It seems that TikTok is not just a site where users mess about all day, making “whacky” videos to entertain the masses; it actually plays a key role in influencing purchase decisions, helping users get ideas about brands and products they had never thought of before.
So says a new joint study by WARC, in partnership with TikTok and Publicis Groupe, “From Discovery to Purchase: The Role of Community Commerce”, designed to explore the role social communities play in influencing purchase decisions.
It reveals a number of key trends:
Community commerce as an emerging opportunity
Accelerated by the ongoing shift to digital, community commerce – defined in this report as entertaining creator-driven social content featuring brands – sits at the intersection of community, shopping and entertainment.
With the right approach and authenticity, brands can fit seamlessly into this social environment, the study claims, engaging with audiences as they congregate around particular interests, hashtags or creative stories. Brands offering genuine value exchange and willingness to test and learn are already reaping the rewards.
Discovery and inspiration disrupt the path to purchase
Social platforms have disrupted the purchase journey, which is now led by spontaneous discovery and inspiration. Every moment on a platform is an opportunity for conversion, and authentic creativity is key to attracting and retaining the audience’s attention.
With social platforms inspiring 70% of consumers to shop, even when they were not looking to, the power of community can drive engagement and stimulate decision-making, the study claims.
Propelling purchase decisions
Social platforms’ role as a connector makes it an ideal place for brands to reach their audiences, and by collaborating with creators, brands aren’t just placing themselves in front of people anymore, they’re becoming part of communities, and that drives action.
The report reveals that to maximise opportunities, brands must make the most of technologies that facilitate a seamless community commerce experience. All product categories have the potential to convert audiences: beauty, clothing and accessories led the way, and now luxury and automotive are also maximising opportunities.
Content creators are the new brand storytellers
Creators are invaluable for driving the engagement that facilitates community commerce. They boost discovery (78%), educate and inform their audiences (76%), and inspire their audiences to try new products (73%).
Community is the new version of word-of-mouth, making it a powerful force for all types of social commerce, and the opinions of followers can boost or block sales. It stimulates belonging, information-sharing, and ultimately demand for your product through the powerful influence it can wield.
WARC senior editor – media – Alex Brownsell said: “As social media’s popularity and influence continue to grow, community commerce is rapidly evolving to provide an innovative, effective and fast-paced way for brands and retailers to sell directly to consumers. The findings in this report will help marketers seize new opportunities to deliver brand growth through these social communities.”
Coty senior vice president of US marketing for consumer beauty Kevin Shapiro added: “Influencers are really important because they each have their own reason for loving our brands. It’s fun to discover why someone is using our products, and we like to elevate and share those voices of discovery because they are authentic and true.”
Finally, Samsung Electronics America head of mobile marketing Daniela Mercado concluded: “Beauty and fashion are definitely leaders in social media. They have done an incredible job, and because of the success that they have seen, the more expensive brands are following.”
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