Social media is bringing customers back into retail stores

Retailer’s digital efforts are beginning to translate to in-person customers. At least, according to Macy’s, Urban Outfitters, and Under Armor, who all said their social media strategies have begun to lure shoppers back into their physical stores.

According to Cyntia Leo, Urban Outfitters’ head of brand marketing, social media, especially TikTok and Instagram, has boosted in-store visits and helped Urban connect with consumers in a way that’s authentic.

TikTok allows Urban to comment under a customer’s post in real-time and serves as an informal way for it to leverage how it markets its items without the need for models, Leo explained. Rather than featuring a fixed ad, for example, Urban can instead just re-post one of their customers on its page.

“We really want to make sure that we’re not only part of your feed, but that we’re part of your conversations,” Leo said during the Lead Innovation Summit in New York City on Thursday.

That effort has seriously magnified Urban’s digital footprint. The retailer, which works with software company Dash Hudson on its social media, has seen a 424% increase in TikTok video views, a 275% increase in Instagram video views, and a 5,690% increase in new Instagram followers.

According to Leo, it is critical for retailers to drive their online experience into real life purchasing should they want customer loyalty and consistency.

When the Covid-19 pandemic forced many stores to close their doors, social media quickly became the next best option. Despite an overall slowdown in discretionary spending, customers have now returned to many daily activitiesincluding going shopping.

“What we’re seeing is that the consumer is really going back to loving retail, loving to feel things, and feeling brands in real life,” Leo said. “They want to feel, they want to touch your brand, but their journey starts on digital.”

Urban Outfitters discusses social media during the “Case Study - How Urban Outfitters Masters Social Media Algorithms to Reach New Audiences,” panel during The Lead Summit in New York City on Jul. 11, 2024.

Urban Outfitters discusses social media during the “Case Study – How Urban Outfitters Masters Social Media Algorithms to Reach New Audiences,” panel during The Lead Summit in New York City on Jul. 11, 2024.
Photo: Francisco Velasquez, Quartz

Such has been the case for Under Armor. The sportswear giant’s 8 million Instagram following has helped it drive in-store visits through better informed promotions, according to Nandika Suri, vice president of global customer relationship management (CRM). She said that social media has helped the company see how ads that are resonating with customers the most lead to in-store visits for those specific items.

Legacy department store chain Macy’s is in the midst of its own business strategy transformation, dubbed its “Bold New Chapter,” that it too hopes will bring foot traffic back.

According to PJ Singh, vice president of stores strategy & product management at Macy’s, social media has given the retailer the ability to market special promotions that invite customers to shop in store. At the moment, Macy’s wants customers to engage with its First 50, “F50,” stores, he added.

“Those stores are now being deployed with discretionary spending to reach out to customers, invite them in for special events, to have moments for product demonstrations and fashion shows, to really bring innovation and retail theater back into the mix, ” Singh said during the Lead Innovation Summit.

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