At a time of unprecedented connectivity, consumer messaging matters more than ever and retailers are taking notice.
Voices in an online world have great power and can make or break a company with ease. Retailers now operate within a “cancel culture” world where one pointed tweet can permanently damage a brand or, on the flip side, spark a wave of targeted sales thanks to words of one savvy influencer.
The digitally-native social commerce sector may be young but it’s already large and growing fast — topping $27 billion in sales last year, with higher numbers expected to follow in time.
See also: Walmart Calls Livestreamed Shopping Shows on Twitter ‘Future of Retail’
From YouTube to TikTok to Amazon, influencers now popping up on your homepage with last-minute flash deals, retailers are leveraging influencers with a built-in audience. For example, livestreams with personalized discount codes only available for subscribers are reaching both younger and older audiences alike. Exclusive product launches — or drops — hosted by influencers or media personalities are perhaps the future of retail. As a case in point, Michael Jordan has returned for the 19th time as the face on the Wheaties box, decades after his original appearance in 1988, only this time it’s to mark the cereal’s 100th anniversary, and the product line and multimedia advertising campaign is totally 21st century and extends far beyond the cereal aisle. For the record, the gold foil Jordan commemorative Wheaties box is already reportedly sold out — or “gone viral,” as the kids would say — and re-selling well above its $25 list price.
From Billboards and TV Ads to HGTV and YouTube
Leveraging a built-in targeted audience is a key strategy, but if executed unauthentically or too aggressively, brand death is imminent. Retailers now want to reach different audiences effectively and on their terms.
One perhaps unexpected leader of many in this space doing just this is Walmart. Last month, the Arkansas-based retailer hosted Twitter’s first shoppable livestream to promote things like electronics, clothing, and seasonal décor. And special guests like musicians, too. Not to mention variety shows. This livestream didn’t just live on Twitter, however. It also appeared on YouTube, Facebook, TikTok, Instagram and more.
As PYMNTS reported at the time, “For a company that is often derided for its impersonal supercenters and lack of fashion sense, Walmart has surprised many, and maybe even itself, by being both an early adopter and aggressive advocate of social commerce.”
Walmart’s evolution is changing its relationship with consumers and perhaps also building strong levels of trust with them along the way. In the meantime, Walmart is working to improve its process in live time. “We’ve learned a lot along this journey and are applying feedback to make each of these experiences even more fun and engaging for our customers,” said Walmart U.S. Chief Marketing Officer William White, who announced that over 30 additional livestreams are on the way this holiday season. “Discovery and inspiration can happen anywhere, and we want to make sure we are meeting our customers where they are,” he added.
“We will continue to curate special experiences for our customers who live in dynamic, immersive environments and allow customers to shop seamlessly while also being entertained,” he said.
Collaboration is Key
A livestream that is siloed is not what Walmart — and others — are going for. Instead, the company aims to connect and collaborate with other companies to extend its consumer reach across platforms and audiences. Although Walmart’s livestream lives on a designated page on Walmart.com, White implied this is merely the beginning. The 30+ livestreams coming over the holidays involve big-name partnerships with companies like Buzzfeed, YouTube, and Twitter, he said.
Walmart’s marketing efforts also involve collaborations with celebrities who help promote products to consumers. Previous live shows Walmart’s published on its site include celebrities like actor Drew Barrymore showcasing the latest cookware and Food Network star Rachel Ray promoting dog food alongside her furry friend from the comfort of her home.
Immersive, Interactive Experiences May be Next
If holiday shopping isn’t your thing, perhaps consider Snapchat as a viable realistic shopping alternative. Big-name brands are, after all. Walmart — alongside other household brands like Coca-Cola, for instance — are all now dipping their marketing strategy toes into the augmented reality realm to more deeply connect with consumers.
One entry point for consumers that is proving to be valuable is an augmented reality platform called Snap which boasts an “audience” of over 200 million daily active users. On Black Friday, for example, Snap’s holiday sale featured augmented reality shopping experiences just in time for the holidays from companies like Hollister, Under Armour, Verizon, American Eagle, Fendi, Dior, Shein, NYX Cosmetics, Amazon Prime Video and Tory Burch.
The goal? To blend commerce with community.
Here, each brand has a dedicated virtual store that can be personalized to represent each brand’s personality. Coca-Cola’s store, for instance, has a virtual take-a-photo-with-Santa experience via augmented reality. Walmart’s store has a holiday gift guide. Amazon Prime Video has a virtual movie room where you can watch sports and film trailers.
As PYMNTS wrote earlier this month, although augmented reality and shoppable video experiences were more of a novelty pre-pandemic, they’re becoming a vital component of connecting consumers to a company’s greater story.
Read the Full Story: Walmart, Yahoo Beef-Up Social Commerce, AR Offerings for Holiday Shoppers
But Wait, There’s More …
While many have likened modern day livestreamed events to the TV infomercials of yore, there are many differences, including the low barrier to entry and the scores and scores of channels that exist.
Clearly, this is only the beginning for this burgeoning genre as the players and producers on the front line have just begun to perfect their craft. Consider, for example, how companies like Newegg are going a step further — offering consumers the option to pay for things via Litecoin, which processes transactions in an average of 2.5 minutes, compared to 9 for bitcoin. Other futuristic forays are already starting to appear in the metaverse, where genuine brands pay real money to sell digital products in a land of make believe.
You can probably picture at least one person — perhaps yourself — who’d be interested in experiencing one or more of these virtual shopping experiences. The possibilities, it seems, are endless.
As a result, retailers must reconsider traditional advertising and how social media and those who shape it are becoming the new billboard, TV spot, or radio ad of the past. TikTok, Snapchat, and their ilk are now serious corporate business platforms and must be treated as such. Filters optional.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More