Social media trends drive e-commerce as branding tool

Influencer marketing is reshaping how brands engage consumers.  

Social media is transforming e-commerce in Asia into a branding tool, with users spending two to five hours daily online and platforms leveraging new features and influencer-driven strategies, according to U-Fong Chua, E-Commerce Director - MU ASEAN, Beiersdorf.  

Chua said, "In this trend that we are seeing right now on social media, they use it to build the brand to end consumers, no matter where the consumers are."  

The expansion of social media retail has been fueled by innovative platform features, such as shoppable content, live streaming, and data-driven targeting. These tools allow brands to tailor experiences and better engage consumers.  

"This trend is helping brands to reach out to the consumers much better. You can bring education awareness to the end consumers much better. You can help to expand your reach much better," Chua added.  

One of the most significant shifts in the e-commerce landscape is the reduced barriers to entry, enabling small and local brands to compete effectively with established players.  

"The reason is because they can engage, you know, micro to nano influences easily to build the brands, you know, to reach out to the local consumers much more easily," Chua said.

However, Chua cautioned larger, multinational brands, “We have to adapt quickly, and you have to learn from these brands. We cannot be complacent," he stressed.  

Despite the opportunities, the rapid growth of social commerce brings challenges, particularly in content saturation. With platforms like TikTok becoming increasingly crowded, brands must focus on producing engaging content rather than simply increasing volume.  

"Consumers are, you know, being blasted with so much content out there right now. There will be even more content," Chua said. "So the way to change it, or to think outside the box, is not to produce more content, but to produce engaging content that consumers would like to consume."  

Without this shift, brands risk stalling growth in a highly competitive space. "If you can't produce an engagement contest, you are limiting yourself from growth," Chua warned.