The Clyde platform was created to meet the needs of eCommerce companies. To stay abreast of the latest trends and developments within the space, we’ve invested time and resources to remain well read on the subjects that matter most to our customers. Check in on this weekly “conversation” to read, watch and listen to stories that are shaping the eCommerce industry.
Merchants Can Mitigate Supply Chain Woes With Extended Warranties
This week, Clyde's CEO, Brandon Gell, sat down with PYMNT'S Editor-in-Chief Matt Nesto to discuss how warranty programs can provide merchants with supply chain relief. Mohamed El-Erian, a veteran economist and advisor to Gramercy and Allianz, wrote in the Financial Times last week that supply chains issues will linger globally for 1-2 years, which is bad news for both merchants and consumers. What this means specifically for eCommerce retailers is that repairing products instead of replacing them is suddenly a much more attractive proposition to customers because of the time implications (a turnaround time of days vs. months). To hear Gell explain how Clyde facilitates quick repairs, watch the video below.
User Generated Content Driving Trust and Loyalty Between Brands and Consumers
The surge in online shopping has created opportunities and challenges for brands in nearly equal proportion. The economic opportunity is clear as more people are shopping online than ever before. And that digital migration from in-store purchasing activity to online was accelerated by COVID-19 and the subsequent lockdowns imposed by countries across the world. eCommerce revenue jumped by 20% from 2019 to 2020 and economists are predicting that retail eCommerce revenue will pass the $500 billion mark in 2022, which would represent a 16% jump from 2020 figures.
The eCommerce spike has brought more consumers to the table, which makes vying for their attention the top priority of brands. What may seem like a simple challenge can quickly spiral into an expansive menu of outreach options. From email outreach and social media targeting to SEO strategies and experiential marketing tactics, it can be difficult to create the right tactical mix.
One cost-friendly strategy that is being valued more and more by Gen Z consumers is user generated content. A new data report from Stackla indicates that today’s consumers want brands to provide them with more authentic, personalized shopping experiences. The survey of more than 2,000 consumers found that 83% of people believe retailers need to provide more authentic shopping experiences, and 70% say it’s important for brands to provide them with personalized experiences.
“The majority of respondents indicated that user-generated content (UGC) resonates as most authentic, with nearly 80% saying UGC highly impacts their purchasing decisions, making it 8.7x more impactful than influencer content, and 6.6x more influential than branded content in consumers’ eyes,” wrote Megan DeGruttola of Social Media Today.
She continued, “with online shopping, people can’t physically see, touch or try on the items they’re considering. They want to know how a jacket fits on someone with a similar body type, what that shade of lipstick looks like on someone with their skin tone, or how much space a couch takes up in a living room that has similar dimensions to theirs. UGC offers people an unvarnished, and trusted, third-party view on these unknown elements, helping to bring products to life for them in ways that feel real and relevant.”
To learn more about user generated content and its impact on customers and specific industries, check out DeGruttola’s full deep-dive here.
All In On Malls
With the pandemic shutting down in-person life, thousands of retail stores closed up shop. Yet some retailers actually see an opportunity for growth by moving into American malls. Let's go to the mall with the NPR Podcast "The Indicator."
For more on this subject, check out our recent post "Meet You At The (Virtual) Mall: An Intro To Livestream Shopping."