Retailers Check Out Social Data to Improve Customer Experience - eMarketer

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Retailers Check Out Social Data to Improve Customer Experience

Eight in 10 retail execs have or plan to integrate Facebook data into CRM

May 18, 2015

Social engagement with retail brands, particularly on Facebook, is high. According to recent research, retailers are looking to leverage such interactions to gather information and improve the customer experience.

Current and Planned Integration of CRM with Select Social Networks Among Retail Executives in North America, April 2015 (% of respondents)

Among retail executives in North America polled by Boston Retail Partners in April 2015, 31% had integrated their customer relationship management (CRM) system with Facebook, and an additional 49% intended to do so within two years. Nearly seven in 10 respondents had integrated Twitter and their CRM or planned to do so within two years, and similar percentages said the same about Pinterest and Instagram.

October 2014 research by Colloquy highlighted one area where social insights were being used. Among US retailers polled, 59% said they used social media data to improve the relevance of their marketing communications.

The integration of social and CRM could also help marketers leverage information to deal with angry customers who have had enough. Among Boston Retail Partners respondents, nearly three-quarters utilized social media to some extent when attempting to rebuild damaged customer relationships. Tailoring such efforts could reinstate a target’s once-positive view of a retailer and bring back that lost business.

Q1 2015 data from MarketLive suggested that retailers that can leverage social data to better interact with customers on such platforms stand to see the traffic—and dollars—roll in. According to the analysis, the share of US retail ecommerce traffic driven by social jumped nearly 200% between Q1 2014 and Q1 2015. At the same time, social platforms increased their proportion of ecommerce revenues by 72.0%.

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