Tag: social media

Luxury Brands on Snapchat- Ready to Jump on Board?

Luxury brands are jumping on the bandwagon of Snapchat. Burberry, Everlane and Valentino have all become active users of Snapchat in the last 2 years. Why? Because the demographics of Snapchat have changed- when launched the platform quickly became a favorite in the 18-24 year old market and now there is an increase engagement amongst users in their mid 20’s and up (38% of all users). As brands look to actively engage on many platforms to capture the attention of the consumer, being on a platform like Snapchat has become a necessity.

Burberry SnapChat

I first heard the term “attention arbitrage” used by Gary Vaynerchuk. Attention arbitrage is the act of trading your time for attention. Snapchat is a great example of this. Brands and people are spending lots of time creating content to capture the attention of their community. Vaynerchuk has famously, in recent keynotes, given himself lots of credit for forecasting the rise of Snapchat. But is Snapchat the right platform for the luxury space? Should this be the way to capture the audience?

The luxury market has undergone a huge shift in the last 20 years. What once used to be a closed market, reserved for the Christian Dior’s and Chanel’s is now a wide playing field with the customer determining what defines luxury. Brands like Maiyet focused on sustainability, community and style have been able to make a mark in the space because of these shifts. Consumers are making decisions on personal values, individual aesthetics and a desire to curate ones life. This has forced the luxury market to evolve. Here is where the social media platforms come in.

Early adopters in social media are also striving for a sense of individuality. They want to be the first to make a mark on new platforms and the brands that meet them there are at an advantage. The recent wave of 25+ year old adopters to Snapchat will be the bridge to a critical mass of users. So where will your brand be? The luxury brands adopting Snapchat are adding a level of transparency to their brands to create a sense of connection. As a small to medium sized brand you have the greatest gift of transparency: one that needs to be curated, but not manufactured. How does one justify spending $3,000 on handbag? They show how its made, they talk to the artisan. How does one create a sense of belonging to New York Fashion Week? They show the behind the scenes with the models. Brands are even now doing specific product launches just on Snapchat to give followers an exclusive (i.e. Glossier).

But Syama, do I have to be on another platform?

I am a huge proponent of meeting your customers where they are. If you want to get ahead of the retail masses then start a consistent Snapchat channel before everyone jumps on board. You will get the chance to be one of the business accounts that a new adopter of Snapchat would follow. Once the user base reaches its height, all the small and medium sized retailers will be on it; and you will be one in a sea of accounts trying to get followers. Sounds a little like Instagram right?

Instagram just rolled out Stories? Does this make Snapchat obsolete?

The new stories functionality is a great attempt to take over the Snapchat market, especially for the older users who don’t want to start using another platform. BUT, just like how Instagram was the newer playing field for Facebook, Snapchat is the newer playing field for Instagram. More instant, more transparent and more engaging. Instagram is becoming the new pay to play space with advertisements, just like Facebook. Snapchat is raw and not yet monetized in that way.

watch-instagram-stories-gif

My Advice

Re-evaluate your social media strategy. If you cannot be on all the channels then pick the ones you want to fully max out. There are also trends to watch out for; Facebook is a pay for play platform, Pinterest is leading the way on social selling, Twitter is great for peer to peer but not for sales, Instagram is rolling out new features for businesses to optimize sales and YouTube continues to be the best long form branded platform for evergreen content. The live options on Facebook, YouTube and apps like Periscope are wonderful for event based content and weekly series type content. Snapchat is leading the charge with Snapcash and might be giving users an option to the China based WeChat platform. If you haven’t heard about WeChat it is a social selling app where you can chat with friend and buy inside the app. Again, pick your platforms and max them out. In addition, stay on top of the new platforms that launch and consider which of them are going to attract the early adopters you want to engage with. Right now I’m checking out Hyper and Jelly.

For a startup brand social media can seem like a can of worms. There is no way to start, than to start. I suggest thinking about how you want people to perceive your brand, then find the platforms that allow you to do it easiest. Don’t create the same content for all channels and think about how you would want each channel to feel like they are getting something special directed to how they best engage. Example: It’s easier to take polls on Facebook than on Pinterest. If you want your audience to be actively engaged with product development or marketing ideas then build out your Facebook with active conversations.

Brands that have been around for a while need to ask themselves: Does it make sense to be on all the social media channels? Are all of them working? Are there trends that I have not been paying attention to? What are the new channels? If you have a content team that can manage all your channels, then amazing you can do it all. But, if you are a small company and the time you spend on social media is literally the time that could be spent on the phone with your manufacturer, then you need to be critical about your time and efforts. Be where your customer is, don’t waste your time being where they are not.

Syama Meagher is a retail strategist for brands and retailers. She works with growth stage businesses and helps entrepreneurs launch and grow fashion businesses through ecommerce, wholesale and brick & mortar. Syama is a former at Barneys New York, Gucci, AHAlife and Macy’s. To build your brand and create a profitable business check out www.ScalingRetail.com and email hello@scalingretail.com

E-M and Now Introducing S-Commerce

Social Commerce (S-Commerce) is the new sales channel brands are looking to exploit. S-Commerce apps blend the ease of mobile sales with the functionality of social networks. It became the new hot platform in China with the launch of Weiden in 2011, a platform that incorporates affiliate marketing with WeChat (like WhatsApp) in a mobile app shopping experience. This new “self-marketing” enables the consumer to share and sell products for a commission. This platform now boasts over 600 million users! There are also a host of shopping app’s in the US that are gaining market share: Spring, MallZee, Keep, StyleKick and LiketoKnowit are harnessing the power of social and mobile shopping. Did you know in the US mobile shopping accounts for over 21% of ecommerce sales? Yes- It’s time to jump on board this trend.

S-Commerce also refers to all the sales you make via Facebook, Instagram, Pinterest and other social networks. As social networks look to help you, the brand, monetize your audiences, they are also asking you to invest money and time into social advertising. So then how do you best decide which platforms to invest in? How to determine which apps are worth your time? It’s time to evaluate your marketing and sales initiatives and determine what experiments to say yes to, and where to draw the line.

S-Commerce App’s

  1. Look to distribute on social selling platforms that have robust marketing initiatives. No point on being on a platform without any users.
  2. Check out the requirements to be a brand on these platforms. Spring has a simple form to sign up: https://www.shopspring.com/for-brands and integrates seamlessly with Shopify, Rakuten and Magento.
  3. Most mobile commerce apps will need you to have an Affiliate Marketing setup. So if you are considering signing up for an Affiliate Marketing platform like Rakuten or Commission Junction, start the process now. These big platforms require you to have a strong front and backend to be able to work within their systems: http://www.cj.com/advertiser/join

S-Commerce Networks

  1. Don’t activate the sales functionality on social networks you aren’t intentionally active on. Example: you’ve linked your Shopify account to Facebook but you don’t even have a Facebook page you are building robustly.
  2. Don’t pay for mobile advertising if your site is not optimized for sales. This means Instagram advertising and mobile advertising for Facebook. Your website needs to be easy to navigate on mobile and the layout has to be intuitive. I suggest checking your site on your phone every few weeks to test out different pages and make sure its shoppable.
  3. Companies like LikeitWantit, Like2Buy, Chirpify and Soldsie have been helping brands create conversation between Instagram and ecommerce. Nothing has risen to the top as the go-to platform, but all of them are worth checking out.
  4. Brands like Dylanlex are creating “Shop Instagram” pages to drive traffic to one destination on a website. http://dylanlex.com/pages/shop-the-instagram This becomes an easy way to drive social images and messaging through a landing page that speaks to the Instagram user.
  5. Become active on networks that are actually ROI producing. Twitter is best for peer-to-peer connections, and Pinterest, Instagram and Facebook take the stage for sales conversion. Take down the platforms you are not using.

Syama’s Crystal Ball

I believe that social commerce will continue to be optimized and therefore become a market driver in sales. Websites from 5 years ago that were not built to be mobile friendly will need to be revamped and brands who are not building their brands through social networks will and are falling behind. You simply cannot and will not be successful with out cohesive messaging on all consumer platforms.

The social selling apps and platforms that will rise to the top will create their own affiliate marketing platforms to help brands onboard. Consumers will be looking to diversify their shopping experience, and will not be satisfied with only being able to find major advertisers on the mobile platforms. It’s redundant to see the same brands everywhere – so social selling apps will need to be more curated.

Brands will continue to shift digital advertising spends from desktop to mobile advertising, and integrations with apps like SnapChat and Instagram will allow for more targeted sales and discounts. Because these brands will need to adopt more sensitive analytic systems to be able to target cohorts on social; imagine if you could target users who like or open your content more than others. The tools to market via social will be akin to the email newsletter as the analytics and tools become more sophisticated.

As a brand the decisions always remain the same. When to adopt new technology, and how much time to spend on it? I remember a time back in 2008 when I was working at Barneys New York and we would meet with big brands, not naming names here, who didn’t see the value in selling online. Now look at where we are, social commerce is here to stay. Pick your platforms, build them out, and engage. Play with the new social selling apps out there and get your business ready to sell in a new way. The new integrations will likely roll out to big businesses then trickle down to API’s for Shopify and Woocommerce users. Sales and marketing strategies will need to adapt to this- so start turning the wheels!

If you are ready to implement new sales, marketing or merchandising strategies to your business then set up a consultation. Email: hello@scalingretail.com Scaling Retail is the consulting firm for retail globally. Specializing in startup and growth stage ecommerce, brick & mortar, and wholesale.