What is Groupify?
Groupify is an intermediary layer that gets embedded on top of eCommerce stores. Groupify’s social layer invites consumers of any given online shop to participate in social shopping groups.
The process for consumers to start and join shopping groups is simple -- no registration required.
Once Groupify has been activated, consumers are encouraged to invite their friends in order to receive a group discount.
The creation of groups are straightforward; Groupify integrates with Whatsapp, Messenger, iMessage and many more.
Once the user shares the link with their friends, the groups form once they click on the link and join.
Friends can then shop together, share and get opinions on particular products without leaving your store.
Once a certain amount of friends have formed a group, they all receive a time-limited discount each.
Your online store becomes central to the shopping experience and gives your customers another reason to stay longer and come back more often!
Friends continue to make their own orders, pay individually and get their own delivery - without delay. Through Groupify, they are still connected in your shop.
Friends do not need to purchase all at the same time, and not everyone has to buy something in order to receive the discount. Groupify is one of the first social commerce integrations to change the post-purchase discount paradigm to pre-purchase.
Your shop also sets the parameters for social commerce; Groupify recommends a threshold of 3 friends and a minimum discount of 20% to truly drive buzz around your store!
Step 1: Create a Groupify Admin account
Creating a Groupify account gives you access to the Admin dashboard, where you can find your API-Key, choose the right plan for you and configure the rewards for your customers. Signing up simply requires your name, email address, and password. From there, navigate to the ‘integration’ section of the dashboard, where we create a unique API-Key according to your shop system. You will need this API-Key to integrate Groupify into your shop. To create a Groupify account, click here.
Step 2: Integrate Groupify into your shop
For online stores using Shopware as their eCommerce platform, installing Groupify is as simple as a few clicks.
We’re working on providing plugins for all major shop systems. If the system you’re using is not yet provided and a custom integration is not an option please drop us a line on email@example.com and we’ll get in touch once the plugin for your shop system is available.
Setting up rewards
Groupify is in essence an amplifying tool - we magnify the effects of referral marketing by providing a space where customers can socialise and have an unforgettable online shopping experience. You can define what parameters work best for your shop - you can set the minimum friend threshold to whatever works for you. Additionally, the percentage discount received by the group can be modified to your eCommerce goals.
The product innovation team at Groupify undertook market research regarding the optimal parameters for Groupify. We found that a threshold of 3 friends with a minimum discount of 20% is statistically a worthwhile incentive to purchase, thereby strengthening customer acquisition, retention and loyalty. But every shop is different - here are some key things to keep in mind:
Consider your customer acquisition costs when configuring the percentage reward you can give back to your customers; Groupify’s referral functions bring in additional customers for free, while many eCommerce brands spend thousands on Facebook & Google Ads each month.
Our analysis suggests 20% is the ‘magic number’ even for uninterested shoppers, making them have a much higher likelihood for purchase
10-20% is still a good opportunity for interested shoppers, but the intent for purchase is weaker than > 20% discount
Consider other discounts you provide to customers for little work (such as signing up for an email newsletter) and compare that with your Groupify settings
This is an example of what your dashboard could look like after installing Groupify. You get information about the total number of groups in your shop, as well as the monthly revenue generated by groups; group orders, and average order value per group. With this information you can then optimise according to your business goals.
For example, if the order value per group is too low, you can consider readjusting your discount to a higher value. This will provide a greater incentive for your shoppers to spend more.
Another tip -- if the number of groups within your shop compared to your monthly visits is too low, then consider lowering the number of team members required to form a group. If you lower the threshold to 3 people instead of a minimum of 5, you’re going to see much higher group formation rates.
Remember that Groupify functions off two key elements: how you configure Groupify’s rewards within your shopping system, as well as how your shop encourages visitors to actively use Groupify.