User-generated content (UGC) has become increasingly influential in consumer purchase decisions. UGC is active and encourages consumers to share their brand experience with others. It has been estimated that over half of millennials have made a purchase based on UGC. This type of content also helps brands gain a better understanding of their audiences.
Price information is essential to a consumer's decision-making process. Price information is typically presented on social commerce websites in UGC and MGC formats. Price information influences cognizance about product quality and helps to mitigate perceived risks. To ensure that prices remain competitive, brands must consider their customers' opinions, value metrics, and market data.
Social proof is another important element of social commerce. Consumers are looking for evidence that a product is reputable, so they will look for reviews on a product to help them understand what others think. Social proof can be generated in many different ways, such as building a community of existing customers. This increases customer trust and allows for more sales.
How Do Ratings and Reviews Affect Social Commerce?
Ratings and reviews are an important part of social commerce, as they provide consumers with valuable information about products before making a purchase decision. UGC is highly persuasive and has been estimated to influence over half of millennials' purchase decisions. Price information is also essential for social commerce sites, as it can help consumers avoid risky purchases.
Social proof is another key factor in social commerce, as it increases customer trust and allows for more sales. Companies can generate social proof by building a community of existing customers or by using digital price labels on social media platforms like Facebook, Pinterest, and Instagram.
Conclusion
Ratings and reviews, user-generated content, price information, and social proof are all important elements of social commerce. Ratings and reviews provide consumers with valuable information about products before making a purchase decision. UGC is highly persuasive and has been estimated to influence over half of millennials' purchase decisions. Price information is essential for social commerce sites, as it can help consumers avoid risky purchases.
Social proof is another key factor in social commerce, as it increases customer trust and allows for more sales. Companies can generate social proof by building a community of existing customers or by using digital price labels on social media platforms like Facebook, Pinterest, and Instagram.
