see from this example, ‘Dress Up’ will be somewhat similar to Instagram’s Shop tab, given its dedicated product focus, but it will be a more advanced version, aligned with AR, with a range of digital products on display that can then be overlaid. to their own real-world scenes.
That will provide another option to see what the actual products would look like on you, or in your home, etc.
And now we have a first glance how the Dress Up process will work in the app.
As you can see from these screenshots, posted by user @peplm On Twitter, some Snap users now have access to a new product tag tab in the app, which includes a variety of digital items that you can then add to your content.
New product stickers are categorized into brands, with the majority, at least at present, being clothing and accessory businesses. Tap on these brand sets and you can select specific products, which you can then add as stickers to your Snap frame, which users can tap to learn more about the item or make a purchase.
We asked Snapchat about the addition and they provided this statement:
“We’re constantly looking for new ways to promote discovery on Snapchat. As part of that, we’re in the early days of testing Dress Up Stickers, where Snapchatters can find, try, and buy real products from the brands they love. While only available to a small number of Snapchatters at the moment, Dress Up Stickers will finally live in a new tab Dress Up Stickers ‘hanger’ icon within the Sticker Picker in the preview after taking a Snap.”
So it’s not yet available to many users, but it will eventually become Snap’s new Dress Up item, which will provide a new way to try on clothes and other items virtually by placing them in the frame.
It’s an interesting take on in-stream shopping, using a more interactive approach, which could help users create more engaging and engaging content, while also offering new promotional potential for brand partners.
But we still don’t have much to go on. There is no information, for example, on how brands can list their products and how they can link the stickers to their websites to purchase them. Snap will no doubt provide more information as the option rolls out more widely, but it could be another consideration for brands looking to maximize product discovery, especially among younger audiences who are more aligned with using AR.
In fact, Snap says that 250 million of its users (72% of its total DAU count) now interact with AR elements in the app every day.
Combine that with new interactive product stickers and it looks like it could be a big winner, helping Snap encourage UGC and make in-app product discovery easier.
It’s probably worth keeping an eye on at least – we’ll keep you posted on any new developments with the offer.
Facebook shuts down its live commerce push, which may reflect a broader disinterest in live shopping
In a move that likely reflects a greater concern for TikTok than Meta and its overall growth plans, Facebook announced that it will shut down its experiments with in-app live shopping, effective October 1 this year.
As reported by Business Insider, Facebook close out its native live streaming shopping program, along with the ability to create product playlists or tag products on Facebook, as you continue to refine your approach and streamline your development spend.
As Facebook explains (via BI):
“As consumer viewing behaviors are shifting to short-form video, we’re shifting our focus to Reels on Facebook and Instagram, Meta’s short-form video product. If you want to reach and engage people through From the video, try experimenting with Reels and Reels ads on Facebook and Instagram. You can also tag products in Reels on Instagram to enable deeper discovery and consideration.”
Live shopping will also remain active and in progress on Instagram, so you won’t abandon the process entirely. But he doesn’t see a future for it on Facebook, which makes sense, but also reflects the lukewarm response to live shopping in Western markets in general, which, as noted, could be a major concern for TikTok and its growth plans. .
Facebook has been experimenting with live shopping implementations for the past few years, as part of a broader push to lean into growing e-commerce trends. At the height of the pandemic, when social distancing requirements forced brick-and-mortar stores to close, online shopping surged, accelerating already-existing trends toward app spending. But as restrictions eased, e-commerce demand has also declined, probably more than many analysts expected.
That forced a reassessment of business plans in line with consumer trends, which has seen platforms like Pinterest lose out, or at least average them out, in terms of traditional e-commerce growth.
Which, as noted, could affect TikTok more than other apps.
The key model for TikTok’s growth strategy is Douyin, the Chinese version of the app, which has more than 600 million users in the region.
Douyin has been around longer than TikTok and is more advanced, which is why many of TikTok’s new tools and features look so polished, because they’ve already been rolled out to Douyin’s huge user base.
However, part of TikTok’s key challenge right now lies in maximizing revenue for creators and giving its top stars more opportunities to earn money on the app, because they can’t just insert ads into their short-form clips like they would. in Youtube.
The answer on Douyin has been in-app trading, with the platform reportedly driving $118 billion in product sales, much of it through live stream trading, in 2021 alone.
Live streaming trading has become a key trend for the app, with sales generated through Douyin live streams. increasing 7 times year over year in 2021and TThe number of e-commerce live streaming users exceeds 384 million, more than half of the platform’s user base.
EITHERIn general, live purchases are huge in chinawith predictions that live shopping revenue attain $400 billion in the region this year alone, equivalent to almost half of all e-commerce spending in the US last year. Live streaming trading has also proven increasingly popular with younger audiences, with users under the age of 27 seeing the fastest adoption of live streaming spending.
That should mean big opportunities in other markets too, but the fact that Facebook has decided to walk away from the process suggests that it just isn’t catching on in the same way, and that Western users aren’t embracing the live streaming shift with the same degree. vigor than Chinese consumers.
That could be a cultural trend. Chinese users may simply become more aligned with these new uses of the platform, similarly reflected in the way messaging apps have become essential connection tools across the region.
Western users have never adapted to messaging apps the same way, and maybe that’s just a variation in approach that can’t be beat. Some have also suggested that there are simply fewer opportunities to buy products online in China, with sales restricted to certain apps.
That could make live shopping a more attractive prospect. But whatever the reason, the failure of Western consumers to jump on the live shopping shift could be a huge concern for TikTok’s growth potential, because if it can’t offer compensation comparable to what creators can win on YouTube or Instagram, you can bet those top stars will eventually start migrating to greener pastures.
Creators have already expressed frustration at the low and inconsistent payout amounts available through TikTok’s Creator Fund, while TikTok has also recently scaled back its live shopping ambitions in Europe due to low adoption and internal conflicts.
If live shopping isn’t appealing, which, again, likely suggests Meta’s decision to scale back its momentum, TikTok may have to find alternative means of creator revenue growth and opportunity. Which may not even exist, while TikTok’s parent company ByteDance is also under increasing financial pressure and has been unwilling, at least until now, to consider increasing creator payouts.
TikTok is the app of the moment and is on track to hit 1.5 billion users this year, which would make it the third largest social platform by active usage. There is no doubt about its relevance and cultural presence. But eventually, his revenue-sharing challenges for top stars will become more of an issue.
TikTok’s design is also not aligned with the growing audiences of individual users, as its algorithms rank the best content from all users to highlight the most relevant material and keep it scrolling. The fact that it opens to the ‘For You’ page, not ‘Following’, is also not aligned with helping creators maximize reach and audience – there are several flaws in their process that could reduce their appeal to those who they seek to make content creation their focus.
Will these concerns eventually weigh more on the app? Facebook live shopping removal is certainly not a great sign in this regard.
This is an important update.
Pinterest today announced that co-founder and CEO Ben Silbermann is stepping down and moving into a new position within the organization, with E-commerce expert Bill Ready is set to take the helm of Pinterest starting June 29, 2022.
Silberman posted an impassioned update to the Pinterest blog, noting how important the platform is to him and his life.
“As you can imagine, it was a tough decision. A big part of my heart belongs to Pinterest. I guess you could call it a founder’s love. And, when you care so much about something , the natural instinct is to hold it as tight as possible, but often the most loving thing to do is to let it go and watch it blossom in new ways.
Silbermann will serve in the newly created role of Executive Chairman, where he will continue to oversee the app’s growth and development, albeit from a more distant perspective.
Silbermann’s move is obviously a major change in itself, but Ready’s appointment is also noteworthy, given his most recent role at Google, where he served as president of the search giant’s commerce and payments.
According to loan:
“There’s no better time to join Pinterest. I’ve long admired the brand and the platform that Ben and the team at Pinterest have created and everything the company stands for. I am excited to build on this foundation to evolve the company’s ecosystem and drive increased shareholder value. Having built multiple businesses from scratch and operated at scale with billions of users, I have a deep appreciation for what it takes to scale a business like this to the next level. I look forward to working closely with Ben, the Board, and the rest of the leadership team to capitalize on the many opportunities ahead and usher in Pinterest’s next chapter of growth and success. »
Under Ready, Google had regularly updated its e-commerce tools, with a focus on improving the connection between search and purchase. Which is much the same as Pinterest’s mission – and at times it had seen the platform stepping on Google’s toes to some extent.
Which apparently sparked various replication efforts from Google, with the search giant making its visual search results more similar to Pinterest, adding a visual search tool, very similar to Pinterest Lens, and possibly limiting the Pinterest referral traffic from search results.
In its Q4 21 update, Pinterest noted that:
“In addition, the decline in search traffic (driven by Google’s algorithm change in November) negatively impacted our MAUs year-over-year. In fact, we believe that the decline in traffic research was the main reason for the sequential decline in MAUs from the third to fourth quarters in the US and international markets.
There’s no direct correlation, as such, but Pinterest apparently lost a bunch of Google traffic, which could have been Google’s way of diluting its growing presence as a search platform, which , again, enters its main territory.
Which is concerning, since Google, as a competitor in essentially the same market, has the power to withhold any advantage Pinterest might get. But now Pinterest has a deep understanding of Google’s exact plans and strategy on that front, with Ready having played a key role in that exact process since Google’s demise, which could give Pinterest a big advantage going forward. .
I mean, Google still controls search traffic and still holds a huge advantage in that regard. But Pinterest facilitates more than 5 billion searches per month, which are mostly product-based, and with Ready’s in-depth insight into how the world’s largest search platform has sought to capitalize on that, it could help Pinterest boost its platform. level.
Of course, it still needs to attract users, which has been problematic lately, and it needs to keep finding new ways to add more merchants and product listings. But the knowledge and experience Ready brings will be invaluable in moving the platform to the next stage as a discovery network.
Social commerce is the future of online retail. By 2025, Accenture estimates that social commerce will more than double to a $1.2 billion market worldwide. Following the onset of COVID-19, consumers adopted social commerce behaviors, such as discovering, shopping, and finding support directly on social media apps, at an accelerated rate. Now brands are embracing these tools to deliver a personalized customer experience on whatever platform customers prefer.
Live shopping, for example, is a powerful way for brands to educate, engage and sell to customers in an interactive live streaming event with brand representatives or influencers. The audience can comment live, ask questions, and even make purchases from links on the live stream. In 2021, the number of people who bought products at a live streaming event increased by 76% globally.
Social media platforms are innovative in meeting this growing demand for social commerce. Twitter announced a new Twitter Stores function that allows brands to display up to 50 products in their profiles. Similarly, tik tok is testing shopping features to help brands manage their e-commerce within a second TikTok app. In the future, eCommerce brands will have more tools at their disposal to sell directly on social media and deliver increasingly seamless customer experiences.
Leading brands in social commerce
As the popularity and accessibility of social commerce grows, these brands have jumped in with both feet to connect with customers where they are:
Charlotte Tilbury delivers engaging and personalized interactions for its customers across multiple channels using the latest metaverse and live streaming technologies. The cosmetics brand was one of the first to create a digital store using virtual reality (VR). In November 2020, the brand launched a 3D digital store where shoppers can browse, shop and receive personalized recommendations from online store associates. Charlotte Tilbury also hosts live events including makeup and skincare tutorials within the digital store.
A new feature, “Shop with friends” allows customers to invite friends and family to join a video call and browse the virtual store together. The technology, similar to that in multiplayer video games, mimics the in-person shopping experience. While in the VR store, customers can also play a game where they navigate the store to find and collect hidden keys.
In addition to this social shopping experience, Charlotte Tilbury has live shopping events on Tik Tok. During these events, the brand partners with influencers to showcase and demo their products and even offers exclusive discounts for those who buy directly from TikTok UK.
Petco uses live streaming, influencer marketing, and social shopping to deliver innovative experiences for its customers. The brand partners with Facebook to engage pet lovers and pet owners in purchasable live streaming events. Their first live shopping event combined a pet fashion show with a dog adoption campaign organized by actress and model Arielle Vandenberg. Petco and his charitable foundation donated $100,000 to the participating dog rescue organization, while also raising awareness for their pet clothing brands. The event was a huge success, reaching over 900,000 people and increasing sales to twice the cost of the event.
Following that initial success, Petco partnered with more influencers, including Olympian Gabby Douglas, to host more live streaming events. During its live shopping events, Petco dedicated a team to engage with audience members in real time and promote relevant products on screen. Remote and on-site employees work together to provide engaging and engaging events.
The brand has also worked with Facebook and Instagram to establish social stores directly on social media platforms. Additionally, Petco leveraged its existing influencer partnerships to launch a TikTok campaign that reached over 28 million impressions for its pet clothing brand.
KitKat introduced the first shopping experience on Facebook Live in Australia, “Live from the KitKat Chocolatory,” during the 2020 holiday shopping season. The event featured chocolatiers demonstrating new products, interacting with special guests and offering exclusive deals to the audience.
The innovative experience included a shopping feature for live stream viewers to purchase products simply by typing in keywords. A viewer could type a prescribed keyword into the comment box, triggering a Messenger notification that includes a link to purchase the product online. Technologies like this keyword artificial intelligence (AI) tool are becoming more pervasive as social media companies experiment with new ways to shop for products directly on their platforms.
Zimba, a global brand of teeth whitening, quickly adopted the Facebook Shops platform to bring your products directly to your customers on the social media platform. With Facebook Shops, Zimba created a digital store where customers can discover and buy products without leaving the app.
To provide seamless customer support, Zimba also allows its customers to communicate with the brand directly on Messenger and Instagram Direct Message (DM). Customers can ask product questions, get support, and track deliveries before, during, and after making a purchase on social media. As a result, Zimba achieved a 6.7% increase in the average order value of shoppers on social media compared to shoppers on its website.
H&M was one of the first clothing brands to invest in bridging the gap between social media and online shopping. The brand created its own mobile sites that would list clothing and accessories from images in their Tweets that linked directly to buying the products online. Today, the brand uses shopping on instagram to promote your latest styles right on the mobile app and link to the products featured in each post.
The brand’s next step is to launch “Buy Live” at his H&M HOME Concept store in Kuwait’s largest mall, The Avenues. With technology powered by Go Instore, customers can access instant live consultations with store staff while browsing online. The new tool provides personalized experiences regardless of whether customers choose to shop in person or at home.
Entering social commerce
Consumer demand has forced businesses to pivot online and social commerce has become the sine qua non for brands looking to not only engage with consumers on social media, but also convert them into customers. By leveraging the power of live shopping, digital stores, shoppable ads, and social store brands can better meet customer expectations. Yet, according to a Forrester study, less than 30% of social commerce leaders prioritize customer engagement, fail to cultivate and nurture customer relationships throughout the social buying process, and put their business at risk. long-term growth of social commerce. One thing is for sure, brands that don’t embrace social commerce will now fall far behind the competition, while brands that embrace innovation will reach consumers hungry for personalized and engaging experiences.
Finding the right social commerce solution to help you do this can be overwhelming. Download the Social Commerce Solutions Buyer’s Guide to help you find the right option for your brand.
The social commerce industry in Mexico will create 42% exceeding 1,700 million dollars in 2022 – Marketing 4 Ecommerce
Such has been the influence of social commerce in Mexico that experts estimate that it will increase by 42% during the summer of 2022, exceeding 1,700 million dollars. In retrospect, its adoption has affected its factors: the coronavirus pandemic has increased the penetration of smartphones and the Internet among consumers.
Recent market research by Research And Markets not only confirms this information, but also add an estimate for the next six years.
More and more consumers will opt for social commerce in Mexico
Social commerce has gained considerable ground in the e-commerce industry over the last couple of years. in fact, more than half of consumers across the country have made purchases under this modality, when you spend long hours on the various platforms and are constantly tempted by brands. This is what this picture looks like in figures:
- More than 85% of those surveyed confirmed that they had purchased products or services through Facebook.
- Almost 40% did it through WhatsApp.
- A smaller percentage, 30%, has made this type of acquisition through Instagram.
It is expected, then, that the number of users in social networks will grow even more during the following years and, consequently, opting more often for social commerce. “This will boost the growth of the industry from a short and medium term perspective”reads part of the report in its entirety.
As for the Gross Merchandise Value (GMV) of social commerce in the country, it is estimated that it will increase by 1,749.5 million dollars in 2022. 11,136.7 million dollars in 2028.
Companies seek to capitalize on this growing trend in the country
Until the social trading industry has crumbled, go on the way: More and more companies and brands of Mexican origin have realized the potential of this modality and have made efforts to capitalize on it.
It is worth noting that they have approved the use of instant messaging applicationssuch as WhatsApp and other social networks, to close business transactions or promote products and services.
Other key indicators
The research included some key indicators that will guide the way of merchants who want to embrace this marketing strategy and thus stay ahead of the competition.
The categories of products and services that dominate
- Clothes and shoes.
- Beautiful and caring Personal.
- Food and groceries.
- Appliances and electronics.
- Items to improve the home.
End user segments
Devices of use that will continue to be used
- Mobile: smartphones and tablets.
- Desktop: computers and computers.
Payment methods they must have
- Credit card.
- Wire transfer.
- Prepaid card.
- Digital and mobile wallet.
“As more and more consumers bought products and services online, hope for a large influx of global investor stakeholders; including venture capital and private equity firms Over the next four to eight quarters”points to another part of the document.
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As 2022 began and the world was optimistic for a post-pandemic era, trend watchers predicted (despite physical store openings) that e-commerce would continue to grow.
According to a recent industry reporte-commerce will account for 20.4% of global retail sales by the end of 2022, up from 10% just five years ago.
The real segment of the e-commerce explosion is social commerce, the practice of shopping solely on social media platforms.
Gen Z has great comfort in navigating social commerce. A complete 97% They say that social networks are their main source of inspiration to buy. That same crowd says they’d rather buy items without having to leave the app they’re using.
Low and lo and behold, TikTok is a key factor.
Businesses can drive success based solely on their TikTok community, even with minimal overhead or traditional advertising costs.
Founder and CEO of the content platform Gen Z Culted, pavel dler it relates to his ingenuity as a next-generation entrepreneur. “For brands, TikTok is a more suitable app to share their process. You can show how you develop clothing or add artwork – it’s more creative and encourages people to get involved.”
Make no mistake: Millennials are not far behind in their use of social commerce and Baby Boomers have also become reliable online shoppers.
Live shopping, a form of social commerce, is advancing by leaps and bounds. Live shopping is like “commercials” broadcast live in real time, only instead of a one-way conversation, the host freely interacts with viewers on said social channel.
TikTok posted $470 billion in the live broadcast of e-commerce sales in China last year alone. North America and Europe are increasing.
For the enterprise brands that crossed the aisle to dive in, their investment has shown fruitful returns.
Samsung is a notable example. Before introducing the Galaxy Z Fold 2 5G mobile phone, the mobile company took advantage of live shopping to reach Generation Z. The brand and its partners reported 15,000 engagements and a 127% goal conversion rate… impressive.
The ICUC team created a reference guide that dispels some myths, breaks down channel opportunities, and discusses security measures. I hope you enjoy it!
EXPLORE OUR LIVE SHOPPING GUIDE
YouTube continues to merge more and more commercial elements into its app, this time through the implementation of direct shopping in its Beauty Fest 2022 streams.
As explained in the clip above, this year’s YouTube Beauty Fest will allow viewers to purchase what they see directly from the live stream.
YouTube has been experimenting with elements of live commerce over the past year, and is now looking at other ways to maximize the reach and engagement of shopping streams, in hopes of encouraging buying behavior. more direct in application.
YouTube’s 2022 Beauty Fest will feature a range of celebrities, including Gwen Stefani, Hailey Bieber, Kehlani, Ashley Graham and many more.
According to YouTube:
“On June 16, fans around the world will be able to tune in to see the biggest stars and hottest brands of 2022 come together for the ultimate celebration of beauty on YouTube, hosted by the head of fashion and YouTube beauty, Derek Blasberg, LIVE from Los Angeles.”
The popularity of these big names will help amplify the reach of YouTube’s shopping streams, which will serve as tremendous promotion for its live shopping elements, which it hopes to eventually make available to all users.
Direct shopping offers great potential and is already a major trend in Asian markets. Indeed, revenue from Chinese direct shopping is expected reach 400 billion dollars this year only, which would be almost half of all e-commerce spending in the United States in 2021. Live trading has also proven increasingly popular with younger audiences, with users aged 27 and under seeing the fastest adoption of the practice.
That’s why every US-based video platform is now eyeing the potential, and already, some streamers on TikTok and YouTube are making big bucks selling products through regular live streams.
Whether these same trends will take hold in Western markets remains to be seen, but Meta, YouTube and TikTok are all gearing up to find out, with each app developing its own live trading tools to facilitate the potential trend.
Showcasing these items in a popular stream like this will help YouTube increase interest in its options, giving it the best chance to capitalize on them – if, again, it’s going to become a thing.
Besides that, YouTube is also performing his very first Shoppable Shorts Challenge, in association with Beauty Fest.
“On Wednesday, June 8, Glossier will launch its first-ever #1 pencil eyeliner exclusively on YouTube Shorts, led by music artist and beauty lover Kehlani, and fans can use the hashtag #WrittenInGlossier to enter! Each Short created with the hashtag will be shoppable using the link directly on the video.
Every purchasable shorts? It’s quite interesting – and no doubt various brands will be keeping tabs on this activation as a potential marketing tool for their own use at some point.
Shorts, despite being a direct copy of TikTok, has proven increasingly popular, with Shorts clips now generating over 30 billion daily views in the app. The challenge with a short video, however, is that it’s not easy to monetize, with no option for pre- or mid-roll ads that can be directly attributed to each clip.
As such, each platform is now striving to establish a better revenue-sharing path for short-form content.
This could be another step down that road, which could help make Shorts a more attractive option for creators.
Again, it remains to be seen how much Western audiences are interested in live shopping and purchasing products via live broadcasts, but indications are that it could be a big thing, and with approval additional celebrities, this could be a big step in YouTube’s efforts.
You can see all the Beauty Fest content on June 16 at YouTube.com/BeautyFest
The fast trade or the promise of lightning-fast price delivery. Free lessons in less than 10, 15 or 20 minutes depending on the promises of the actors. In the first part of more decryption, we mentioned the consolidation of the market, resulting in the survival of 4 players out of 11 on the French market: Flink, Getir, Gopuff, Gorillas. Now, we have developed partnership strategies between quick-traders and large distributors, as well as the links created between Casino & Gorillas, and between Carrefour & Flink.
4 battles to win the fast trading war!
Occupation of the territory, notoriety, customer experience and development of the shopping basket: these tactical characteristics will be key in the competitive war to conquer the French market.
1/ Logistics and geographic expansion
To deliver the races in record time, these players rely on a network of “departure points”, the famous dark stores, or supermarkets of less than 400m² closed to the public in which delivery people prepare orders before delivering them. To respect the snapshot promise, the catchment area around these dark stores It is about 2 km away, with the importance of weaving an important network, with key strategic anchor points, in order to be able to increase the potential clientele. Thus, while the majority of players did not exist before 2021, in May 2022 there were more than 115 dark shops and dark kitchens in Ile-de-France.
Getir stands out to date in this journey with locations, noted for a franchise model that has established itself in other European cities, allowing rapid expansion with reasoned investments.
2/ Customer awareness and recruitment
Once installed in a new catchment area, the quick-traders engage in a real top of mind war, with posters in the metro, digital advertising, and above all massive promotions. Indeed, according to a YouGov study carried out in December 2021, Seoul 7% of French people really know what quick-commerce is and less than 10% know the major players in the sector such as Gorillas (8%), Flink (5%) or Getir (3%).
Also, in 2021, quick-traders have invested close to €14 million low in France, including €9 million in transport. Flink + Cajoo spent nearly €6 million, and Gorillas and Frichti €4.9 million.
In addition to these media investments, each actor met in place in parallel with the massive promotional campaigns in the form of promotional codes intended to accelerate conversion, and to create the customer reflex. The discounts offered are three attractive (moreover happily exceeding the legal threshold of 34%) to recruit a maximum of new customers.
3/ Impeccable customer experience
New customers recruited on the platform are often recruited at exorbitant prices. It is therefore essential to ensure a good repurchase rate and to offer, among other things, an irreproachable customer experience. It goes through a optimal ergonomics of the request, thegreat customer service in case of questions or complaints, the The availability of products (and therefore stock management) as well as the relevance / accuracy of the information provided, the delivery tracking…because if the delivery turned on 15 minutes, the act of ” to go shopping ” shouldn’t take more than 5-10 minutes (from opening the app to paying).
The technological and logistical expertise as well as the business sense of the forces involved are therefore key elements in delivering this experience. In this ultra-competitive universe, a pebble in the experience does not forgive!
4/ The development of the shopping cart
To serve profitability, in addition to being more sure of a sufficient volume of orders to occupy all the full-time deliverers, it is necessary to ensure profitability and the service offered via sufficient sufficiency. out today, the average basket in fast trading a little evolved and stagnates around around €20. Today, this basket is almost exclusively composed of products corresponding to moments of life that may involve an instant kiss. (Missing an ingredient in a recipe, launching the aperitif, changing the baby, having breakfast, etc.), as evidenced by Cajoo’s best-sellers (Crystalline, Coke bottle, Candia milk, eggs, pasta, toilet paper, baguette, Heineken beer…). Flink to also widely communicated around these “essential troubleshooting” :
The challenge for quick-traders will therefore be to succeed in pushing buyers to complement their troubleshooting product purchases with a few others. And for this, several levers are identifiable:
- The development and stability of the offer : today, a dark store contains between 1500 and 2500 references; Between November 2021 and March 2022, Cajoo’s referral name increased by more than 50% to reach up to 2,400 referrals, Getir’s cell by nearly 20% to 1,500 referrals (data: Birds)but these assortments remain lower than those of urban proximity brands, at 3,500 references on average to be able to cover all units of need (data: IRI Liquid Data).
Other attempts to develop the assortment and therefore the basket are emerging:
- Local products, often more valued (may represent 30% of Gorilla references)
- Prepared meals (rated Gorillas via the takeover of Frichti)
- Non-food products (Flink / Fnac Darty partnership to offer chargers, external batteries, headphones, books, board games, etc.
- The price, the price, the price : in this inflationary context, it is difficult not to take care of the sacrosanct price; Quick retailers must obviously be competitive in price, and in particular as well, or even better, than local supermarkets. Also, customers could be encouraged to add products to their basket that they do not need at the moment but that they would have purchased during their next class. To improve their price positioning, the alliance with major distributors is a plus to be able to benefit from their purchase price plus their more accessible private label offer. Carrefour and Monoprix private labels increased in April 2022 from 10% to 12% of the Cajoo / Gorillas assortment (born: Olivier Dauvers).
- Customer awareness and personalization : the challenge for these players is also in the development of an increasingly personalized / individualized experience, by highlighting the most relevant additional products according to the consumption profile.
Cash, key factor of success n°1?
In order to be able to develop on each of the key success factors mentioned and postpone the bet, it is mandatory to have a sufficient cash contribution to be able to survive the consolidation for a long enough time.
Indeed, with a freelancer valued at these euros and a promise to hire freelancers on permanent contracts, the business model is complex to have, even if there are already many players on site. Added to this are media investments and the strong activation of the promotional lever to acquire and retain customers over the long term.
The consolidation of the market has moreover proved this necessity, the 4 remaining players, all foreigners, are valued at 60 million euros and having raised billions for the opening and development of the French market, do not present any lasting chance to Nascent startups like Cajoo.
The founder of Gopuff further stated: “We were profitable for the first four years of our existence, because we built this business to be viable in the long term. […] Today, the business is no longer profitable, as we invest our profits from the most profitable and mature markets in our new markets, such as France. »
And the responsibility in all this?
On this subject, nothing is less clear… South of the business plan, most of the players promise to employ delivery people on permanent contracts. More than in H1 2022, the players did not hesitate to lay off en masse: Get to dismissed 4,000 employees (14% of its global payroll), a few months after Gopuff let almost 500 employees go, while Gorillas s I am also separated from 300 employees… The example of Zapp is not the most brilliant: after the license of six 139 employees following the brutal fermentation of their activity in Paris, their ex-collaborators display working conditions deplorable, timed pressure on delivery people, and 1,600 sick leaves and work accidents a year! (source: Humanity)
South of the Environmental Plandeliveries must be made by electric bike (equipment fully provided, deliverers insured), plus individual rest (a delivery for a few products, when the average standard e-commerce basket is around €80 to €100; also, a Delivery of 20 e-commerce customers represents 100 individual quick-commerce micro-deliveries And what about the factual environmental impacts of the activity: daily just-in-time supply, development of urban spaces, risks of over-packaging, etc. .?
One can imagine that in the evolution of this market, the social and environmental responsibility of quick-traders to constitute an essential element of differentiationparticularly among young city dwellers, the main followers of this new mode of consumption.
Quick-commerce is certainly a growing market, with good growth to be expected over the next few years… but does it meet a real need or has it created yet another opportunity for over-consumption? It is conceivable that the evolution of the paradox between the demand for instantaneousness on delivery and the citizens of less and better consumers would play a role in the long-term prospect of rapid trade.
An article edited by Charlélie Bensoussan Gaubert, Pierre Brun, Tiphanie Gain and Arthur Léauté
Pinterest continues to evolve its video offerings, this time via the launch of a new, separate “Pinterest TV Studio” app, designed to allow livestream creators to enhance their broadcast setups, with multiple camera capabilities, improved editing tools and more.
As first reported by TechCrunch, Pinterest quietly released the new app earlier this week on the Apple and Google Play stores, though it’s only available to select users at this time.
According to TechCrunch:
“On first launch, creators must enter a code or scan a barcode provided by Pinterest in order to access the live streaming tools provided by the app.”
So it’s not really published, as such, but it does exist and it’s a working application for some selected users. This signals the next phase of Pinterest’s video content push and a likely shift to live shopping, which has become a bigger priority in social media circles over the past couple of years.
Live shopping is already big business in China, where the forecast is that revenue from live shopping reach 400 billion dollars in 2022, which is equivalent to almost half of all e-commerce spending in the United States last year. Additionally, live trading is also increasingly popular with younger audiences, with users aged 27 and under seeing the fastest adoption of live trading activity.
It’s caught the eye of TikTok, Instagram and YouTube, each developing their own approaches to live shopping, and with this new app, it looks like Pinterest is also keen to jump on the live shopping bandwagon, as part of of its expanded content push.
The app essentially powers Pinterest’s “Pinterest TV” offering, which it first launched in November last year.
The initial airing of a collection of live and buyable episodes, featuring various pin creators, it looks like Pinterest is looking to expand the initiative even further, likely into a continuous live stream of different brands and creators showing off their content, which can be purchased while you watch.
Given that it’s live, however, Pinterest will also have to check which streamers it lets into the initiative – so while there’s a separate app available for that purpose at the moment, it’s unclear how many time it will take Pinterest to expand access to all users, if ever.
Will it be a winner for the app? Again, live commerce is already huge in China, while various US-based influencers are also seeing thousands tune in to their regular commerce-focused shows on TikTok.
It seems like a solid bet, especially with Pinterest’s focus on handmade products and direct selling, and with the platform also recently noting that video is “a fundamental support for inspiration and planning”, it definitely looks like it will increase its video focus in the future.
This could provide great opportunities for e-commerce brands – we’ll keep you posted on any progress.
•Reading time: 4 minutes.
Marketing Manager at @FromDoppler. He loves horses and dogs. Passionate about the outdoors and reading.
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Does it happen to you that while you are browsing Social Networks, you see a product that you love and when you click it redirects you directly to the website to make the purchase? Surely you have noticed much more in recent times. This is one of the direct effects of the pandemic and the advancement of technologies. Find out in this note, how to deal with social commerce and how to apply it to you online.
What are we talking about when we talk about social commerce?
To begin with, we can say that social commerce are a subcategory of electronic commerce, which uses social networks, social feedback and user input, to improve the online shopping experience. (Source: iProUp).
For this reason, it becomes a powerful tool that feeds on the social media in terms of the advantages offered by its interactivity and mass use. This new online business methodology has been installed much more than strong, with the arrival of the world event of Covid-19. From 2021 to today, it modified the shopping and sales experiences forever because, mainly, it simplified the brand communication and allowed shortening distances between consumers and producers.
Among the features that this trend has: the possibility of instant social connectivity through trends or hashtags, massive access to users in different geographical locations, segmentation It requires audiences and direct interactivity with each brand.
Some of the benefits that your online store can have when using social commerce:
- Provide excellent customer service: instantaneousness offers closer communication and also the enormous possibility of having the entire reach of a click to resolve queries, manage shipments, etc.
- Carry out transparent and reliable communication: through good use of social networks, communicate directly through product information, news, promotions, shipments and everything related to your brand.
- Generate closeness and loyalty: through the opinion of other people who will consume the brand and can guarantee their good experience, and the confidence that potential customers encourage the purchase in your online store.
- Differentiate yourself from the competition and improve the commitment of your profile compared to other similar brands.
“80% of purchase decisions are made by an emotional process and only 20% of decisions are rational”. Source: Pablo de Olarvide University.
Learn to sell through your social networks
So far we have seen what this concept is all about, the features and how it can help you. Now we will give you some suggestions so that you can apply it practically to the Brand Digital Marketing Strategy.
It is important to ensure that online sales occur from a search by the user while social commerce is carried out through social relationships between users. Some good examples of the most popular platforms that can help boost your sales that you can start looking into are: WhatsApp Business, Facebook business, follow on instagram and Google Shipping.
Our suggestions to apply this strategy in a practical way:
- Generate content such as images, videos and gifs to increase your visibility.
- Promote your posts to reach more potential customers.
- Provide a good home delivery service to improve the post-sale experience of its customers.
- Communicate the customer service channels and provide as much information as possible, as well as be attentive to the resolution of queries or problems.
- Research and properly choose the Social Networks in which they are highlighted.
- Create a good website that helps boost traffic and exits through a more specialized channel.
- Encourage your consumers to give their opinion, to improve and position your social rating at an excellent level.
And to finish, we are now sharing some examples of Instagam stores that have direct links and good product descriptions so that you can start investigating this topic.
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