Instagram beats Facebook as the Best Social Media for Brands
Instagram has now surpassed Facebook in attracting larger audiences among leading brands according to a recent survey of 50 brands.
Despite the fact that the top 50 brands, who were the focus of this survey, were posting on Facebook a lot more frequently, the interactions that followers had on Instagram were far greater than those on Facebook. In fact, the number of interactions on the platform was almost 20 times higher than that on Facebook. According to Retail Dive, these findings indicate that brands must focus on “higher-quality content in smaller volumes” to improve their social media engagement.
“When it comes to the top 50 biggest brand profiles, Instagram has a larger audience than Facebook,” said Yuval Ben-Itzhak, CEO, Socialbakers. “That development was not a surprise. What was unexpected in Q4 2019, however, was the relative decline in engagement during the holiday season. This is a warning sign that brands require a deeper understanding of which types of content their audiences find compelling, and an agile method to get that content in front of them.”
For the top 50 brand profiles, post interactions were down on both platforms over the holiday period, despite added attempts from brands to attract consumers. Fashion, which is the top industry on Instagram, was down by 19.4%. The top industry on Facebook is eCommerce, however, it too experienced a decrease in engagement, down 9.6% in Q4. An outlier in the data was the Services industry, which enjoyed an increase of 66.6% in engagement on Instagram.
Influencer marketing showed no signs of slowing down according to the report, with the number of influencers who had the hashtag #Ad in their posts increasing by 90.5% in 2019.
Mobile Commerce expected to Grow 68% by 2022
eCommerce will be worth $666 billion this year and is predicted to reach $845 billion by 2022 according to eMarketer. 50% of those sales will be from mobile commerce meaning a 68% growth in mobile by 2022.
To maximize this move to mobile for retailers, especially those without existing apps, Andrew Lipsman, eMarketer’s principal analyst suggests, “Simplify the basics of app development by focusing on converting the shopper to a purchaser with ease of app usage and basic personalization”.
A challenge that online retailers face is the ‘mobile monetization gap’ – the difference between ‘window shoppers’ on a website versus actual purchasers. Last holiday season 75% of eCommerce shopping was reportedly done through mobiles, however, only 40% actually made purchases.
AI can be used to help turn casual browsers into paying customers. Julie Bernard, CMO at marketing platform Verve says “Smart retailers have employed chatbots to deliver helpful customer service while on the mobile device; chatbots and mobile messaging capabilities will only continue to improve, further contributing to the commerce switch from stores and desktop to mobile.”
Stitch Fix Launch New Algorithm-Powered Clothing Suggestion Service
Stitch Fix, the personal stylist company, has announced that their algorithm-led service ‘Shop your Looks’ is now available for all US customers. The new sub-service uses an algorithm to make suggestions of clothing for its user based on items that they already own.
The service went into beta testing in October, and by December the company had announced they had extended the testing to around 33% of female customers, and would also be tested by male customers.CEO Katrina Lake said that the users they tested on interacted with Stich Fix multiple times and that it increased sales.
Many direct-to-customer brands are using physical stores to improve customer acquisition; however, Stitch Fix has remained purely digital. COO Mike Smith has said in the past that the company has tried things like pop-up shops, which were “interesting, but not for us”. He believes instead that allowing people to try on clothes in the comfort of their own home is “better than the in-store experience”.