By adopting transactional social commerce functions from mobile apps, individuals can sell products and services directly to friends on their contact list. This drives micro entrepreneurs with fewer than ten employees and less than a €2million annual balance (European Union Law, 2013) to become key drivers for economic growth (Paoloni & Dumay, 2011). In particular, individuals aged 18-34 become inspired by images on social networks for clothing and fashion products. Hence, fashion products are popular business items for micro-entrepreneurs. Despite potential benefits for social commerce, micro-fashion entrepreneurs in many countries are still unaware of apps’ use in social commerce to sell products, and to create and manage social capital for their business. This exploratory research aimed to investigate how micro-fashion entrepreneurs adopt transactional-focused social commerce and utilize social capital embedded in network ties for their marketing and sales, based on innovation diffusion and social capital theory. Research questions included: (1) How do micro-fashion entrepreneurs adopt social commerce? (2) How does social capital in network ties contribute to marketing and sales in social commerce? To answer these research questions, qualitative data from phone interviews with 16 micro-fashion entrepreneurs selling fashion products through WeChat in China were analyzed, adopting a thematic analysis. Data indicated micro-fashion entrepreneurs have positive attitudes, based on their experience and knowledge of WeChat. They adopt social commerce to (1) sell products in a new way, (2) connect with customers, and (3) reduce financial risk, while an innovative channel for entrepreneurship. Also, operating a business through WeChat required less time commitment compared with brick and mortar, and online stores, because accessing services like WeChat have payment systems, share images and messages. Free calls and messages are already available. The interview data demonstrated micro-entrepreneurs have an advantage when adopting social network ties in WeChat and implementing social capital embedded in marketing sales networks. Structural, relational, and cognitive capital contribute to micro-entrepreneurs’ marketing and sales interactively. An individual could access target customers, based on networks already established social media platforms and facilitate entrepreneurs’ adoption of social commerce. Also, since trust, shared goals, and languages exist on these network ties, there exists an increase for entrepreneurs’ accessibility to use social commerce to initiate their business, while decreasing business operating expenses, promoting products, and building relationships with customers. In addition, relational capital built by interactions with each customer brings cognitive capital to promote products and strong network ties.
In this paper, researchers investigated current fashion brands’ social media micro-blogging marketing strategy and consumers’ word of mouth reactions. More than 5,000 of the micro-blogs posted by fashion brands and 143,000 of customers’ comments were analysed in this study. Researchers firstly investigated the overall micro-blogging marketing structure for each fashion brand and compared them. Then researchers identified the type of expression pattern of each fashion brand currently in the micro-blogging context, negative or positive sentiments. Researchers found that fashion brands are using different micro-blogging marketing strategies. Forever21 used 61% micro-blogs for customer communication. H&M posted very diverse micro-blogs content to their official account. Their main micro-blogs were used for new product promotion (43%) and brand’s live event broadcasting (33%). Luxury brands, such as Burberry, more than 52% of micro-blogs posted last year were used for new product promotion and 36% of their micro-blogs contents included celebrities’ images of wearing Burberry product. Chanel used 60% of their micro-blogs to broadcast and introduce their brand events. There was no sale information posted on Chanel and Burberry’s micro-blogs account. Through sentiment analysis, researchers also found the brands have very positive electronic word of mouth (e-WOM). Particular, luxury fashion brands are having better e-WOM than fast fashion brands.