The Importance of Social Media Analytics in Increasing E-Commerce Sales Capabilities

In the current digital age, social media platforms have become a significant source of information for individuals and organizations which can be harnessed by e-commerce companies to improve their marketing strategies and product offerings. Therefore, using data from social media to increase the capability to have e-commerce can provide a positive impact on a company’s budget, profitability, and long-term sustainability in the market. This article investigates the role that big data analysis on data collected from social media can have on the companies’ capability to do business in the e-commerce environment. The study aims to explore the relationship between the number of companies that analyze big data from social media and the number of companies that have e-commerce sales. The datasets, based on statistics between 2016 and 2020, involve companies located within the European Union, and we expect the results to show that the countries with a high percentage of companies that analyze big data from social media present a high number of companies with sales executed via e-commerce. This would suggest that the analysis of social media data can have a significant positive effect on the number of e-commerce companies that execute e-commerce sales, as it provides valuable insights into consumer behaviors and preferences, which can help companies better target their marketing efforts and improve their product offerings. These findings have important implications for companies seeking to increase their presence in the e-commerce space, as well as for policymakers and regulators seeking to promote e-commerce growth.