Social marketing in Australian Retail Websites
With Christmas around the corner, everyone is rushing to buy the overpriced last minute gifts. But in recent years the purchasing has shifted from the high street to the internet.
In Christmas 2009 Nielsen research group says that 38% of Christmas purchases were made online, with each internet-connected Australian spending an average of $224 via the web (source). This has since risen in 2010 and is likely to rise further in 2011.
But one of the most important elements of online retailing is social recommendations and reviews. On the high street, word of mouth from a few friends can entice you to purchase a product. But on the web, 100’s of independent reviews from people all over the world can make the difference between choosing one product over another.
As a leading web agency in Sydney, Wiliam has seen first hand through its clients the power of social marketing in sales conversion and brand awareness. This area of online retail is now so important, large companies are now contracting their social marketing sections to specialised companies and products that optimise the use of social marketing.
One example is Dick Smith, who use an online social media company to handle their reviews and ratings area of their online retail site. This helps Dick Smith create an online community that users can rely on for independent information, and is a proven factor in increase sales conversion and brand affinity.
Social marketing is becoming a key aspect of online retailing benefitting consumers and retailers alike. Both sides should take full advantage!
Some social marketing facts:
Consumer reviews are significantly more trusted — nearly 12 times more — than descriptions that come from manufacturers, according to a survey of US mom Internet users by online video review site EXPO. (eMarketer, February 2010)
44% of Moms use social media for brand/product recommendations; 73% trust online community recommendations. (BabyCenter LLC, July 2009)
61% of people rely on user reviews for product information or research before a buying decision is made. (Razorfish, 2008)
