Social Commerce: How and why its a big deal!

groupon2 Driving traffic to a site is much easier than converting that traffic into sales.  Average e-commerce conversion rates are pitifully low, ranging from 2-4%.  For an etailer who purchases media (e.g., keywords for paid search, banners on other sites),  96%-98% of their budget is wasted by driving traffic to their site without making a sale, resulting in horrifically negative ROIs (aka, spending much more than you make!).  We have already discussed the importance of multivariate testing of landing pages and better online merchandising to improving e-commerce conversion rates.  Two trends have emerged that are dramatically improving conversion rates: Social Commerce and Mobile Commerce.  Today, I will discuss the impact of social commerce and reserve my thoughts regarding mobile commerce for my next post. Continue reading

An About Face for Facebook

Facebook LogoLast Sunday, it became clear that some of the changes to Facebook‘s Terms of Service (ToS) enacted earlier in the month were detrimental to users’ privacy and granted the company total control over the content you share on their site.   Facebook changed the ToS to to say it owns any content you upload to the site until hell freezes over, even after you delete your profile.  This means they could reuse any of your content whenever and wherever it want. More specifically Facebook declared they have an:  Continue reading