Case study 15

1. Social Commerce Creates New
Customer Relationships

2. Social commerce
is the evolution and maturation of social media meets shopping. With
an ever-increasing number of consumers researching purchases
online, especially social media sourced and created content, it’s no
surprise that marketers are following their customers to support the
purchase process.
While shopping has always been a social activity by its nature, the
combination of engaged social media platforms and Smartphone
owning shoppers has streamlined and facilitated this process.

3. 1-Social commerce is a subset of electronic commerce that
involves using social media, online media that supports social
interaction and user contributions, to assist in the online
buying and selling of products and services. More succinctly,
social commerce is the use of social network(s) in the context
of e-commerce transactions. The term social commerce was
introduced by Yahoo! in November, 2005, to describe a set of
online collaborative shopping tools such as shared pick lists,
user ratings and other user-generated content-sharing of
online product information and advice.

4.  2- Social commerce is the act of consumers with similar
interests, passions and needs collectively engaging in
conversations related to products and services that satisfy
those interests, passions and needs. Those
conversations usually segue into several types of actions,
such as recommending the products and services to more of
their peers, and ultimately the purchase of those products and
services. Influencers, those who are perceived to “be in the
know”, can have a great impact on the direction of the group’s
actions. The initial group of consumers may or may not
know each other dependent on the forum (Facebook vs. Yelp
vs. a party at someone’s house), however it’s their
shared interest that ties them together.


5.  To most of the people used face book and twitter to keep touch with
friend and to let them learn and know what there are doing. Social
media like Facebook and Twitter have transformed the way some
businesses think about advertising. For all type of companies, face
book and twitter has become powerful tool for engaging customers.
Companies can use face book and twitter to make trade off,
promotion, and services to make a business without spend
significant cost. For service, location based on business such as
gourmet food trucks can tweet their current location to loyal followers
and fans. Appointment-based businesses can easily tweet or post
cancellations and unexpected openings.

6. Larger companies of all sizes have an opportunity run sweepstakes
and promotions and other all size of companies have an opportunity
to shape the perception of their brands and to solidify relationships
with their customers
. Companies have running out that capitalize on the social media
feature if Facebook to achieve greater visibility. For example, face
book have feature the ability to like a brand, send a virtual gift,
answer a pool question, and instantly stream information to your
news feed. Twitter has developed many new offering like promoted
tweets and promoted trend. These features give advertisers the
ability to have their tweets displayed more prominently when twitter
users search for certain keyword.

7.  Advantage/disadvantage:
 The advantage of advertising in social media marketing is cost-
related. The majority of social media web sites are free to
access, create a profile and post information. The advantage of
reaching your targeted market was little or no cash investment
wanted, and the audience wanting your information was
voluntarily joins and follows you. The viral nature of social media
means that each person who reads your posts has the capability
to spread the news wide within his own network, so information
can reach a large number of people in a short time.
That result shows just how highly CMOs (chief marketing officer)
rate the brand building advantage of social media. Chief
marketing officer (CMO) is a corporate executive responsible for
marketing activities in an organization.

8.  Considering the size of the potential market on social media , it’s an
obvious brand opportunity. Brand building was the original reason for
businesses to join social media. The math was basic but they
produce favorable results 900 million people on Facebook, even
accessing 0.001% of that would provide a huge opportunity. Even
though businesses have identified other advantages of social media,
brand building is still a key part of the plan. The research provided
further evidence of this as over 80% of CMOs agree that social
marketing can have a measurable impact on brand awareness and
brand loyalty. For example, Levi’s was one of the first national
brands to use Facebook and twitter to allow customer to socialize
and share their purchases with friend. The Levi’s Facebook page
have 500,000 ‘like’ message posted by friends sharing their favorite
jeans.

9.  channels like Facebook and Twitter,
 The disadvantage of in social media marketing is updating the
social media accounts take time and effort. A senior person
with knowledge about the company and products should
handle your social media presence, and the cost in time
means the media is not completely free. It is ongoing work to
find new angles about your products continually and to post
and re-post information. The information is only visible for a
short time before newer posts replace it. In addition,
publishing obvious advertising copy is unacceptable in the
social media world, therefore you must present the information
in the form of conversation or you will lose followers.

10. In my opinion, all type or size company should use facebook and twitter
for customer service and advertising. The company can use social
media to provide good customer service through e mail, special
message, and private password, web access to special areas for top
customers to their customer. Why? Because now a day most of the
companies make business in sell its products or services to
customers over the internet from facebook and twitter. The results
show that which companies use social media was increase their sale
and gain more profit. Companies using facebook and twitter to
advertising and provide customer service to engage customers.
These critically help their companies to gain profit. For example
levi’s, within the first week of its share campaign, levi’s received
4,000 ‘like’.

11.  The company began using twitter in 2010 by creating a ‘levi’s
guy’ to interest customers. He has over 6,000 followers and is
responsible for responding to queries and engaging in
conversations about the levi’s brand on twitter. In 2011, the
company creates a personalized friend store where shoppers
can see what their friends ‘like’ and brought. These not only
show that the people who ‘like’ the page, it is clearly show that
the levi’s company demand was increase drastically. When the
demand increase the company was advantage in gain high
profit. Even the facebook and twitter posting was always get
complain but advertiser may still benefit.