E-commerce (also known as electronic commerce or internet commerce) refers to the buying and selling of goods or services through the internet, transferring money and data to execute these transactions (Shopify). Businesses make use of the internet to market their products and brand as a whole. This is known as an ecommerce marketing strategy. It includes marketing through mediums such as SMS, email, and social media.
SMS marketing is ranked as the most effective method of marketing. It is best to use in time-sensitive situations e.g. limited time offers because statistics show that 83% of millennials open text messages within 90 seconds of receiving them. SMS marketing is permission-based, as brands are required to run SMS campaigns that require users to opt into the service to receive promotional text messages. Web-based SMS platforms such as Express Text can be used by businesses to send out mass scale texts to their clients. These are quite affordable, easy to use and offer various features such as adding hyperlinks, sending MMS messages, polls, surveys and much more. Companies can also set up SMS customer support to cater to their clients’ needs quickly and efficiently.
The second ecommerce marketing strategy is email marketing. This method of marketing is also permission based. There are different ways of getting users to sign up for promotional emails and updates. A few of these include initiating an email based campaign or asking users to subscribe by typing in their email address when visiting the brand’s website. Unfortunately, with so many marketing options, the effectiveness of email marketing has significantly dropped in recent years. Statistics show that emails only have a 20% open rate as compared to SMS which has an open rate of 98%. This may be because emails require more effort as they are longer to read and respond to. The response time of emails is roughly around 90 minutes. It is a fast moving world in which consumers prefer direct and speedy communication. However, emails are more formal so in certain situations, they may be the right option to go with.
Last but not least, social media is another effective ecommerce marketing strategy. Various social media applications are used to market brands e.g. Facebook, Snapchat, and Instagram etc. In most cases, brands pay application developers a certain amount of money to play ads. Snapchat and Instagram play video ads similar to how app users upload stories. Facebook and YouTube play ads before or in between videos. However, social media apps are not only limited to ads. Every brand in today’s generation has a Facebook page that creates brand awareness and allows users to access basic information about the brand such as its phone number, location, and details about the products or services that it provides. Social media statistics are in favor of this method of marketing as 71% of consumers who have had a good social media service experience with a brand are likely to recommend it to others. A good e-commerce marketing strategy can help increase revenues by a large amount by creating a more user interactive experience.