A recent report reveals that while 87% of Romanian companies use social media for marketing, only 39% leverage it for direct sales, highlighting a significant opportunity for growth.
According to a recent report by Curierul National, 87% of companies in Romania are utilizing social media platforms for promotion and communication with their target audiences. However, a significant gap remains in leveraging these platforms for direct sales, as only 39% of these businesses have integrated social media as an effective sales channel. This highlights an opportunity for companies to boost their engagement and sales through more optimized approaches to social commerce.
Marius L?z?rescu, founder and strategic director of online advertising agency Todays, elaborated on this discrepancy, stating, “In Romania, most companies are aware of the potential of social media, but they still do not fully leverage it for direct sales.” He noted that while a substantial number of companies engage with social media for marketing purposes, less than 18% have adopted functionalities like Facebook Shops, Instagram Shopping, or direct checkout options.
L?z?rescu emphasized that companies combining effective micro-targeting strategies with conversion optimization could see an increase in sales of up to 30% within three to six months. Despite the evident interest among Romanian businesses in social commerce, many remain hesitant to optimize their platforms for direct selling.
The trend is particularly pronounced among small companies and startups, which often lack large budgets for traditional advertising. Over 53% of e-commerce startups in Romania primarily make sales through social media, particularly on platforms such as Facebook, Instagram, and TikTok. Established brands, while primarily using social media for brand awareness and lead generation, are beginning to incorporate sales strategies.
Several sectors are taking the lead in leveraging social media for sales, notably retailers in fashion, beauty, and electronic IT. Notably, 41.5% of revenues in the fashion and accessories sector stem from e-commerce, with social media serving as a key sales channel. Instagram and TikTok have become essential for driving quick conversions, and many skincare and makeup brands report that over 50% of their traffic originates from social networks.
In the electronic IT and gadget sector, social media is predominantly utilized for lead generation rather than immediate sales. Video reviews and live unboxing events are significant contributors to this strategy. Additionally, businesses in sectors focused on gifts and handmade products see elevated sales during special occasions such as Valentine’s Day and the Christmas season.
L?z?rescu mentioned a collaboration with a personalized gift business that is gearing up for March 8, implementing an integrated campaign that includes Google Ads, Facebook and Instagram Ads, along with advanced targeting and personalized messaging.
However, the path to successfully leveraging social media for direct sales is fraught with challenges. Many companies struggle with a lack of a clear buying path, where potential customers engage but do not finalize purchases due to complicated processes. Additionally, issues such as improperly segmented target audiences, high competition in ad feeds, consumer distrust toward online purchases, and difficulties in measuring conversions complicate the landscape.
“We at Todays position ourselves as a strategic consultant, not just as an agency,” L?z?rescu explained. The firm emphasizes a collaborative approach, working with clients to identify optimization solutions that can effectively utilize their budgets.
To address these challenges, Todays advocates for precise audience segmentation, personalized messaging, and the integration of social commerce functionalities. Collaborating with influencers has also been highlighted as a strategy to enhance content authenticity and improve conversion rates. Furthermore, remarketing to engage users who have interacted with a brand but have not made a purchase is deemed crucial for success.
Monitoring and analyzing campaign performance continually is another critical component of optimizing social media strategies. By adjusting tactics based on real-time results, companies can ensure they maximize the potential of their advertising investments.
Source: Noah Wire Services
