Posts Tagged ‘Commerce’


Danbo debating how to spend his new-found money. Maybe his friends can help.

Photo credit: Commerce by JaredVanderzell

Do you agree or disagree with the importance of social connections when making buying decisions?

I agree with Craig Donato, CEO of Oodle, from his article, Social Commerce and the New Rules For Local Businesses.

People are constantly influenced by their peers and acquaintances. This is seen in the early, developmental stages of kids when they are growing up, and continues well into adulthood. The opions of our friends will usually vastly outweigh those of the most qualified critic. A reason for this could be that a sense of trust is already established between friends, whereas a critic or marketer focus only on the product.

The most relevant example from my own life is when I purchase music. I know my friends who share similar music taste with me, and if they recommend a song/artist/CD, I know I will like it. The same cannot be said with the similar feature in iTunes that tries to determine what music I may like based on my previous purchases. Here, there is too much of a reliance on the hard data and not enough about knowing me as an individual to make adequate selections.

Those who find the majority of their business through word-of-mouth will highly benefit from this type of implementation. Potential customers will see if their friends like/use the company or product and the sense of trust that was instilled in the friendship can carry over for the benefit of the company.

This post is a response to Steven L. Johnson’s Social Commerce post. Let me know your thoughts.

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