What is Social Vending? An Overview of How it Functions

Purchasing and vending have always been communal activities. Prior to the digital age, individuals sought recommendations from acquaintances for making purchases, such as having conversations about gardening businesses over the neighborhood fence.

Nowadays, social networks, online forums, and reviews have taken the place of the traditional neighborhood fence, thereby turning us all into virtual neighbors.

Increasingly, the viewpoints of our social circle and other consumers play a role in our purchasing decisions. Studies indicate that Millennials and Gen Zers are 4.1x more inclined to consider user-generated content (e.g., product reviews, photos, or testimonials from other customers) important when contemplating a purchase.

In this era of hyper-connected consumers, social vending emerges as a significant aspect.

Within this post, you shall discover:

• The explanation of social vending
• The significance of social vending
• Techniques for identifying sales prospects through social platforms
• Using social media to gain deeper insights into your potential clients
• Utilizing social platforms to gain a competitive advantage and prevent customer turnover

Social vending is a lead-generation strategy in which sales professionals engage directly with their potential clients on social networking sites.

Here is a simple instance of social vending:

• David, employed in sales at a construction firm, notices on LinkedIn that an individual named Sarah is starting a restaurant in his city and is seeking suggestions for plumbing services.
• David perceives this as an opportunity to recommend some businesses he has collaborated with previously and sends her a message through social media.
• Sarah receives the message and upon viewing David’s profile, learns about his work at a construction company. She had plans to search for construction services and includes David’s company in her shortlist.
• David follows up with another message the subsequent week and Sarah schedules a visit to his office.

As illustrated in this scenario, social vending is not a fleeting, one-time occurrence. However, social platforms serve as ideal spaces to connect with prospective clients and lay the groundwork for new business relationships.

Upon the emergence of social media in the business realm, marketers swiftly recognized its value. Consequently, many organizations began actively engaging on social platforms to fill the sales pipeline from the top.

Presently, successful organizations are increasingly utilizing social tools across the entire sales journey.

Remarkably, 78% of social vendors surpass colleagues who do not utilize social media. Among B2B experts, 39% mentioned that they could reduce their account research time with social vending tools.

Whether you leverage your professional network on LinkedIn for sales prospecting or expand your Twitter followers to foster industry relations, social vending is a potent element to have in your sales toolkit.

With the business pace accelerating, sales representatives are investing more time in front of screens. According to the “State of Sales” report, the time spent by sales reps on virtual connections with customers has surged 3.2 times more than in-person meetings with clients.

Over the past decade, as social media has broadened its outreach, the user base has extended beyond Millennials. A study by Salesforce Research found that 51% of Baby Boomers and older individuals have interacted with companies via social media. This percentage rises to 69% for Gen X and peaks at 86% for Gen Z and Millennials. As younger generations assert their purchasing influence, social vending will present even more opportunities.

Now, let’s delve into a few suggestions for social vending. Your potential clients may possibly be discussing their requirements online – sharing thoughts on forums, seeking advice from followers on Twitter, and updating their status on LinkedIn.

Your task is to pay attention. Free tools like Google Alerts, and undoubtedly our own Sales Contact Management and Social Studio, can provide valuable insights into the online conversations of your clients. By leveraging these tools, you can comprehend individual customer needs and broader market trends, enabling you to offer tailored, opportune advice.

What are the steps for social vending? Here’s a brief example:

1. Emily serves as the sales head for a firm that offers consultancy services to professional service providers. She understands that companies engage with her business during significant transitions, such as sudden growth or downsizing, mergers, or consolidations.
2. She establishes a series of continuous searches for triggering phrases on social media. Emily follows crucial target organizations on LinkedIn, keeps track of new job postings, stays informed about current events, and contributes insights on industry blogs when appropriate. By doing so, Emily significantly heightens her chances of identifying sales opportunities swiftly. Additionally, she is already actively participating in conversations and showcasing value — giving her a substantial edge over her competitors. Establishing these searches and providing initial insights doesn’t require significant time investment – allowing her to promptly initiate efforts in social vending and allocate time with her family.

To quote insights from Salesforce Quotable Podcast’s guest Rich Stone, “The principle of selling, which stresses offering value first, holds just as true in the realm of social vending; always deliver value prior to seeking it.”

Utilizing social interactions to foster relations with potential clients and prospects

You may offer the finest product or service, but that alone does not guarantee business success. Sales achievements are dependent on understanding and, even more challenging, empathy. This is the reason why adept salespersons extensively research prospects before initiating contact.

Prior to the social media era, this was a strenuous task. Salespeople were restricted to perusing a company’s website, analyzing annual reports, and scanning trade websites for mentions. Salespersons often felt like they were barely scratching the surface and struggled to gain in-depth insight into a prospect’s needs that is crucial for tailoring a successful pitch.

Modern-day sales experts, well-versed in social media, can delve far deeper. With minimal effort, you can unearth:

• The key individuals within the organization to target
• Your existing connections in contact with them
• Real-time developments
• The level of engagement of prospects with their customer base
• The needs and complaints of their customers

Armed with this knowledge, it becomes considerably easier to craft an insightful, emotionally resonant sales pitch — one that revolves less around “me, me, me” and more around “you, you, you.” Sales professionals can elucidate how their products and services directly address the challenges faced by prospects, often identifying and addressing issues that prospects themselves have not recognized. Moreover, they gain a clearer comprehension of whose involvement is pivotal in sealing the deal.

In sales, gaining a competitive edge can define the outcome between a massive deal and a major letdown. Nowadays, you do not have to wait for your rivals to launch a promotional campaign to discern their latest approach.

Large-scale initiatives are typically the culmination of months of planning – periods during which core themes are subtly introduced in presentations and conference speeches, and possibly even discreetly trialed on specific market segments.

Social tools can provide early indications of significant shifts in positioning. They enable you to track your competitors’ communications, individual statements from their company, and the responses they receive. Subsequently, you can promptly spot competitive maneuvers and react swiftly.

1. Initiate Google Alerts for terms related to your competitors (brand names, products, or key personnel).
2. Engage in key customer groups on LinkedIn to observe their discussions.
3. Monitor SlideShare and Scribd for new materials and presentations authored by your competitors and their affiliates, as well as their attendance at events.
4. Follow clients, rivals, and industry opinion leaders on Twitter.
5. For additional insights, explore Q&A platforms such as Quora.

Social tools do not just assist you in observing your competition. They also reveal the actions and sentiments of your customers, offering valuable insights into issues that may elude traditional methods of discovery. By proactively addressing these concerns, you not only safeguard your relationship with customers but also avoid costly repercussions.

Studies indicate that 62% of consumers share negative customer experiences with others. Conversely, 72% share positive experiences. Hence, while social media aids in identifying dissatisfied customers and salvaging relationships, it also aids in identifying brand advocates.

With customer-focused strategies on the ascent, this is an opportune moment to adopt social selling tools. These tools enable you to unearth new clients, tailor customized pitches to address their requirements, and bring together the right individuals to close a sale.