Impact Of Social Media On Shopping Behavior
With 82% of Americans using social media, the influence that popular platforms such as Facebook, Instagram, YouTube and others have on shopping behavior has become increasingly important. The extent to which social media impacts consumer behavior extends far beyond United States as 3.78 billion people use social media daily worldwide.
By 2023, ecommerce in US alone will reach $740 billion annually and social media will undoubtedly play a pivotal role in funneling and swaying consumer decisions on how that money gets spent.
To find out more about social media’s impact on shopping behavior we conducted this study which surveyed 1130 consumers in the United States and focuses on discovering key factors that shape purchasing decisions on social media. Below you will find the key findings of the study along with survey methodology and demographic composition at the end.
Introduction To New Products On Social Media
78.6% of consumers discover new products and brands on social media that they eventually end up purchasing.
Popular Platforms For Shopping Recommendations
Most Americans get their shopping recommendations on these social media platforms: Instagram (52.4%); Facebook (49.5%); and YouTube (48.5%).
Average Spent Due To Social Media Recommendations
On average, Americans spend $49 per month as a result of shopping recommendations they get on social media.
Trusted Sources For Shopping Recommendations On Social Media
Majority of consumers trust and follow brands (58.3%) to get their shopping recommendations on social media. Friends (46.6%), Comments (26.2%) and Content Creators (24.3%) as well as Influencers (25.1%) were cited as popular sources.
Most Important Considerations For Promoted Products
When consumer see a new product being promoted on social media, Quality & Price (81.4%) was the most important factor about the promoted product. Relevance (53.3%) and Appeal (47.9%) were the two other factors considered.
Trust In Sponsored Content
55.3% of consumers have more trust in content creators/influencers that explicitly highlight sponsored content.
Usage Of Product Reviews On Social Media
79.1% of consumers will look up what other users are saying about a product/brand on social media before purchasing it.
Preferred Content Formats For New Product Recommendations
The two most preferred content formats by consumers to find about new products and brands are Video (61.2%) and Image (54.4%).
52.1% of consumers also indicated that they would prefer to see product recommendations prior to start of a video.
Threshold Of Shopping Recommendations To Purchase
Most consumers will check out a product and buy it after two (31.1%) or three (26.3%) times that they see a content creator promote it.
Use Of Exclusive Coupons From Social Media
78.4% of consumers use exclusive coupon codes mentioned by content creators.
Post Purchase Implications
80.1% of consumers that are happy with the product they purchased are more likely to follow and act on future shopping recommendations by the content creator who recommended the product.
72.8% of consumers that are not happy with the product they purchased are less likely to follow and act on future shopping recommendations by the content creator who recommended the product.
SURVEY METHODOLOGY & DEMOGRAPHICS
For the purpose of this study, we surveyed 1130 US consumers to find out how their shopping behavior is influenced by social media. The survey was conducted through SurveyMonkey services. The demographic composition of the 1130 individuals surveyed is as follows.