Social Commerce Italy 2010 A strategic overview

By Marcello del BonoMilan, Italy

e-commerce in Italia

Sources: Politecnico di Milano, Eurostat

Social Commerce

A list of alternative definitions here:socialcommercetoday

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What is it? It is the

use of social media in the

context of e-commerce

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Ante litteram social: Amazon.com

recommendation engineCC by Marcello del Bono

Buying clubs are typical examples of social commerce

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Main

Market segments:

-Buying clubsvati, etc

-Social coupons providers

-Traditional e-tailers

-Facebook shops

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Market sizing

Not enough data at the moment. A quick and dirty estimate for Italy 2010 can be valued this year around 5% of total ecommerce italian market*.

*Total ecommerce Italy (2009) = 5,8 Bln Euro | Social Commerce Italy, quick and dirty estimate : = 250 Mln Euro

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Strategic Positioning – Italy

Services Products

Low Social Focus

High Social Focus●Virtual Coupon: Tuangon, Citydeal, Glamoo, Poinx, Groupalia

●Digital Buying Clubs: Privalia, Saldi Privati, BuyVip

●Amazon

●eBay

●Expedia

●IBS●Self Serve online adv platforms

●Volagratis

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●Wishpot

●Ferrari (FB), Guess (FB)

Vente-privee from France

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10 Meuro in Italy

Opportunities and threats (1/3)- Buyers -

Opportunities Threats What to do

Buyers Access greatly discounted items

Quality of service/products provided/delivered lower than desired

Check out the social media presence of the e-tailer, read negative and positive feedbacks, verify reactions to negative comments, avoid e-tailers that do not answer to negative feedbacks quicly and giving the maximum customer satisfaction. Start with small amounts buy

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Opportunities and threats (2/3)- Social e-tailers -

Opportunities Threats What to do

Social e-tailers

Access a fast gowing e-commerce segment

Increasing competition, harder differentiation from competitors, quality of italian postal service

Invest on display and social communication , quality of service to users, relationships with merchants, partnering with price comparison webistes

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Opportunities and threats (3/3)- merchants -

Opportunities Threats What to do

Merchants

Get new clients, increase visibility, piggyback on the social e-tailer network/audience, sell-off old inventory. Italian audience and e-shopper number expected to grow

Strict agreement conditions, brand dilution, wrong audience tapped

Start with test campaigns, choose the right segment/audience/etailer, carefully read and understand the agreement conditions

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How does the future look like?Eventually – 5 years from

now- every e-commerce

platform will be based/include

a strong focus on social media

featuresImage courtesy

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MarMarcello del Bono

Marcello del Bono makes the first projects online as a web project manager in year 1996, after a two years long experience in the digital television business (Tele+). In year 2000 he is in Matrix (Virgilio) and then at Cap Gemini Ernst & Young in the WEB/CRM group. He has been later Digital Business Manager responsible of the online advertising revenues in Italy for The New York Times, Le Figaro, Rolling Stone Italia, la Cucina Italiana and many other prestigious websites.

He has an MBA-Master of Business Administration awarded by the SDA Bocconi’s School of Management in Milan and a Political Science-Economics Degree from the University of Milan.

Contact him for job proposals, critics or just to say hallo via his blog http://blog.delbono.eu/ or via email at marcello dot delbono at gmail dot com

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These work is released under the Creative Commons attribution 2.5 license.

You can -images excluded and where not otherwise specified- freely copy, distribute, display, and perform the content included in these presentation only if you give credit to the author explicitly including his name and his blog web address

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Images from:

http://www.flickr.com/photos/59309871@N00/320718588http://www.flickr.com/photos/12836528@N00/3752982654http://www.flickr.com/photos/11938270@N02/3312616833