1. Social Commerce:
Fact or Fiction?
Eric Boggs
@ericboggs
Founder, CEO
Argyle Social

2. Social Commerce Nirvana…

3. Welcome to Farmville
#SocialFresh @ArgyleSocial

4. If Zynga can build a $9B business
selling virtual livestock, then online
retailers must be KILLING it, right?

5. “The number of transactions we see
from our Facebook commerce tabs is
not insigni cant, but the tabs are
more for communicating new
products to our customers.”
IR500 Retailer

6. “Our Facebook store has had very
little impact on our business. We
don’t promote it to our customers
because our site provides a much
better shopping experience.”
IR500 Retailer

7. “Facebook has not made a strong
impact on sales, at least according to
our data in GA. Most of our social sales
come from from fans clicking on the
links we post, not from transactions on
our Facebook storefront.”
IR500 Retailer

8. So what gives?

9. Let’s get data driven…
• Argyle aggregated social data from the IR 500.
• We analyzed 28 publicly available data points for
each retailer, ranging from audience size to
marketing practices.
• The data set includes:
– Massive retail brands like Starbucks, Levis, & NASCAR.
– Niche sites like Golfballs.com.
– Really niche sites like PressureWashersDirect.com.
• This is work-in-progress research.
#SocialFresh @ArgyleSocial

10. Context: Audience Size
200
180
160
140
Number of Retailers
120
100
80
60
40
20
0
<10k 10k - 100k 100k - .5M .5M - 1M 1M - 2M 2M - 5M 5M - 10M >10M
Audience Size
#SocialFresh @ArgyleSocial

11. Context: Audience Size
200
180
160
Mega-brands are the exception,
140
Number of Retailers
120
not the rule. Plan accordingly.
100
80
60
40
20
0
<10k 10k - 100k 100k - .5M .5M - 1M 1M - 2M 2M - 5M 5M - 10M >10M
Audience Size
#SocialFresh @ArgyleSocial

12. FB Integrated Commerce
4%
13%
Facebook Check Out
On Site Check Out
No FB Commerce
84%
#SocialFresh @ArgyleSocial

13. FB Integrated Commerce
4%
Most retailers haven’t made
13%
signi cant social commerce Out
Facebook Check
investments. On FB Commerce
No
Site Check Out
84%
#SocialFresh @ArgyleSocial

14. SMM Tools
Enterprise – 3% Free/Cheap:
Mid-tier – 7%
Tweetdeck, HootSuite, et al
Mid:
Argyle, Awareness, et al
Enterprise:
Buddy Media, Vitrue, et al
Free/cheap – 91%
#SocialFresh @ArgyleSocial

15. SMM Tools
Enterprise – 3% Free/Cheap:
Mid-tier – 7%
Tweetdeck, HootSuite, et al
Sophisticated retailers are
Mid:
running social with the Awareness, et al
Argyle,
same
tools as Mom & Enterprise:
Pop.
Buddy Media, Vitrue, et al
Free/cheap – 91%
#SocialFresh @ArgyleSocial

16. Asking For the Sale
How frequently do retailers use CTAs on social properties?
Facebook Twitter
Always 1%
Frequently Frequently
29% 26%
Never Never
44% 49%
Rarely
Rarely
24%
27%
#SocialFresh @ArgyleSocial

17. Asking For the Sale
How frequently are calls to action used on social properties?
Facebook Twitter
Your fans can’t read your mind. Always 1%
Use calls to action to direct
Frequently Frequently
Never consumer behavior.
29%
Never
26%
44% 49%
Rarely
Rarely
24%
27%
#SocialFresh @ArgyleSocial

18. Few special offers…
Do posts include special offers?
Facebook Twitter
Yes Yes
23%
29%
No No
71% 77%
#SocialFresh @ArgyleSocial

19. No special offers…
Do posts include special offers?
Facebook Twitter
Exclusive content and incentives
Yes
drive community. 23%
Yes
29%
No No
71% 77%
#SocialFresh @ArgyleSocial

20. Key insight: Retail is a case study
for all social media marketers.

21. Still WIP…But With Obvious Applications
• Find your peer group.
• Make strategic technology investments.
• Ask for the sale.
• More insights later this month…
– Feb 23 webcast with
#SocialFresh @ArgyleSocial

22. Marketers: Ask yourself…
#SocialFresh @ArgyleSocial