Class 19

Social Commerce,

Location based commerce

Social commerce (SC)

• The delivery of e-commerce activities and transactions through social

networks and/or via Web 2.0 software

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The Major roots of Social Commerce


Major Dimension of Social Commerce




A framework of Social Commerce Market Research


Social Capital

• A sociological concept that refers to connections within and between

social networks—the core idea is that social networks have value; just

as physical capital or human capital can increase productivity (both

individual and collective), so do social contacts affect the productivity of

individuals and groups


Social media marketing (SMM)

• A term that describes use of social media platforms such as networks,

online communities, blogs, wikis, or any other online collaborative

media for marketing, market research, sales, CRM, and customer

service; it may incorporate ideas and concepts from social capital, Web

2.0, social media, and social marketing


Social graph

• A term coined by Mark Zuckerberg of Facebook, which originally

referred to the social network of relationships between users of the

social networking service provided by Facebook—the idea was for

Facebook to benefit from the social graph by taking advantage of the

relationships between individuals that Facebook provides, to offer a

richer online experience—this definition was expanded to refer to a

social graph of all Internet users


Social shopping

• A method of e-commerce where shoppers’ friends become involved in

the shopping experience; social shopping attempts to use technology

to mimic the social interactions found in physical malls and stores


Social Advertising

• Social ads and Social apps

• Viral marketing

• Location-based advertisement and social networks

• Using YouTube and other social presentation sites for advertising

• Using Twitter as an advertising and marketing tool


THE MAJOR MODELS OF SOCIAL SHOPPING

• Social recommendations, ratings and reviews, comparisons, and conversations

• Group buying and shopping together

• Deal purchases (flash sales), such as daily deals

• Shopping communities and clubs

• Peer-to-peer models (e.g., money lending)

• Location-based shopping

• F-commerce; shopping at Facebook

• Shopping with Twitter

• Other innovative models


Social CRM (SCRM)

• A customer engagement strategy in support of companies’ defined

goals and objectives toward optimizing the customer experience:

success requires a focus on people, processes, and technology

associated with customer touchpoints and interactions


Elements of Social CRM


Crowdsourcing

• The act of outsourcing tasks, traditionally performed by an employee or

contractor, to an undefined, large group of people or community (a

“crowd”), through an open call

• THE PROCESS OF CROWDSOURCING

– Identify the issue (problem) you want to investigate or solve

– Identify the target crowd

– Broadcast to the unknown crowd

– Engage the crowd in an innovative and creative process

– User-generated content is submitted

– Evaluate the submitted material


Collective intelligence (CI)

• The capacity of human communities to evolve toward higher order

complexity and harmony, through such innovation mechanisms as

variation-feedback-selection, differentiation-integration-transformation,

and competition-cooperation-coopetition


The Seven Dimensions of Virtual Worlds

1. Social space

2. Entertainment space

3. Transaction space

4. Experimental/demonstration space

5. Collaboration space

6. Smart agents space

7. Fantasy space


Location-based advertisement and social networks

• Geosocial networking

– A type of social networking in which geographic services and capabilities such

as geocoding and geotagging are used to enable additional social dynamics

• Geolocation

– The identification of the real-world geographic location of an Internet-connected

computer, mobile device, website visitor, or other


Search engine marketing

• 2 major methods of achieving this positioning within search engine

marketing

– Search engine optimization (SEO) - built into the design of web pages (organic

positioning)

– Search engine advertising and paid placement



Location-based commerce

• Location-based Commerce (L-Commerce) refers to the localization of

products and services through mobile commerce and context aware

computing technologies.

• L-commerce revolves around 5 key service areas:

– Location: determining the basic position of a person or a thing

– Navigation: plotting a route from one location to another

– Tracking: monitoring the movement of a person or a thing

– Mapping: creating maps of specific geographical locations

– Timing: determining the precise time at a specific location


Technologies

• Providing location-based services involves several technologies.

– Position Determining Equipment (PDE) - identifies location of mobile device.

– Mobile Positioning Center (MPC) - a server that manages the location info from

PDE.

– Geographic Information System (GIS) - geographic contents consists of streets,

road maps, addresses, and points of interest.

– Location-specific content - used in conjunction with geographic content to

provide the location of particular services.



Location-based service

• Location-based services (LBS) are a general class of computer

program-level services that use location data to control features.

• As such LBS is an information service and has a number of uses in

social networking today as an entertainment service, which is

accessible with mobile devices through the mobile network and which

uses information on the geographical position of the mobile device.

• This has become more and more important with the expansion of the

smartphone and tablet markets as well.


LBS applications

• Recommending social events in a city

• Requesting the nearest business or service, such as an ATM, restaurant or a retail store

• Turn by turn navigation to any address

• Assistive Healthcare Systems

• Locating people on a map displayed on the mobile phone

• Receiving alerts, such as notification of a sale on gas or warning of a traffic jam

• Location-based mobile advertising

• Asset recovery combined with active RF to find, for example, stolen assets in containers where GPS

would not work

• Contextualizing learning and research

• Games where your location is part of the game play, for example your movements during your day

make your avatar move in the game or your position unlocks content.

• Real-time Q&A revolving around restaurants, services, and other venues


Geosocial networking

• Geosocial networking is a type of social networking in which

geographic services and capabilities such as geocoding and

geotagging are used to enable additional social dynamics.

• User-submitted location data or geolocation techniques can allow

social networks to connect and coordinate users with local people or

events that match their interests.

• Geolocation on web-based social network services can be IP-based or

use hotspot trilateration.


Location-based game

• A location-based game (or location-enabled game) is a type of

pervasive game in which the gameplay evolves and progresses via a

player's location.

• Thus, location-based games must provide some mechanism to allow

the player to report their location, frequently this is through some kind

of localization technology, for example by using satellite positioning

through GPS.


Locative media

• Locative media or Location-based media are media of communication

functionally bound to a location.

• The physical implementation of locative media, however, is not bound

to the same location to which the content refers.


Geomarketing

• Geomarketing is the integration of geographical intelligence into

various aspects of marketing, including sales and distribution.

Geomarketing research is the use of geographic parameters in

marketing research methodology, including from sampling, data

collection, analysis, and presentation.

• Geomarketing Services related to routing, territorial planning, and site

selection where the location is the key factor for such disciplines.


Case Study: ASOS


Case Study: ASOS

Aim is to generate £1billion in sales from 5 key markets by 2015

International markets set to account for 86% of sales by 2015. China & Russia BIGGEST opportunity

Almost two-thirds of sales now come from outside the UK Looking to remove purchasing barriers to drive international expansion

USA+344%

UK+26%

EU+303%

RoW+882%

Total retail sales +379%International sales +597%

Dedicated websites

Case Study: ASOS

Overview of online and multi-channel

operations and capabilities

Snap-shot of online & multi-channel

proposition

Cast Study: ASOS

Detailed critical analysis of online and multi-channel strategy

and operation

Critical assessments of social media and

m-commerce strategies

Case Study: ASOS

Comprehensive analysis of product

categories sold, with number of products

available on each website operated.

Detailed audit of retailer’s e-commerce and multi-channel capabilities,

including presence on social networks and fulfilment options. Allows you to

determine what best-in-class looks like.

Case Study: ASOS

Overview of payment options and

customer care facilities available on

website.Complete review of

website’s functionality. Assess the usability of the

website to determine what winning online

shopping experiences look like,

and identify innovation and

technology enhancement that will result in high conversion rates.

Case Study: China


Case Study: China - Methods of accessing the internet

Determine how online shoppers are accessing the internet. Revealing role of different devices, such as Smartphones and tablets in online and multi-channel shopping

Case Study: China - No. of days per month internet used for each activity

Determine how online shoppers are using their internet access. Revealing the proportion using it to shop, and the engage in social media etc.

Case Study: China - Online spend by Device

Determine how much is spent online using a computer, mobile phone and tablet. See spend by each device broken down by key product categories

Case Study: China - Proportion Spent

Determine levels of spend by each demographic. Spend is broken down by main product categories. Identify biggest spenders in each category online

Case Study: China – Non-store channels used to shop each category

Key indicators of online shopping behaviour, such as spend per head, frequency of online shopping. All broken down by non-store channels used, product category, and devices used to shop online


Business

Class 19