Second round of Reevoo research reveals consumers’ increasing reliance on Facebook and other social trends

The astonishing speed with which the consumer purchase journey is becoming social is revealed today by new figures from social commerce company Reevoo. The company has just repeated a tranche of research first conducted in March 2011, with results showing that the reliance on social sources – including friends and consumer reviews – is increasing rapidly by almost every measure and, intriguingly, across all age-groups.

 

Among the key trends identified are:

• Facebook Commerce – the act of buying products through Facebook – has doubled in just six-months, climbing from 4% to 8%.
• Shoppers are increasingly turning to Facebook for product recommendations: 24% now use it to see what their friends have liked (up from 22% in March), 27% ask friends for product recommendations (up from 19%) and 21% see what products their friends have bought and recommended (up from 15%).
• Mobile phone usage to access social sources of information is on the rise. A majority of respondents now own a smartphone (57% versus 49% in March), and they’re not afraid to use them: 28% read reviews on their mobiles, 24% (up from 18% in March) use their smartphone in store to locate a discount voucher or coupon, while 9% (up from 6%) use their phone to read customer reviews while in store.
• Friends’ recommendations remain the most important factor in making a purchase decision. They are now ranked as important by 74%, up from 70% in March. The importance of consumer reviews written by strangers is also up, from 62% to 65%.
• Recommendations based on what Facebook friends ‘Like’ have increased in usefulness from 15% to 17%, while recommendations based on what Facebook friends actually bought grew significantly from 13% to 18%.
• Multichannel shopping is also on the rise. The proportion of consumers researching their purchases using at least three channels from a list comprising mobile, Facebook, online and offline has increased to 39% from 36% in the six months from March. The proportion using all four channels rose from 8% to 10%.
• Older consumers are increasingly turning to reviews before making a purchase decision. 32% of over 65s and 27% of the 55-64 age-group always read reviews before making a purchase (up from 21% and 22% respectively in March).
• The popularity of online shopping has increased by 10% as a share of total purchases (49% now, up from 39% in March). In addition consumers are increasingly beginning their research online for all purchases (46% now, up from 40% in March).
• The majority of respondents have written a review (56% now, up from 47% in March) and half of those who have written a review have also shared it with friends. 95% of respondents sometimes or always read reviews before making a purchase decision.

 

Richard Anson, founder and CEO of Reevoo, said: “In repeating this research so soon after we first conducted it, we hoped to identify the rate at which the consumer purchase journey is becoming social, and the speed at which it is becoming an accepted part of our shopping lives. The results have certainly confirmed our view that it is, indeed, a rapid process, and that it is a phenomenon that is touching and changing the behaviour of all age-groups.

 

“We have said for some time how vital it is that marketers who have so far ignored social commerce need to look at it very seriously, now. Many brands are translating these social changes into revenue, while those that don’t will be left behind – and now we can see just how fast they might be receding into the distance.”

 

Reevoo’s latest research, undertaken on its behalf by Fly Research, contains extensive insights into current consumer behaviour as it relates to social commerce, the social web, and shopping behaviour. Download an ebook detailing all key findings and trends.

 

 

Both surveys were carried out on behalf of Reevoo by Fly Research, in March 2011 and again in September 2011. In excess of 1000 nationally representative UK consumers were questioned for each survey.

 

 

Reevoo (http://b2b.reevoo.com) is a world leading provider of social commerce solutions. Reevoo has been deployed by more than 150 major brands, including Sony, Tesco, Octopus Travel and Dixons, helping them to achieve average sales uplifts of 18% through boosted conversion rates and increased order values, turning browsers into shoppers.

 

Reevoo has solicited more than 2,800,000 pieces of independent, impartial social content from genuine customers. To help consumers make their purchase decision, Reevoo provides easy access to this content more than half a billion times every month to shoppers across the Reevoo network.

 

 

Tim Donnelly Smith

Both Barrels Communications Ltd for Reevoo

+44 7978 800275

 

Nicola Riordan

Reevoo 

+44 7978 800275