During the epidemic, social media usage has skyrocketed Social Commerce in India. Today, Indians make up a large share of worldwide social media platform users and are a primary target market for these platforms to grow. People’s preferences, attitudes, and wants are heavily influenced by social media.
Social Commerce in India
From a simple one-on-one personal connection to a more social media-based contact catering to style, fashion, footwear and home utilities, the concept of influencers in our social circles has evolved. Social commerce in India has emerged as a result of a shift in the way people connect and are influenced. Personal and aspirational influences in society are being monetized by this new-age commerce.
What is Social Commerce?
So-called “social e-commerce” refers to the practice of selling goods and services directly on social media platforms like Twitter or Snapchat. Online networking and online commerce go hand-in-hand, as seen by the many buy and sell groups on Facebook.
Larger companies and brands who are feeling the pinch of rising client acquisition expenses and need a way to keep their most valuable consumers safe from competitors tempting them with big discounts now have a viable option in social commerce. Customers are more likely to be interested and stay with a business that has a strong social media presence.
Ways in which social commerce can take place
There are several sorts of platforms on which social commerce can take place. By including a purchase button, social media networks such as Facebook enable social commerce. In India, social resale platforms have become the primary type of social commerce. These platforms are run by free applications, and they primarily cater to the growing number of mobile users who wish to earn some additional money. App users are referred to as “resellers” in this context.
As a result of their personal social media marketing efforts, resellers can attract customers. Customers place orders on social resale applications and have them fulfilled by suppliers and delivered by their logistics partners. Indian reselling applications, on the other hand, do not have a multi-level structure and do not demand resellers to recruit other resellers beneath them.
When it comes to starting an e-commerce firm in the Indian market, these applications have been an enormous game-changer. Many small businesses used social media to market their items before the introduction of these platforms such as handicrafts, home baking, and boutiques. But now, there is no need for a personal supply. As a result, the number of people running a social commerce firm has skyrocketed.
Prospective investors are showing an interest in this area
The cheap cost of client acquisition is a major selling point for investors in social commerce. Due to the tremendously competitive nature of the e-commerce sector, most companies are unable to compete. Because social commerce makes use of already-established social media platforms with large user bases and well-established trust-based influencers, it has the potential to dramatically reduce costs.
As Indians’ time spent online rises, so do the stakes in this market. People’s desire to start their businesses, despite their limited financial resources, is increasing as the digital way of life becomes more widespread. As a result, social commerce channels are growing increasingly popular among consumers. It also aids in overcoming one of the most significant obstacles preventing Indians from dealing online: a lack of trust. These company indicators, such as low return rates, benefit from this trust element.
In addition to helping small-scale sellers (mostly from Tier 2 cities and beyond) get on the platform and help increase sales, social commerce companies also help/incentivize them to improve catalogue management, distribution, payment management and logistics, which can further lead to a growth spurt in the sector.
Rather than relying on search-based purchasing, the next wave of online buyers is predicted to be drawn in by discovery-driven shopping via social commerce. In India, the social commerce industry is only getting started yet it already has a bright future. Social networking and internet buying come together naturally in this style of business. Indian consumers are spending more time on social media platforms than ever before, which means greater options for product discovery and tailored service.
There are more and more methods to monetize content as the appetite for it grows. There has been a long-standing focus on garments, but going forward, corporations will strive to diversify their product lines and offer a wider range of choices for resellers, including private label possibilities.