Attracting Attention through Social Networks
- 1 Introduction to Shoptiques and their Services
- 2 The Next Step for Shoptiques
- 3 Social media’s Popularity in Today’s World
- 4 Social Media’s value to businesses
- 5 The Benefits of Introducing the Service for Shoptiques
- 6 The Benefits of Introducing the Service for Boutique Partners
- 7 Companies Which Exemplify the Power of Social Media
- 8 Social Media Management Service Structure
- 9 Social Media Team
- 10 Cons of Introducing Social Media Management
- 11 Cons of Introducing a New Service for Shoptiques
- 12 Cons of Boutiques having a Social Media presence
- 13 Destructive Social Media Presences
- 14 Conclusion
- 15 References
Introduction to Shoptiques and their Services
Founded in 2012, Shoptiques is a company which has changed the way boutiques conduct their business and created a new way for people to shop the world’s most unique pieces from the comfort of their own home. Shoptiques is a company which serves two markets; online shoppers and small boutiques from around the world. Shoptiques grant boutiques both the opportunity to enter e-commerce and the tools which are crucial to their success online. Shoptiques’ boutique partners have access to a plethora of tools such as web hosting, email marketing, inventory management through a POS software, customer support, expertise in e-commerce from boutique account managers, and so much more.
- POS Software
In order to provide a seamless experience and introduction to the platform, Shoptiques now makes it necessary for all newly added boutique partners to also integrate our POS software. This additional service and software Shoptiques offer includes all the necessary materials to maintain the store’s inventory and place items on the store’s floor. The hardware used to facilitate transactions consists of an iPad, item scanner, receipt printer, credit card processing machine, and software are all included along with the installation and training. This software was specially designed with boutique owners needs in mind and the Shoptiques platform. This POS system syncs seamlessly with shoptiques.com and the backend system COCO.
How it works
- Customer Support
Any boutique partner of Shoptiques.com also gets to take advantage of another one of our services. Upon becoming a partner, Shoptiques takes care of all customer service inquiries regarding anything that is listed online by the boutique. Shoptiques has an entire team dedicated to addressing customer inquiries, providing style advice, and searching for items through our chat, email, and phone lines. This eliminates the need for boutique partners to hire additional help for online customer support.
- Expertise in E-commerce
Soon after becoming a partner with Shoptiques, boutiques get the opportunity to work one-on-one with and be assigned a dedicated account manager. This account manager is the person responsible for answering all boutique’s questions, give them advice on how to increase online sales, provide feedback on which products to upload, and inform owners of new updates and opportunities. These advisors have experience in e-commerce that is extremely valuable to small business owners.
- Marketing Materials
The team at Shoptiques is committed to having their boutiques succeed. Due to this drive and passion, they offer numerous marketing materials to their partners. Shoptiques provide their boutiques with email marketing materials such as banners, as well as material that can be used to announce the partnership and promotions that are going on within the store.
The Next Step for Shoptiques
Shoptiques offers a truly unique service to its boutique partners. I believe that the next step for this company to becoming a truly comprehensive, one-stop shop for all the needs of small business is to feature social media management as a new service. As a boutique owner, many owners have to wear the hats of so many within their small business.
They often lack the financial resources to hire customer service specialists, social media managers, sales associates, general store managers, inventory control specialists, website creators, and anyone else needed to help run the business. Shoptiques offers many of these services to their boutique partners upon becoming a partner and using our POS software; However, they are not currently offering services that will help develop and maintain the boutique’s social media presences.
Social media’s Popularity in Today’s World
Living in a digital age, there is no doubt that social media platforms such as Instagram, Snapchat, Facebook and Twitter have become the occupant of many people’s time in today’s world. What began as platforms that were used to connect people, these outlets have evolved and are being utilized for entertainment and gaining information. This extremely popular use of people’s time has created a spectacular opportunity for business and those that identify themselves as influencers.
The development of these platforms and increasing use of “smart devices” presents companies and influencers with new opportunities to expand their marketing efforts. These technological advancements allow people to access these social media platforms from their home TV, desktop computers, smartphones, laptops, tablets, and smart watches.
Studies are now showing that many individuals meet their innate socialization needs by turning to social media and are spending an increasing amount of time there, instead of using conventional means of communication[footnoteRef:1].
While Facebook and YouTube remain popular sites for adults, those who fall into the 18-24 age group have been found to primarily resort to the use of Snapchat and Instagram. According to the Pew Research Center, 78% of 18-24-year-olds are using Snapchat currently, and of that 78%, a solid 71% are using the platform multiple times throughout the course of the day.
In addition, Instagram is being utilized by 71% of this age group. These numbers have been increasing dramatically since 2005 when only 5% of Americans utilized social media. Now, in 2018, 69% of all Americans use some type of social media platform[footnoteRef:2]. [1: (Arslan, ‘The Effect of Social Media on Marketing’, 2017)] [2: (Smith & Anderson, ‘Social Media Use 2018: Demographics and Statistics’, 2018)]
Social Media’s value to businesses
With the rapid increase of social media usage, it is crucial for businesses to harness the power this tool has over peoples purchasing behavior. Social media is giving small businesses the means to develop a marketing plan at the fraction of the cost of traditional approaches.[footnoteRef:3] The benefits of incorporating social media platforms into small businesses are endless, and can result in so many positive outcomes and growth opportunities. [3: (Schaupp & Belanger, ‘The Value of Social Media for Small Businesses’, 2013)
- A low-cost approach to Marketing
A huge benefit to Using social media as a tool for small businesses is that it presents an opportunity to use creativity to enhance the success of the business, while having relatively little to no cost. The main opportunity cost for implementing and utilizing social media is the time you must invest in producing quality material. This is one of the many reasons I feel it is extremely beneficial for Shoptiques to offer this service at a reasonable price in comparison to its competitors.
- Ability to generate more sales
It is no surprise that many Americans now look to the internet and influencers very frequently when making purchases online. According to Forbes, 73% of consumers have been impacted by a brands social media presence when making a purchase decision[footnoteRef:4]. In addition, many individuals (30%) look at the brand, store, or company’s social media presence before deciding whether to buy or not, making a huge impact on the business’s revenue.
In creating a presence on social media that has support from bloggers, influencers, and other customers, people feel more comfortable purchasing from the company. Ultimately, social media can allow for greater awareness and exposure of products by new and current customers, and utilize the efforts of influencers to drive conversion and increase sales. [4: (Lerner, ‘Here’s Why Video Advertising On Social Media is Crucial for Small Businesses’, 2018)
- Create more Opportunities for Customer service
Open lines of communication are essential to the success of small businesses, especially those that are diving into the world of e-commerce. Maintaining social media accounts gives boutiques another chance to engage customers with their customer support. By maintaining and being prompt with customer inquiries on various social media platforms, companies can stand out by offering numerous methods to reach the business with questions or concerns. By direct messaging or posting comments to content, customers can reach customer support teams easily via platforms they already have incorporated in their daily lives.
- Exposure to a Wider Audience
With so many individuals scrolling through their favorite social media platforms daily, these platforms are offering a unique opportunity for businesses, especially small ones. Typically, small businesses have very minimal exposure due to their lack of resources and the nature of a small business. Posts on these social media platforms have the chance to reach millions of individuals with the touch of a button and have the chance to create a buzz not just in their geographical location, but around the world.
- Improvements on Internal operations
Social media platforms give customers the opportunity to give feedback to businesses and voice their opinion on how they can improve their preexisting systems. By implementing social media into a small business, a boutique can increase the productivity of its internal operations. In being present on platforms that allow for customers to voice their opinions on products, promotions, and other aspects of the business, boutiques can streamline their attention to topics that are more influential to their success.
Knowing what customers need and want to see can help boutiques figure out where to focus their efforts to ensure they are using their time as efficiently as possible. This also poses the opportunity for small businesses to create a brand image and choose something that resonates with their target market.
The Benefits of Introducing the Service for Shoptiques
Since Shoptiques’ beginning, the CEO/Founder Olga Vidisheva, along with help from her dedicated team, have always been looking for new ways to further develop and expand their company. This proposed new service aligns perfectly with the company’s core values and beliefs in regards to helping small business succeed and propel forward.
- Increased revenue
Shoptiques continues generating revenue proceeding the signing of a boutique as a partner by collecting a commission on every sale made through Shoptiques.com. In providing a new service that would help generate sales for boutique partners, we would also be benefitting from our boutique’s newfound success. As its extremely time consuming and difficult to gain boutique partners consistently, this is a great way to increase the revenue of Shoptiques. This potential increase in revenue not only benefits the company because of the influx of cash, but also because a good reflection of Shoptiques performance can result in more boutiques becoming interested in the platform.
- A Wider Variety of Services
Shoptiques prides themselves on offering a range of services that are designed for and in conjunction with boutiques, as well as offering services which help make running their small business more cohesive by offering a wide variety of services. From helping with inventory management to providing software that automatically updates inventory, Shoptiques aims to create a one-stop shop for boutique owners. In order to continue to offer a truly comprehensive range of services, I believe it’s crucial to integrate social media management into their portfolio. With this service added to their portfolio, Shoptiques can be a place where boutique owners go to find the solutions to all of the problems they face.
- Competitive Edge
Shoptiques has several competitors in different industries because they serve two markets that have two types of competitors. While they find themselves to be in competition with large retailers such as Macy’s, Revolve, Nordstrom of Neman Marcus, they also find themselves in competition with companies like Square and Open Table. Shoptiques POS system puts themselves in competition with companies which specialize in credit card processing and point of sale solutions. Many companies which specialize in these areas do not offer all of the other services Shoptiques offers, and fail to include social media management in their portfolio.
The Benefits of Introducing the Service for Boutique Partners
In order for Shoptiques to be successful with this new service, it is crucial for it to translate to substantial success for the boutiques as well. The structure of this company makes it essential for boutique partners to succeed in order for Shoptiques as a whole to remain in good financial standing. This makes the benefits of implementing this new service for each individual boutique to weigh a tremendous amount.
- Increased Chances of Success
As a whole, small businesses contribute immensely to the U.S. economy. They employ 57% of workers in the private sector and pay 44% of U.S. payroll. Despite these small businesses contributing so much to our economy, only 50% survive beyond 5 years[footnoteRef:5]. With an equal chance of the business failing as it is being successful, it is imperative to take advantage of all potential tools for success. Integrating social media into a small business can open a new opportunity to prosper and thrive against their competitors. [5: (Bandyopadhyay, ‘How a Cost-Effective Social Media Plan Can Make a Difference for Small businesses’, 2016)
- Centralized business
In utilizing this service, boutique partners would have all aspects of their business centralized into one platform. All of their e-commerce, marketing, inventory management, and customer service would be streamlined into one company. In having one company like Shoptiques managing all aspects of the business, there will likely be minimal miscommunication since all teams and account specialists have access to all the same information. There is no hassle or inconvenience in having to translate information between different areas of the business or work with a plethora of specialists from different companies. This service would allow all aspects of a boutique to be managed under one roof with a group of dedicated team members.
- Increased revenue and Strengthening Customer Relationships
As previously discussed, more and more individuals are turning to Instagram, Twitter, and Facebook before completing an online transaction. By having a positive presence on these platforms, we can capitalize on having an admired brand image. If a favorable social media presence is established, boutiques would be likely to increase the conversion of those visiting their pages and websites. These platforms also enable customers to interact with the boutique and equip them with a new way to express ideas and concerns. This can serve as an exceptional way to form favorable relationships with customers. Establishing these emotional connections with customers is integral and can contribute greatly to their success.
Social media has been shown to be a great tool in establishing these emotional connections. In one study, a condiment company found that 60% of its social-network affiliated guests were emotionally connected versus the 21% of all customers. This study also shows that customers who are fully connected are 52% more valuable than those who are simply satisfied[footnoteRef:6]. These relationships and emotional connection are important in many businesses, especially those in the fashion industry.
In another study done by CustomerThermometer, the highest percent of emotional connection for women was seen in the fashion Industry[footnoteRef:7]. [6: (Leemon, et al., ‘The New Science of Customer Emotions’, 2017)] [7: https://www.customerthermometer.com/consumers-connecting-with-companies/]
- Increase Competition with Large Retailers
Social media provides a significant opportunity for big retailers to create an identity for themselves. Social media usage is imperative to these large retailer successes. With such platforms, small businesses can now have the same opportunities that large retailers have on social media. Since these platforms are extremely influential, it is yet another way to turn customers away from those large retailers and interested in buying from small businesses.
Companies Which Exemplify the Power of Social Media
Many companies have invested money and time to develop a social media presence, but when those resources are joined in unison with brilliant social media specialists, incredible things can occur. These are some of the many companies who have employed extremely impressive social media campaigns and have benefited greatly from their investments.
- Dollar Shave Club
The Dollar Shave Club has used social media and their presence on YouTube to grow from a small start-up to a company that would be bought for $1 Billion dollars[footnoteRef:8]. This company executed social media marketing and video marketing to become a viral sensation, thus increasing brand exposure and attraction to their business. This company featured impressive social media marketing tactics on Instagram, Twitter, Facebook, and YouTube.
They have now reached nearly 2.8 million likes on Facebook and 23 million views on their original video[footnoteRef:9]. [8: (’11 Companies That Are Killing It with Their Digital Marketing Campaigns’)] [9: (‘How Dollar Shave Club Used Social Media to Become a Billion Dollar Company’)
- Jet Blue
Jet Blue has taken a great opportunity to use their social media platforms to engage with customers. They use their platform to address customer’s questions and concerns, and provide them with useful information. Their quick responses and seamless customer service help customers gain confidence in their company and build a positive relationship. This simple use of a social media platform has been able to propel JetBlue into success and remain a strong competitor in their industry. This platform has given them the chance to connect with 2.03 million followers on Twitter, making them more visible and giving them the ability to showcase their excellent customer service to their market[footnoteRef:10]. [10: (’11 Companies That Are Killing It with Their Digital Marketing Campaigns’)]
Airbnb has employed numerous campaigns on social media over the years to increase customer engagement, thus helping them generate more sales. Airbnb has utilized user-generated content on Instagram to form more emotional connections with consumers and strengthen the bonds between themselves and the company. Not only have they used this organically created material to appeal to consumers; They have also improved their customer service. Through using Twitter, Airbnb has been able to more quickly and effectively address customers. In addition, they created a seamless transition into their online website to encourage users to visit their site[footnoteRef:11].
All of these methods have contributed to their immense interactions [11: (Hogan, ‘Social Media Marketing Highlight: Airbnb | Stunning Strategy | Pittsburgh’, 2018) and the acquisition of their 3.7 million followers.
Social Media Management Service Structure
By introducing this new service, it is important that we structure it to be extremely customizable and individualized, as well as being affordable and covering all necessary areas.
Adhering to Shoptiques value, I believe it is crucial to have this additional service be made specifically for our boutique partners. In keeping our boutique’s needs in mind when designing the new service, Shoptiques would be able to offer a truly one of a kind service. I also believe it’s important that we create content and ensure each social media platform is managed in a way that is custom per boutique.
Shoptiques acknowledges the uniqueness each boutique has to offer, and I believe in incorporating that into their social media platforms as well. The service will consist of maintenance of the platform which will include addressing direct messages as well as comments and concerns. We want our boutiques to be as engaged as possible with their shoppers on these platforms; Therefore it is integral to incorporate maintenance of these areas.
Comments, direct messages, and mentions must be addressed every other day to ensure we are addressing all inquiries and interactions with shoppers. The service will also include 2 posts per week which will consist of custom content, whether it be custom edited photos or newly created graphics featuring store promotions.
The service will also include monthly meetings with the boutique owners to go over the content to be used that month, schedule the postings, and address any questions or concerns. This time will be utilized to organize and begin the creation of materials used on the social media platform. All Materials will also be submitted to boutiques for final approval 24 hours prior to the posting.
Video Creation as an Additional Service
In addition to these monthly package services we would offer, I believe that it is advantageous for Shoptiques to also have additional services which can help increase pre-existing efforts or add new functionalities. One of the additional services and functionalities we should offer is assistance in creating and producing small video ads for social media platforms.
According to Forbes.com, video ads are the top way that customers find out about new products and brands before purchasing. Out of all social media platforms, Instagram is emerging as a huge purchase driver[footnoteRef:12]. In addition, 46% of consumers watch more video ads on social media then they do on TV. Without the help of our Social Media team, video creation would be extremely time-consuming and difficult for boutique owners who lack the expertise of certain tools and software used to create the videos.
Videos have been receiving an increasing amount of attention throughout social media, which is shown through videos getting three times as many shares as texts and images combined. [footnoteRef:13]These video ads would be simplistic and feature footage of the interior of the boutique and the boutique owner. [12: (Lerner, ‘Here’s Why Video Advertising On Social Media is Crucial for Small Businesses’, 2018)] [13: (Lerner, ‘Here’s Why Video Advertising On Social Media is Crucial for Small Businesses’, 2018)]
- Creating a Brand Image
The Social Media team will also be working in conjunction with the boutique to be creating an online brand image that aligns with the boutique and is in line with what their demographics are in favor of. In working with a team member who has extensive knowledge of this area, boutiques will be able to optimize their efforts and appeal to their specific target market.
- Pricing structure
Due to small businesses typically having limited resources, I believe that it is extremely important to ensure the services are as cost-effective as possible. While still remaining a full coverage service, we want to give our boutiques the opportunity to implement this into their business without feeling a financial burden. Many agencies offering similar services can charge anywhere on average from $100 to thousand’s a month[footnoteRef:14].
I believe that offering this service for $75-$100 a month per social media channel would be beneficial to the success of this new service. Most agencies offering such custom material and time intensive projects charge upward to $200-$500 per month. I strongly believe that creating additional services that would be complementary to this service is also a valuable decision. Once boutiques see success with using our services and creating/maintaining a social media presence they may want to increase or have additional functionalities.
Adding Video ads into the boutique’s platform would be an upcharge of $50 per video creation. This pricing is competitive with companies such as Promo, who allow business owners to create their own video ads using premade templates. [14: (‘A Guide to Social Media Management Pricing and Packages’, 2018)]
Social Media Team
I propose that within the social media team there are two sub-teams; The Social Media Management Team and the Social Media Creation Team. Each sub-team contributes to the boutique’s overall social media presence and works cohesively. I believe it may be beneficial to incorporate sub-teams within the team because of the nature of the work that must be completed and the different skills sets required for each.
- Social Media Management Team
In order to give each boutique partaking in the service a great deal of attention, I propose that there will be an assigned social media account manager for each boutique. Each social media account manager will have a maximum of 5 boutiques in order to ensure each boutique is receiving individualized creative material. Hopefully, as the service becomes more successful and we see more boutiques interested, the social media management team will grow. Although each boutique will have a specific account manager, I will also suggest that the entire team meets weekly. These weekly meeting will ensure the entire Shoptiques Social Media Management team can showcase their work, generate new ideas with team members, and can receive feedback. This time is also essential for questions, concerns, and new ideas to be vocalized. I believe that in having a social media specialist manage their selected platforms, boutiques would be able to optimize their social media marketing efforts.
- Social Media Creation Team
The Social Media Creation team would be the Shoptiques members that are responsible for generating creative content to be used by the management team. The Creation team will be required to generate the actual material that has been developed and planned by the boutiques and management team. This team will consist of creative individuals who have backgrounds in graphic design, video production/creation, editing, animation, etc.
Cons of Introducing Social Media Management
As many positive results may come from maintaining and having a presence on social media and for expanding the Shoptiques portfolio, there are also some points of conflict. Cons of this proposed new service can occur at both the company-wide level at Shoptiques, and potentially for each individual boutique. One of the cons for introducing a new service is the need to hire more employees and the risk of the service not being profitable. There are also cons for boutiques in having a presence on social media, such as increased visibility of boutiques problems/complaints, security issues, and bad publicity.
Cons of Introducing a New Service for Shoptiques
- Hiring New Team Members
Although there are many aspects which benefit Shoptiques in adding a new service to their portfolio, there are also some negative consequences that may arise. In adding a new service which requires a whole team of skilled individuals, Shoptiques will have to take the financial burden of hiring additional employees. Not only can finding new team members who align with your company’s vision be difficult, but it can also be time-consuming and costly. The process of selecting new team members and the financial burden on Shoptiques for hiring these new members can be seen as a disadvantage to introducing the new service.
- The Risk of Failing
In introducing a new service to their portfolio, Shoptiques must acknowledge that there is an equal opportunity for the service to fail as it is to succeed. This can be exemplified in the service not being profitable or boutiques not being as interested as expected. The disadvantage of creating a new service or making any large decisions within a business is that there will always be a risk, there is no guarantee that the service will generate more revenue for Shoptiques.
Cons of Boutiques having a Social Media presence
- Increased Visibility of complaints/problems
In having a platform which potential and the pre-existing customer can express any concerns, report problems, or ask questions, boutiques are allowing an increased amount of visibility into potential weaknesses within their store. This can result in other shoppers being exposed to issues, making them skeptical about placing an order. Just as this platform can be used to build a positive relationship by fixing/addressing issues, it can also cause more customers to be exposed to these potential issues.
- Potential for Security Breaches
In being present online, there is a risk of a security breach or privacy issues. These could be detrimental to the boutique’s social media presence if it occurs. When accounts are hacked and the security is breached hackers have the power to post, tweet, tag, or share unfavorable information. This could create friction between the boutique’s target market, make shoppers skeptical about making purchases, and jeopardize the brand’s image.
- Bad Publicity
Information sharing can be extremely beneficial for companies but it can also be destructive to a boutiques reputation. It is just as easy for social media influencers, bloggers, and everyone else to voice their negative opinions regarding a boutique or their products, as it is to post something positive. When creating and maintaining a presence on social media platforms we can never be sure that the buzz about something will be positive. People interpret information, images, and videos differently depending on a variety of factors. This means individuals may interpret material on social media platforms differently than it was intended for. This makes posting on social media increasingly difficult in today’s world.
Destructive Social Media Presences
It is not only small business who are exposed to the risks of being present on social media platforms, but many well-known large corporations have also been exposed to the adverse impacts. These are a few of the many companies who have felt the negative side effects of having a social media presence at one time in their companies’ lifetime.
Greggs Bakery UK
In 2014, Greggs Bakery in the United Kingdom was subject to a security breach which lead hackers to change the companies slogan from ‘always fresh, always tasty’ to ‘Providing shit to scum for over 70 years[footnoteRef:15].” Greggs bakery was able to rebound from this incident and promote their baked goods in the process. [15: (Smith, ‘UK baker Greggs pulls off a charming social media save’, 2014)]
In 2017, Pepsi released an ad which was featured on social media platforms which viewers found offensive. Pepsi’s goal to create a campaign that signified a “global message of unity, peace and understanding[footnoteRef:16]” lead to an extremely negative perception, and they gained a plethora of bad publicity. Many felt offended and had severe negative opinions towards Pepsi following the distribution of this advertisement. This an excellent example of how careful social media platforms and their content must be monitored by companies and users of the platform. This advertisement lead to an overabundance of bad publicity that damaged the company’s reputation and potentially tarnished the brand’s integrity to some customers. [16: (April 05, ‘Pepsi says ‘sorry’ and removes Kendall Jenner ad from the web’)]
Although integrating social media as a new service to Shoptiques platform may pose some risks to their company and their boutique partners, I am confident that they will experience positive results; Thus, they should adopt this service. I believe that the benefits far outweigh the potential disadvantages, and the service will foster growth in both Shoptiques and the boutique partners. In adding a new service to their portfolio, Shoptiques will be able to propel themselves into success and further set themselves apart from their competition. Shoptiques emphasizes the importance of uniqueness and giving customers a truly unique shopping experience. The addition of this service will help Shoptiques become a more cohesive, comprehensive, and certainly unique company.
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- April 05, 2. B. (n.d.). Pepsi says ‘sorry’ and removes Kendall Jenner ad from the web. Retrieved from https://www.prweek.com/article/1429761/pepsi-says-sorry-removes-kendall-jenner-ad-web
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Attracting Attention Through Social Networks. (2022, Feb 09). Retrieved from https://papersowl.com/examples/attracting-attention-through-social-networks/