Learning Objectives
By the end of this chapter, you will be able to:
- Define social marketing and its key components, including social listening and content marketing.
- Define social shopping (social commerce) and its key components.
- Explain the importance of ratings, reviews, and influencer marketing.
- Understand how shoppable social media is changing the e-commerce landscape.
The Impact of Social on Marketing and Retail
The application of social computing has revolutionized the fields of marketing and retail. Businesses have moved from a passive, broadcast-style of advertising to an active, engagement-focused approach. This section explores the specific ways social computing is used in marketing and shopping.
Figure 1: Social Marketing and Shopping
flowchart TB
subgraph MARKETING["Social Marketing"]
LISTEN["👂 Social Listening"]
CONTENT["📝 Content Marketing"]
INFLUENCER["⭐ Influencer Marketing"]
COMMUNITY["👥 Community Management"]
end
subgraph SHOPPING["Social Shopping"]
REVIEWS["⭐ Ratings & Reviews"]
SHOPPABLE["🛒 Shoppable Posts"]
REFERRAL["📣 Social Referrals"]
GROUP["👥 Group Buying"]
end
MARKETING --> ENGAGEMENT["💬 Customer\nEngagement"]
SHOPPING --> ENGAGEMENT
ENGAGEMENT --> SALES["💰 Increased Sales\n& Loyalty"]
style SALES fill:#2d5016,color:#fff
Figure 2: Social Marketing and Shopping Ecosystem
Social Marketing
Social marketing is the use of social media platforms and websites to promote a product or service. It focuses on building relationships with an audience and creating a community around a brand.
Key components of social marketing include:
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Social Listening: This is the process of actively monitoring social media channels for mentions of your brand, your competitors, and relevant keywords. By “listening” to the conversation, businesses can gain valuable insights into customer sentiment, identify emerging trends, and proactively address customer service issues.
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Content Marketing: Instead of direct advertising, businesses create and share valuable, relevant, and consistent content to attract and retain a clearly defined audience. This content can take many forms, such as blog posts, videos, infographics, and podcasts. The goal is to provide value to the audience and establish the brand as a thought leader.
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Influencer Marketing: This involves collaborating with individuals who have a large and engaged following on social media (influencers). By having an influencer promote a product, a brand can gain access to that influencer’s audience and leverage the trust they have built with their followers.
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Community Management: This is the process of building, growing, and managing an online community around a brand. A community manager engages with the audience, responds to comments and questions, and fosters a positive and interactive environment.
Social Shopping (Social Commerce)
Social shopping, or social commerce, integrates social media features directly into the e-commerce experience, making shopping a more interactive and community-oriented activity.
Key components of social shopping include:
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Ratings and Reviews: Perhaps the most influential form of social commerce, user-generated ratings and reviews have become a critical part of the purchasing decision for most consumers. Positive reviews build trust and act as powerful social proof.
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Shoppable Social Media: Social media platforms have evolved to become powerful e-commerce channels. Features like “shoppable posts” on Instagram, Facebook Shops, and Product Pins on Pinterest allow users to browse and purchase products directly within the social media app, creating a seamless shopping experience.
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Social Recommendations and Referrals: Platforms can leverage a user’s social graph to influence purchasing decisions. This can include showing a user products that their friends have liked or purchased, or implementing referral programs where users are rewarded for bringing new customers to a business.
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Group Buying: Platforms like Groupon popularized the concept of group buying, where a product or service is offered at a reduced price if a minimum number of buyers agree to make the purchase. This uses the power of the crowd to create value for both the business (by guaranteeing a certain volume of sales) and the consumer (by offering a lower price).
Summary
Social computing has transformed marketing from a monologue into a dialogue. Social marketing focuses on engaging audiences with valuable content and building communities, while social shopping integrates the retail experience directly into social platforms. Core components like social listening, influencer marketing, customer reviews, and shoppable media have become essential tools for modern businesses to build trust, drive sales, and foster brand loyalty in the digital age.
Key Takeaways
- Social marketing is about engagement and community building, not just advertising.
- Social listening provides invaluable insights into customer sentiment.
- Ratings and reviews act as powerful social proof and influence purchase decisions.
- Shoppable social media creates a seamless path from discovery to purchase.
Discussion Questions
- Have you ever purchased a product because you saw it promoted by an influencer? What made the promotion effective?
- How do you use ratings and reviews when you are shopping online? How much do they influence your decision?
- What are the potential downsides for a business that relies too heavily on social marketing?