Social commerce is on the rise: this means that social media is winning

The social platforms have succeeded, web3 is now more important than ever!

Websites, that's something you'll probably use less and less into the future.

Among BofA’s customer accounts, all categories of gig-work have increased (except for vacation rentals), but social commerce has increased by more than 30%, which is way more than any other category, albeit off a smaller base.

Why precisely social commerce is booming is anyone’s guess. It could be shifting media consumption (from tv to social) combined with the broader ecomm boom.

It could also very well be that AI has lowered the cost of all the other aspects of running a social media QVC-styled operation, making social commerce overall a more sustainable vocation for more people.

Or maybe that Insta ad-targeting is just too good to resist. Or all of the above. — a16z report

I love the above excerpt so much because it tries to just throw all the "possibilities" at you to choose which you believe could be the reason for this shift.

But is it really that difficult to understand what is happening?

AI is a multiplier not an equalizer

You know the sentiment that AI will make it possible for anyone to do everything on their own and not need skilled professionals in those fields anymore?

Well, part of this sentiment is true, that part is where it acknowledges that AI will make it possible for anyone to do anything on their own, but the other part fails to recognize that most people could not fire up a laptop even if their lives depended on it, mostly because, well, they are too lazy to care.

Everyone is literally walking around with something so advanced that literally a lot of things they spend years paying for would be an unnecessary expense but how many people are actually utilizing it for what it's worth?

Here's a personal conclusion: most people will not leverage any advanced tech to its full worth if it isn't immediately rewarding or at least tricks the brain to perceive it as a reward.

Guess what does that perfectly?

Social media and porn.

That's why most people keep coming back to it.

So, addictive, I know, that's because the incentives are immediate and only demands that you open an app and scroll.

Does building an e-commerce website and making money from it using AI require people to simply open an app and scroll?

Of course it doesn't, so you see why most people won't do it.

AI has cut the cost of doing most things to near zero, on the monetary level anyways, but humans are too lazy to be able to enjoy it.

Social commerce

Now, let's get back to social commerce, how does all of this connect?

It's pretty simple.

Social platforms have always been building towards ensuring you never have to leave their app and with advancement in AI, it's becoming easier everyday.

Every immediate reward mechanism you can think of will be within social platforms. You'll be able to access anything just by being on one app.

Remember the "everything app" – we've talked about it and it's happening.

Businesses will basically run on social platforms. Every major app will have marketplaces for all kinds of things. AI will be largely embedded.

They will own control over you and everything you do on a daily because it will be soooo convenient that you'll want to use it anyways.

I think that by now, it is evident why I mentioned much earlier in the article that web3 is very important now more than ever.

Posted Using INLEO