Back in 2021, I wrote a blog about the developments in social e-commerce. Back then I referred to TikTok as a “relatively new player” so it’s fair to say this has changed quite a bit since then!
It can be argued that TikTok is now leading the way in driving social e-commerce forwards. The platform has grown exponentially since 2020, whilst we were all at home trying to find ways to entertain ourselves during lockdowns. With that growth came developments in their e-commerce offering as TikTok recognised the opportunity at hand.
The stats around growth in social e-commerce speak for themselves; with Statista forecasting a 7-fold increase in worldwide social e-commerce revenue over the next decade, to reach over $6bn in revenue by 2030.
What’s the real driving force behind growth in social e-commerce?
A recent econsultancy article quotes Simon Hofmeister, Head of Vertical e-commerce at TikTok, as saying:
“What you have is people discovering products via the hyper relevant algorithm, based on what they like and what they’re interested in.”
Sounds…obvious? Yes, but perhaps what’s really crucial with TikTok is the Video element. Showcasing a product through video is always going to be more engaging, particularly in the snackable style that TikTok demands.
Add to that, the impact of influencers and those sharing their purchases through the platform. There have been 16bn views against content with the hashtag #tiktokmademebuyit – a powerful demonstration of the way in which User Generated Content (UGC) can drive action.
Where does e-commerce go from here?
Will I look back on this in two years’ time and see TikTok has faded away only to be replaced by another new phenomenon?
What is fair to say is that social e-commerce isn’t going anywhere. The element of discovery via all social platforms is still a driver for purchase – products you didn’t even know you were looking for, coming directly to you via your feeds, taking away the need for browsing. Whether it’s TikTok, Instagram or Pinterest, these platforms are ideal for leveraging user intent and turning this into a purchase.
My advice would be to test and learn (a phrase we love at equimedia!) and gather data and learning to inform how your audience interacts with content across different platforms. Always make sure you have content which is fit for each platform, and don’t just think “bottom of the funnel” or “need to drive sales”. Remember to nurture your audience across their journey from discovery to purchase with a full funnel approach to your marketing campaigns.
equimedia can help with not only providing insight on where your audience is and how to reach them through clever targeting, but also with developing content that aligns with the audience need and platform used. Get in touch and let’s talk about accelerating your social e-commerce strategy!
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| Author | Amisha Rathod |
| Channel | Media |