Social Media Influence on Retail and Teens

Walmart is the world's biggest store chain. Yet this giant company is counting on a 6-year-old YouTube star to help drum up business. His name is Ryan and has his own YouTube channel. Walmart executives hope the young social media celebrity will draw in crowds of kid shoppers eager for bubble pets, T-shirts and green slime.

Anne Marie Kehoe is a Walmart vice president in charge of toys. She says influencers like Ryan on YouTube are the authority for kids today. They are who today's teens and tweens look to for advice on what to buy. That's "why we thought this was something to really move fast on," she explains.

Business has been dropping for many department stores in recent years. In response, big chains like Walmart, Nordstrom and Target are looking for new ways to bring in customers. Increasingly, they are working with people who are stars on YouTube, Instagram and other social media platforms. They are using these social media stars to create product lines, build excitement and get immediate feedback on what shoppers think is – and isn't – cool.

Justin Kline is the founder of Markerly, a company that connects brands with social media trendsetters. "Now is the first time ever that your next-door neighbor could have a million followers on Instagram,'' Kline says. "It's opened up this whole new world of people who have access to this huge following." These people can be tremendously helpful to brands, who hope to harness their influence and popularity.

Bigger stores used to rely on famous actors or pop stars to help build their brand. However, many are now rethinking that approach. They are recognizing that many people under 40 are more influenced by a recommendation from someone like themselves.

Research conducted in 2016 found that 3 out of 10 of shoppers were more likely to buy a product recommended by a blogger they viewed as a peer than a product advertised by a big star. The number was even higher among shoppers who were 18 to 34 years old. In this group, 7 out of 10 preferred the peer over the celebrity.

"Someone who is a teacher ... is looking for what other teachers have in their classrooms,'' marketing expert Allison Stone says. "This is their lifestyle, what they do every day. It comes from pure experience.'' So when they recommend a product, it feels more authentic, more believable and real.

Nordstrom is also working with a social media influencer. Last September, the department store chain paired up with a popular fashion blog called Something Navy. It hired Arielle Charnas, the blogger who writes Something Navy, to create a new clothing line. Charnas has more than 1 million followers on Instagram. She gets many comments from her followers. Nordstrom hopes to learn a lot from these comments.

For example, Charnas has been sharing colors and designs with her followers as the Something Navy clothing line is developed. She has been asking for feedback. And her fans have been giving a lot of it! "We're listening to what they're saying," Nordstrom said. Changes have already been made in reaction to the feedback.

Target has been working with social media influencers too. Last year, it turned to a group of teens and preteens who are popular online. These young people helped Target design a new clothing line. It is called Art Class.

Rick Gomez is Target's chief marketing officer. Influencers are an important part of how the chain reaches customers, he says. However, the focus is not just on sales. Instead, the idea is to use influencers to help build a lasting relationship between customers and the store.

Target wants to work with influencers who "understand and love our brand," Gomez says. It wants people who can connect in an honest way with Target's customers.

Dr. Drew Pate is an expert on the emotional health of teenagers. Whenever he speaks to unhappy teens or their parents, one thing always comes up, he says. People are worried about sites like Instagram, Facebook or Snapchat. They wonder if such social media sites could be bad for teens.

Parents ask if their children's constant use of social media is healthy. Teenagers talk about the pressure to post the perfect photo of themselves. They say they sometimes feel bad when they see the perfect lives their online friends seem to be living.

Doctors are hearing more and more about the damage being caused by social media, said Dr. Pate. Most teens have probably been harmed by it in some way, he said. Scientists are still trying to figure out how social media affects young people. So far, the evidence is mixed.

Social media can also be helpful, however. It can help teens find support when they are struggling with life issues. It can provide them with a place to express themselves. Some teens are able to build real friendships with people they only know through social media.

However, one recent study found major dangers. The more time teens spend on social media, the more likely they are to experience certain problems, the study found. Teens who use social media heavily are more likely to feel depressed. They are also more likely to have trouble sleeping.

Scientists have also found a link between social media use and poor body image. People with a poor body image are convinced they are ugly or too fat. They worry about how they look all the time. Their condition can lead to eating disorders.

The body-image problem is greatest for teen girls. They see endless photos of perfect bodies on sites like Instagram and Snapchat. Many of the photos are digitally changed. They make people look perfect. The images are fake, though. No one is perfect in real life. Teen girls can feel ugly in comparison.

Words can be a problem too, said Dr. Pate. Teens may think comments are about them when they aren't. Or, they may not realize someone is only joking. People can get into online fights. Some teens spend way too much time on social media. They end up missing sleep. Their schoolwork can slip. All that can cause worry or depression.

Social media use can also help teens, though, some scientists say. It can give them a place to talk about their problems. It can let them just be themselves. For example, one study looked at teenagers who spend many hours online playing video games. Those who also spent time with friends on social media seemed to do better than gamers who didn't. They seemed to be less likely to feel depressed or worried.

For some teens, social media use causes too many problems, Dr. Pate said. They may need to give it up completely. Some teens just need to spend less time on the sites. They may also need to stick to a small group of friends. Other teens use social media well. For them, the sites are simply fun. It's different for every teen, Dr. Pate said.