Following pressure on social platforms to demonstrate their validity as powerful sales channels, Twitter recently started testing its “Buy” button. The button, which is embedded in tweets, lets users make purchases directly on Twitter and through its mobile app. Rather than users being redirected to a retail site, Twitter’s “Buy” button provides the ultimate one-stop social-media shop.
Twitter now joins other companies like Facebook that are trying to prove that a return on investment can be achieved through social commerce.
Social media has widely been known as a tool for building brand awareness and as a display-marketing vehicle rather than a social commerce platform, but companies like Facebook and Twitter are trying to change that perception. Previously, social-media tactics and results were measured by soft metrics such as increasing impressions and click-throughs, but the return on investment has been low or confusing.
A Forrester report in 2011 found that 62 percent of retailers described the ROI from social commerce as “unclear.” Of course 4 years later, this has changed but we still are on the look out for a report to alter that piece of information.
With the “Buy” buttons, Facebook and Twitter are elevating the focus on ROI by targeting the most important metric: the number of people who purchase the products.