10/06/2011
By Scott Thompson
Many retailers are overlooking the huge potential of transforming their online stores into entertainment destinations by integrating social media. A new report by Verdict reveals that although e-commerce and social media are separate entities for retailers, those that recognise the potential of combining the two will reap the rewards.
Charlotte Woods, analyst at Verdict, says: “Most retailers have recognised the value of social media, but very few have realised its potential to benefit their online stores. By viewing and running the two operations separately, retailers simply aren’t realising the full power of social media. Retailers have the ability to attract increased levels of traffic to their online stores by using social media to create entertainment destinations which consumers can get excited about. As a result, they have the ability to create retail theatre online.”
The research (entitled Social Media Strategies in Global Retailing) highlights how effective social media could be for online stores in helping to shape brand identity. For example, simply embedding YouTube videos of catwalk shows, and interviews with designers and celebrities could emphasise brand identity and boost customer engagement as they would help consumers to identify with the retailer on a personal level.
Woods comments: “Retailers across all sectors should not underestimate the potential of creating online retail channels dedicated primarily to entertainment. The concept would work particularly well for entertainment retailers, which could use interviews with authors and actors in the content of their homepage. This sort of strategy will become increasingly important as competition continues to grow. Retailers will therefore have to work harder to engage customers, and integrating social media with their online stores could prove lucrative to those that get on the front foot.”
Other stories you may find of interest:
Multi-channel movers and shakers: results revealed
Retail Systems can exclusively reveal the results of a multi-channel movers and shakers survey, recently carried out by Retailinsider.com on behalf of K3
Only 1 in 10 businesses measure social ROI
Research released by EPiServer has revealed that only one in 10 UK businesses effectively measures the ROI of their social media outreach
UK shoppers spend 25% of outgoings online
Global e-shoppers spend on average 22 per cent (UK average 25 per cent) of their annual outgoings on goods and services online
It’s Not Easy Being Green …Or Is It?
Retailers no longer need to experience the pains of high monetary investment or an uncomfortable shift in normal operations to reduce costs and unnecessary resources.
