It makes a lot of sense that certain online trends mimic our offline rituals. Shopping is, and will likely always be, a social event more than a transaction. Take a peek into any mall and see for yourself. And, as far as purchasing goes, we guide our decisions based on trusted sources of information, seeking opinions and advice of those who are like ourselves. Nothing new here, right?
So, it should come as no surprise that, according to a new study on what is driving eCommerce in Canada, a link has been established between the social web (and social media applications) and online shopping propensity. The survey, conducted by J.C Williams (sponsored by VISA and Yahoo!), asserts that:
... the shopping habits of consumers who purchase online to those of consumers who use the Web but buy only offline, indicated that more online buyers use networking tools and platforms to share opinions, insights, experiences and perspectives than their offline buying counterparts. Compared to Web surfers who did not make online purchases, online buyers in the study were more than twice as likely to have written a product review (29 percent versus nine percent), twice as likely to have posted video content to the Web (19 percent versus eight percent), and more likely to have written a blog (35 percent versus 21 percent).
Interesting finding that this social web savvy cohort is more likely to shop online, meaning that the social context seems to be enabling and supporting increased commerce in this channel. All good.
The key question, according to Yahoo!'s Hunter Madsen, is "whether the information-sharing habits developed in online communities are creating a secondary benefit, by somehow raising propensity to shop online as well. You could call it the Social Engagement Effect on E-Commerce." Madsen, a former social scientist who directs marketing for Yahoo! in Canada, noted that "marketers have been somewhat hesitant up to now to advertise in the Web's community sites, for a variety of reasons. But this study suggests that, other things being equal, social networking sites are where they'll find some of their most responsive shoppers. When one considers that the 'social networking' phenomenon is just taking off in Canada, the potential benefits for online commerce look promising."
Marketers need to realize the importance of being a trusted brand in online corridors.It is tantamount to unlocking a vault of potential profits. While I don't think that it is a riveting revelation that social web is correlated to commerce and it could be a bit of a "chicken and egg" scenario with audiences polled in this survey, this is ultimately a good news story for all involved.
My question is how social will it go? How much trust and faith will we layer into our web-based communities to help us make the right purchases online? Will we seek advice and feedback on the most intimate of shopping related matters? In other words, will we ever be bold enough to ask if our online purchase of pants makes our offline butts look too big? Will our trusted communities answer with honestly, or with cautious diplomacy?
Technorati Tags: eCommerce Visa Social Web Online Shopping J.C. Williams Group Social Media
I'm not sure if social shopping will go as far as your question would suggest, albeit doable with digital photography and videos.
In my experience, people welcome any information they can get from credible sources (i.e. other customers) and retail websites.
Retailers need to have a strong online presence to gain our confidence. Regardless of whether or not we're shopping online or in bricks and mortar shops, we're making more buying decisions based on our online experience.
I second Eden's comment -- and I think your post touches on something interesting. I've started to hear rumblings of opinion that the rise of Web 3.0 (for lack of a better phrase) is imminent, and will be predicated upon the successful combination of social networking, online commerce, and the 3D web (eg. Second Life) -- in other words, online 3D social shopping. I can't wait to see which company or retailer will be the first to find a way to successfully grasp this concept in their online presence.