Social commerce recapitulating the e-commerce ecosystem in India

Posted on March 9th, 2021
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Social commerce recapitulating the e-commerce ecosystem in India

Social media hits the pulse points of the audience when marketers across the world speak of their brand persona through intriguing social content.

In fact, if we had to churn out the root cause of social commerce snowballing into the Indian market, it would be the millennial generation!

The connect and addiction of this generation to social media has conditioned people to expect value from social media, which is why the entire E-commerce universe is now embedded into Social Media.

According to research, an average human being spends at least 142 to 145 minutes a day on social media. It is projected that in the coming years an average adult will spend 6 years and 8 months of his life scrolling his social media feed!

You might think social media is a brilliant, democratizing army in a world that is traditionally influenced by “big media”. But with the latest advancements in technology and the need to innovate and facilitate e-commerce, social media is certainly proving to be a catalyst in today’s time.

What is the need for Social Commerce?

Social commerce is a subset of electronic commerce that includes social media and online media that facilitates social engagement as well as consumer contributions to help with online product and service purchasing and selling.

Social commerce, if differently put, refers to the use of social media in the context of e-commerce transactions. - Wikipedia

The key here is that it enables brands to create seamless ecommerce experiences directly within social media networks, which are among the most popular online destinations. Users will also check and buy right there at the moment, rather than being diverted elsewhere.

What's more incredible is that by 2030, Millennials would have a global annual income of $4 trillion!

This boils down to 3 prominent contributors of a successful business;

  • A product or service that addresses a genuine consumer need.

  • A streamlined purchasing mechanism that makes it simple for consumers to shop.

History Of Social Commerce

Let us take a trip back in time when social media was just meant to keep in touch with your old friends and be in contact with those long-distance relationships. The mere purpose of using social media has been changing since then.

As anticipated, Facebook was the first site to look at Social Commerce back in 2007. By 2014, the buy button on Facebook allowed users to purchase items directly from the site. In 2018, Facebook Marketplace was launched competing with Amazon, eBay, and others.

Social media is now a source of getting a sneak peek into people’s lives. And with accelerated E-commerce trends in 2021, social media and its usage is amalgamated into the aura of buying and selling products.

What Does Social Commerce look like in India?

With apps like Meesho, Instagram, and Facebook leading the way, social commerce in India seems to be making a strong headway towards global expansion and recognition.

  • Meesho

Meesho is to social commerce what Flipkart was to e-commerce in late-2000s India, and this is not an exaggeration. Meesho, one of the first startups in the market, was started in 2015 by IIT alumni Vidit Aatrey and Sanjeev Barnwal.

The business, which started in Jaipur and then moved to Bengaluru, claims to serve more than 15,000 orders per day and is increasing at a rate of 50% month on month. Its app has 400,000 installations and is available in a number of local languages.

Meesho claims to have amassed a network of two million "social sellers," with almost all of them being women. In over 700 small towns, they sell products from over 15,000 suppliers.

  • Instagram

A visual treat and aesthetic value evokes as soon as we open Instagram. Users also say that if they were motivated by anything they saw, they would automatically check it out and purchase it. If you've already developed a Facebook Store, it's worth considering Instagram Shopping as well.

According to Instagram, 60% of people use the platform to explore new brands.

It's probably safe to say that having items that have the ability to stand out visually in users' news feeds enhances the case for having an Instagram presence. Shopping tags allow you to highlight items from your catalog in both Instagram Stories and the newsfeed, allowing users to see more detail about a product and how to purchase it right away.

  • Facebook

One of the key advantages of using Facebook is that it is a well-known and widely used social media platform.

Facebook - The social media giant is creating an impressive range of social commerce tools that can make it a dominant player in the market.

One of the best things about using Facebook for social commerce is that Facebook Shops are totally customizable, allowing you to create a unique experience that suits your brand. You can change the fonts, colors, and imagery, as well as import a product listing from your website. Social Commerce is the Facilitator of Budding Entrepreneurs

Small retailers and merchants will remain ahead of the curve by using social commerce. According to statistics, Social Commerce has the ability to empower more than 40 million Indian small businesses and entrepreneurs. Sellers gain access to not only a wide audience, but also a better understanding of consumer conduct, which is particularly relevant in small-town India.

Though social commerce has risen in popularity in India, its true potential is still untapped. There are always a lot of options to look at. It has emerged as a knight in shining armor for modern marketers. The E-commerce ecosystem is unquestionably evolving, and at a faster pace. Before the next wave of change sweeps in, we must act and seize the opportunity.

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March 9th, 2021