In recent years, customer behavior has gone through a significant change, especially in the beauty and lifestyle industry. Customers are more informed, digitally savvy, and even increasingly skeptical of brands and advertisements. Further behavior change is driven by the COVID-19 pandemic, causing them to want to spend less and spend smarter.
When it comes to beauty and lifestyle products, customers are no longer looking at giant marketing campaigns or macro-endorsers. Instead, they are more likely to go to independent and trustworthy sources of information and recommendation, such as their closest friends. Thus, in order to increase customer loyalty and revenue, beauty brands need to tap into these customer communities and leverage them in order to turn what was once untrackable word-of-mouth reviews and recommendations into sales. Brands need to start acknowledging the power of social commerce to greatly improve their business in this era.
What is social commerce?
Social commerce is a new form of e-commerce where anyone can sell brands and products through social platforms. This includes customers, influencers, experts such as make-up artists (MUA), and even the shop assistants. The rise of social commerce is a wonderful opportunity for beauty and lifestyle brands to create a new digital sales channel and optimize their customer experience.
How does social commerce work?
In social commerce, brands recruit resellers through an app or website. The resellers can then become the brand’s digital branch that sells products as well as recruit more resellers in return for some profit sharing. Resellers promote and sell the products by sharing a unique referral link to potential customers. When customers click on the link, they are redirected to your brand’s exclusive product catalog, and are able to make a purchase. The whole process is fully digital, seamless, and can be tracked using our powerful dashboard.
What makes social commerce appealing?
The concept of social commerce is very simple. It is very appealing to anyone looking for extra income, especially during these times. Resellers do not have to worry about advertising, delivery of products, or even the business model. For the beauty and lifestyle industry, brands can also find influencers that are trusted as experts in their field and have a large social circle to start their own social commerce out of store.
Not only that, nowadays customers trust recommendations from personal connections more than ads. At the same time, they also love sharing any positive experience they have had with a certain beauty or lifestyle product with their friends. They definitely won’t skip the opportunity to do so with the extra benefit of earning income while doing so! Not to mention customers are already really used to using social media platforms to browse, compare, and buy beauty and lifestyle products. The process won’t be rocket science to them and it will be as simple as online shopping, but with less distraction from your competitors.
Social commerce is one of the ways beauty and lifestyle brands can adapt to this digital era and leverage the power of social media and word-of-mouth marketing to greatly increase their revenue! Contact us if you are interested in creating this new sales channel today!