The 1×1 of social commerce on YouTube

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YouTube is following suit and plans to invest in the growing social commerce market. The video platform, part of the Alpha Group, is already testing an affiliate marketing programme and has a project called “From YouTube to You” to help influencers and brands sell products, while the introduction of these social commerce features should serve to diversify its revenue streams.


Key points
YouTube is investing in the growing social commerce market and already offers several features to help influencers and brands.
The introduction of social commerce features serves to diversify YouTube’s revenue streams and differentiate it from other platforms.
YouTube's social commerce features are direct shopping features, such as clickable product links and shoppable ads.
Influencer marketing is a key driver of social commerce, and brands can benefit from shoppable galleries, UGC, and influencer marketing to increase their revenue opportunities.

According to a Financial Times interview with YouTube Shopping CEO Michael Martin, YouTube plans to deepen its investment in shopping programs to capture the growing social selling market . The platform is already testing an affiliate marketing program with some US creators, paying them a commission for selling products. This program benefits YouTube, creators, and brands, as all three share a portion of the revenue. YouTube has also launched its “From YouTube to You” project , which offers curated gift suggestions, exclusive product showcases, and deals to popular influencers in a series of videos, livestreams, and shorts.

By 2023, YouTube plans to pay creators 45% of revenue generated by inserting ads between Shorts in the US, India, Brazil, Canada, and Australia. The company wants to focus on the best monetization opportunities for creators in the market and differentiate (strongly) from other platforms where appropriate. This investment in social commerce is part of a broader trend of tech companies, including Amazon and Meta, trying to combine social media and shopping, with TikTok recently unveiling its e-commerce program in the US.

Find an example of an influencer marketing campaign using social commerce on Kolsquare's influencer marketing blog.

What does social commerce mean on YouTube?
Social commerce is the use of social media and platforms to sell and promote produc vp safety email database ts and services. It is the integration of e-commerce with social media to create a seamless shopping experience for consumers across their social media feeds and interactions.

YouTube, as a popular social media platform, plays an important role in social commerce. For the video platform, social commerce is primarily a marketing and advertising tool where influencers or creators promote products and services in sponsored videos or product reviews. Integrated e-commerce on YouTube, also known as social commerce, manifests itself in the form of direct shopping features, such as clickable product links and shoppable ads , which allow viewers to purchase products directly in videos.

YouTube’s expansion of social commerce features is the company’s response to a weakening economy and digital advertising market to diversify revenue streams. YouTube plans to launch two shopping pilot programs in 2023 , including the aforementioned “affiliate marketing” program, in which creators who sell products will receive a commission, and a “Shoppable Shorts” feature available in the US, India, Brazil, Canada and Australia.