Another social network is attempting to optimize its service to better allow users to make purchases through the help on online credit card terminals, illustrating the pervasive success of e-commerce capabilities.
Twitter recently hired Nathan Hubbard, former president of Ticketmaster, to serve as head of commerce, in an attempt to create a system by which customers can buy products through tweets, according to a report from Bloomberg.
Experts commenting on the subject suggested that consumers widespread adoption of e-commerce, and their growing ease with using online credit card processing technologies, have helped to influence the decision.
“It makes a lot of sense for Twitter, since a lot of online advertising is commerce related, and as a platform, they should be able to integrate more closely with online retailers,” Colin Sebastian, an analyst at Robert W. Baird & Co., told the news source.
Twitter is aiming to reach a sales target of $1 billion during 2014 by offering retailers the tools and technologies needed to sell their goods and services directly through tweets, according to the report. Hubbard noted that the company’s aim is to team up with service providers and payment processors to help them reach their customer base with increased ease, as opposed to competing with the merchants themselves.
“We’re going to go to people who have stuff to sell and help them use Twitter to sell it more effectively,” Hubbard told the news source. “One of the hallmarks of Twitter’s entire approach has been partnering. We’re going to take the same approach with owners of physical and digital goods.”
American consumers using their phones more to make purchases
Undoubtedly, Twitter has been enticed by the growing mobile shopping market, and additional statistics released by comScore suggest that it is a field that will continue to grow. The firm recently stated that the availability of mobile commerce sales figures for the first half of the year 2013, adding onto the e-commerce figures they had already released.
The firm announced that purchases made on smartphones accounted for six percent of all digital commerce during the first half of the year, and that 3.5 percent of all digital sales were made on a tablet, according to the press release.
“While mobile devices are already extremely influential in the overall buying process, they are also beginning to drive a meaningful percentage of digital commerce,” said Gian Fulgoni, president of comScore. “One out of every 10 consumer e-commerce dollars is now spent using either a smartphone or a tablet, and growth in this segment of the market is outpacing that of traditional e-commerce by a factor of 2x, which itself is growing at rates in the mid-teens.”Back To Blog