Thursday, September 21

#1 - 😎 Why the consumer-influencer relationship matters more than ever

📰 TL;DR - This meaty piece in Harvard Business Review looks at how the relationship between influencers and consumers has grown incredibly close, especially in Asia. It starts with the example of an influencer family who started providing a link to buy tea, and people snapped it up, even though it had nothing to do with the content. Livestream shopping has been incredibly lucrative in markets like China, with that influencer-consumer relationship being the main driver. Consumers form an emotional connection with these influencers, birthing a new reason for people to shop. Overall a fascinating piece.

💡 Insight - This article ends with the big question that’s been being asked for some time now: when will these e-comm trends in Asia trickle over to the US? I think the advent of TikTok Shop may be the answer. I can only assume TikTok is looking at the e-commerce success of its sister platform, Douyin, and hoping to recreate in the US. That’s why TikTok Shop was launched with powerful affiliate shopping tools to drive home the idea that influencers can be sellers.

➡️ You can read the article here...

#2 - 🚀 Influencer Marketing Not Working? You need to go ""direct to creator"

📰 TL;DR - Brands often squander their budgets on one-off influencer deals, resulting in wasted resources, negligible returns and missed opportunities. This flawed approach can lead to stagnation or even losses.

This is where SARAL comes into play!

💡 Insight - Consumers crave authenticity. Doing a paid ad with influencers doesn't work anymore. You need to turn them into brand advocates. How?

Use tools like SARAL to:

1. Seamlessly find untapped influencers on autopilot.

2. Effortlessly distribute products and affiliate links.

3. Track, gather UGC, and foster lasting partnerships

➡️ The best part? As our reader, you can enjoy an extended 2x free trial. Get started here.

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#3 - 😍 How to please Gen Z shoppers

📰 TL;DR - A new survey looked at what Gen Z likes and dislikes when it comes to e-comm and there are some interesting insights. FIrst of all, Gen Z is all for using AI in e-commerce, with 88% saying AI improves online shopping. And 55% are interested in using AI assistants for product discovery. Speaking of discovery, 55% said they like seeing curated deals from creators and influencers. And when it comes to personalization, 20% to 29% were willing to bounce if an experience isn’t personalized to them (another thing AI can do!). As for what they don’t like, a lot of it comes down to frustrating checkout experiences.

💡 Insight - By now I hope you’re on board with the idea that AI personalization is the future of e-commerce, because it’s certainly what young shoppers want. I also like the insights here about checkout frustrations. The overall theme seems to be too many irrelevant ads or offers are a turn-off, but a personalized recommendation for a little something extra that is relevant is very welcome and likely to be purchased. Also note that their frustrations are very likely to lead to abandoning their cart or removing items, so really focus on streamlining the checkout process lest you want to lose this cohort of consumers.

➡️ You can read the article here...

#4 - 🛠️ Things worth checking out

👷‍♀️ HIRING - Based on holiday hiring, things are looking up for e-comm, not so much for retail. Read here.

🛒 CHECKOUT - Google has released a new report that flags checkout issues on e-commerce sites. Read more here.

💿 DATA - The majority of US shoppers are perfectly happy to trade personal data for deals, even if they’re skeptical of AI. Read here.

👀 TAXES - Here’s an interesting read on why e-commerce businesses have to pay taxes (note: this is also a product ad, but the background is neat).

📬 USPS - Some good news — USPS will not institute peak season surcharges this season.

#5 - 📦 H&M expands return fees

📰 TL;DR - Another major retailer is leaning further into charging for returns, this time it’s H&M. They had already started doing this, but will expand the policy to more markets. In the US, for example, the fee is $5.99 for a return. The exception is that members of the brand’s free loyalty program get to skip the fees. Other brands that have started charging for returns include Amazon and Zara. Apparel brands in particular are hit hard by returns because consumers tend to order multiple items and return what doesn’t fit.

💡 Insight - I wanted to cover this because charging fees for returns has become a major trend. I’m sure you understand why — returns are an expensive headache. With more major retailers now charging fees, it normalizes the practice and makes it easier for DTC brands to do the same. Although I do like H&M’s approach to nix the fees for loyalty program members. It’s a great incentive to sign up and potentially makes up for whatever they lose on those returns in particular.

➡️ You can read the article here...