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New Research Highlights Significant Growth of Social Media Commerce in the UK Retail Sector by 2028

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Consumers engaging in social media shopping on various platforms.

News Summary

Recent studies reveal that social media commerce is rapidly transforming the retail landscape in the UK, with projections suggesting it could double in value to nearly £16 billion by 2028. Notably, 65% of UK consumers have already made direct purchases through social media, emphasizing the importance of brands adapting their strategies in this evolving market. Customer engagement and service are key factors for success as trends shift towards convenience and interactive shopping experiences.

New Research Highlights Significant Growth of Social Media Commerce in the UK Retail Sector by 2028

There’s no denying that social media has transformed the way we shop, especially here in the UK. Recent studies provide a fascinating glimpse into this ever-growing trend, showing just how much social media commerce is on the rise and what it means for consumers and retailers alike.

Consumers Take a Stand on Social Media Marketing

It seems that by 2024, UK consumers will likely find themselves categorizing brands into two distinct groups based on their approach to social media marketing. On one hand, there will be those brands that view it as an essential part of their strategy, and on the other, those that consider it merely optional. According to a report from 2022, a striking 78% of consumers in the UK reported an increase in their social media engagement over the past year. This growing engagement reflects a shift in how consumers are interacting with brands online.

Purchasing Directly Through Social Media

Interestingly, about 65% of UK consumers say they have made purchases directly through social media platforms. This number indicates a clear preference for shopping in the digital space, where social media often serves as the first point of contact for learning about businesses and seeking assistance or reviews.

The Popular Platforms

It’s worth noting which platforms are leading the charge in social media commerce. As of 2022, Facebook takes the lead with 56% of users, closely followed by Instagram at 55%, YouTube at 50%, TikTok at 35%, and Snapchat at 31%. These figures underscore the importance of brands implementing effective marketing strategies across various platforms to cater to the diverse preferences of consumers.

The Power of Social Media Influences

Research conducted by Deloitte reveals that 64% of consumers are swayed by social media posts from brands when making purchasing decisions. This fact emphasizes the need for retailers to get creative with their social media communications, presenting their products in a way that is both engaging and authentic.

Best Practices to Connect with Consumers

Brands, take note! Something as simple as aligning your email marketing with your social media content can have a remarkable impact. For example, Sweaty Betty has found success by cross-promoting their Instagram posts within their email campaigns. But it’s not just about sales; building a genuine connection with customers is paramount.

Emphasizing Customer Care

Customer care has become an essential element of social media success. Consumers today highly value brands that prioritize customer satisfaction and respond quickly to queries. A 2021 Sprout Social Index highlighted that placing the customer first is regarded as the most admirable quality on social media.

Engagement Over Transactions

Moreover, effective strategies include engaging audiences with interactive questions and actively gathering feedback. To illustrate, Marks & Spencer sets a great example of effective social customer service by actively interacting with customers and addressing their concerns on social platforms. Remember, poor customer service can drive consumers away and is often a prime reason for unfollowing brands online.

Understanding Brand Sentiment

To truly succeed, retailers should leverage social listening tools like Sprout’s suite, which allow them to track brand sentiment and meet the evolving needs of consumers. User-generated content (UGC) also plays a vital role in enhancing brand authenticity and community engagement. Brands like H&M utilize UGC effectively to showcase products through genuine customer experiences.

Projecting the Future of Social Commerce

Looking ahead, a new report by Retail Economics predicts that social commerce in the UK is set to double in value, potentially growing from £7.4 billion to nearly £16 billion by 2028. The forecast is particularly promising, as 56% of UK users have already made a purchase directly via social media, with a notable 73% of consumers under 45 engaging in social media shopping.

The New Norm in Shopping

The trend for convenience continues to rise, and nearly 47% of UK consumers shop on social media at least once a month. Live shopping and interactive ads are quickly accelerating the growth of the social commerce market, with a whopping 86% of individuals who engage with live streams being more likely to purchase items showcased during those streams. Additionally, the average purchase through social media tends to be on the smaller side, with 44% of transactions being under £39.

Conclusion: The Importance of Engagement

As the landscape of social commerce continues to evolve, it’s critical for brands to emphasize top-notch customer service. A staggering 80% of consumers report they are more inclined to do business with brands that are quick to respond. It showcases the importance of tracking engagement metrics closely to adapt to changing consumer behaviors and preferences in this bustling realm of social commerce.

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