USD 0.72 trillion
Social Commerce Market Size, Share, Growth Analysis, By Type(Personal & Beauty Care, Apparel, Accessories, Home Products), By Business Model(Business to Consumer (B2C), Business to Business (B2B), Consumer to Consumer (C2C)), By Platform/Sales Channel(Video Commerce (Live stream + Prerecorded), Social Network-led Commerce, Social Reselling, Group Buying), By Region(North America, Europe, Asia-Pacific, Latin America), By Region - Industry Forecast 2024-2031
Report ID:
SQMIG45E2132 |
Region:
Global |
Published Date: April, 2024
Pages:
197
|Tables:
67
|Figures:
77
Social Commerce Market Insights
Global Social Commerce Market size was valued at USD 0.72 trillion in 2022 and is poised to grow from USD 0.95 trillion in 2023 to USD 8.97 trillion by 2031, at a CAGR of 32.34% during the forecast period (2024-2031).
E-commerce is becoming more and more important in retail and is changing the social commerce business. Since the turn of the century, online shopping has increased significantly as internet access has spread throughout the globe and smartphones have become a vital part of the lives of billions of people. Social commerce has created a brand-new market for retail, giving customers access to a far wider selection and assisting in satiating the growing desire for convenience. The popularity of online buying and the convenience it offers are driving the growth of social commerce. Customers can now easily order things from the comfort of their homes. Discounts, cashback, same-day or next-day deliveries, click-and-collect services, ESR choices, and other services are provided by the vendors on social commerce networks, making online buying more practical and lucrative than offline shopping. Businesses invest in technology like augmented reality, chatbots, machine learning, and artificial intelligence to further improve the consumer experience. More than 35% growth in social commerce sales was anticipated in the United States of America, reaching USD 36.62 billion. Over the forecast period, it is anticipated that the growing convenience of online purchasing will significantly propel market expansion. Commerce on social networks Market giants like Facebook, Twitter, and Pinterest are examples of social commerce platforms. By bridging the gap between customers and local retailers, this can assist local retailers grow their customer base.
US Social Commerce Market is poised to grow at a sustainable CAGR for the next forecast year.
Market Snapshot - 2024-2031
Global Market Size
Largest Segment
B2C
Fastest Growth
C2C
Growth Rate
32.34% CAGR
Global Social Commerce Market ($ Bn)
Country Share for Asia Pacific Region (%)
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Social Commerce Market Segmental Analysis
Global Social Commerce Market is segmented by Type, Business Model, Platform/Sales Channel, and region. Based on Type, the market can be segmented into Personal & Beauty Care, Apparel, Accessories, Home Products, Health Supplements, Food & Beverage, Others. Based on Business Model, the market can be segmented into Business to Consumer (B2C), Business to Business (B2B), Consumer to Consumer (C2C). Based on Platform/Sales Channel, the market is segmented into Video Commerce (Live stream + Prerecorded), Social Network-led Commerce, Social Reselling, Group Buying, Product Review Platforms. Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Social Commerce Market Analysis by Product
With a 23.4% revenue share in 2022, the apparel segment was the market leader. Due to its widespread appeal and high demand across social media platforms, the clothing and apparel industry is by far the most significant online business. Fashion companies found novel ways to foster shopping experiences, work with influencers and artists, and forge new connections because most customers spent their time online.
During the projected period, it is predicted that the personal and beauty care segment would grow at the highest CAGR of 36.2%. Because they are fully aware of what to expect from a product's user experience after purchase, internet shoppers make informed decisions. In order to target customers and develop products, personal and beauty care brand owners and marketers give data top priority.
Social Commerce Market Analysis by Business Model
With a market share of 55.97% in 2022, the B2C sector was in dominant position. During the projection period, it is anticipated to expand at a significant rate. Business-to-consumer (B2C) business models are becoming more and more popular due to factors including changing consumer behavior, mentality, and expanding acceptance of digital technology. Platforms for social commerce make it simple for users to browse, choose, and order products while also comparing them to each other by reading user reviews.
it is predicted that during the projected period, the C2C category would expand at a CAGR of 27.6%. Websites that serve as middlemen between clients are known as C2C businesses. With the use of this approach, sellers can become buyers and buyers can become sellers. Depending on their needs, customers can switch between different roles. In the upcoming years, the B2B market is anticipated to increase steadily
Global Social Commerce Market By Business Model
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Social Commerce Market Regional Insights
Asia-Pacific had a sizable market share and is anticipated to expand at a CAGR of 30.7% over the projection period. The rise of this region is mostly attributable to increasing investments in telecommunications infrastructure, the spread of the internet and smartphones, and the extensive usage of social media platforms like Facebook, Instagram, and Twitter. Additionally, the growth of social media and smartphone use in nations like China is substantially in favor of regional market expansion.
The forecast term is expected to see tremendous growth in North America, which has overtaken Europe as the second-largest market. The e-commerce and social commerce landscapes in the United States are substantially more fragmented than those in developing nations, with varied customer attitudes and behaviors towards using social media, digital buying, making payments, and maintaining online privacy. GWI estimates that 51% of consumers in the US and the UK will use YouTube to identify products and do more research before making a purchase.
Global Social Commerce Market By Region
- Largest
- Fastest
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Social Commerce Market Dynamics
Social Commerce Market Drivers
Social Media Influence to Bolster Market Growth
- Social commerce is being used by numerous enterprises to connect with current and potential clients. People's increased use of social media platforms—the typical individual spends more than two hours each day on them, according to studies—is one of several factors influencing this trend. The fact that these platforms allow users to make purchases in a more participatory way than traditional e-commerce platforms also make them useful marketing tools and a part of the reason why social media platforms are seeing a continuous rise in online buying. Social media networks have attracted a lot of attention in the previous 10 years and have seen a rapid growth in user numbers.
- Due to their ability to create individualised client journeys through social interactions, social commerce platforms are drawing companies of all sizes. Before consumers began making purchases on e-commerce websites like Amazon.com and Walmart.com, social media was used as a platform for window-shopping. Social media platforms, on the other hand, give businesses the chance to create client communities, connections, and partnerships. Visual-first platforms like Instagram and Pinterest have been essential in bringing about this transformation by offering seamless integration of e-commerce products. The time saved by consumers owing to the quick delivery of comparative information is a significant benefit of social commerce over traditional e-commerce.
Social Commerce Market Restraints
Privacy CConcerns to Hinder Market Growth
- Hackers target social media sites after realising that social commerce platforms handle a lot of sensitive information, from financial data to personal information, in terms of volume. Any data leak now has the potential to harm a company's reputation as well as cause emotional and monetary damages for a person. There is also a high likelihood of data misuse. Businesses engaged in social commerce place an emphasis on maintaining proper data security measures in addition to storing backups of crucial data. Data security and privacy legislation have been created by numerous governmental organisations around the world.
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Social Commerce Market Competitive Landscape
The global social commerce market has witnessed significant growth in recent years, with a multitude of players vying for a share of this dynamic and expanding space. The competitive landscape is characterized by a mix of established e-commerce giants, social media platforms, startups, and niche players, all striving to leverage the convergence of social interaction and online shopping. At the forefront of the competitive landscape are e-commerce giants like Amazon and Alibaba, which have recognized the potential of social commerce and are integrating social features into their platforms. These companies have the advantage of large user bases and well-established e-commerce infrastructures, enabling them to offer seamless shopping experiences through social channels. Social media platforms such as Facebook, Instagram, and Pinterest are also key players in the social commerce ecosystem. They have introduced features like shoppable posts and integrated buy buttons, making it easier for users to discover and purchase products without leaving the platform. These platforms leverage their massive user engagement and data-driven targeting to provide a personalized shopping experience.
In addition to these industry giants, there is a vibrant ecosystem of startups and specialized social commerce platforms. Companies like Shopify, BigCommerce, and WooCommerce offer tools that enable businesses to set up their social commerce operations. They cater to small and medium-sized businesses looking to tap into the social commerce trend. Furthermore, influencer marketing and affiliate marketing networks have emerged as essential components of the social commerce landscape. Influencer platforms like TikTok and YouTube, in particular, are serving as effective channels for product promotion and driving sales. Brands collaborate with influencers to reach their engaged audiences and leverage their credibility to promote products and services. Localized and niche players also contribute to the competitive landscape, focusing on specific markets or niches within social commerce. These may include regional e-commerce players, boutique online marketplaces, or platforms catering to specific product categories.
Social Commerce Market Top Player’s Company Profiles
- Facebook, Inc. (United States)
- Flipkart Internet Private Limited (India)
- Google LLC (United States)
- Instagram, LLC (United States)
- JD.com, Inc. (China)
- Kakao Corp. (South Korea)
- LinkedIn Corporation (United States)
- Meituan Dianping (China)
- Pinterest, Inc. (United States)
- Rakuten, Inc. (Japan)
- Shopify Inc. (Canada)
- Snap Inc. (United States)
- SSENSE (Canada)
- Tencent Holdings Limited (China)
- TikTok Inc. (China)
- Twitter, Inc. (United States)
- WeChat (China)
- Xiaohongshu (China)
- YouTube LLC (United States)
Social Commerce Market Recent Developments
- In March 2024, Union54, a fintech company based in Zambia, introduced a novel social commerce application named ChitChat, marking Africa's inaugural secure chat platform with integrated digital wallet functionalities. Developed in collaboration with the renowned payments corporation Mastercard, ChitChat enables users across the African continent to engage in encrypted conversations and conduct money transfers among themselves using its digital wallet capabilities.
- In March 2024, Portaltech Reply, a Reply group subsidiary specializing in the development and deployment of Customer Experience and E-Commerce solutions, announced a partnership with Shopify, a prominent global commerce company. By joining the Shopify Partner Program, Portaltech Reply intends to leverage its extensive commerce expertise and comprehensive market understanding, particularly within the mid-sized to large enterprise sector, to support Shopify in expanding its market reach. With a strong reputation for serving retail and brand clients of varying sizes worldwide, Shopify's collaboration with Portaltech Reply is poised to facilitate enhanced services for enterprise-level companies, benefiting from Shopify's recent platform advancements.
- In January 2024, Cheil's Experience Commerce division secured the social media mandate for Western Refrigeration after multiple rounds of presentations. This strategic collaboration empowers Experience Commerce to orchestrate social media campaigns on behalf of Western Refrigeration.
Social Commerce Key Market Trends
- For the purpose of enhancing their service offerings, social commerce organisations are rapidly implementing AI and big data technology. Big data, a sizable collection of offline and online data, has developed into a useful tool for analysing historical trends and getting insightful knowledge into customer behaviour, resulting in higher levels of customer satisfaction. Big data integration with social commerce can give companies access to information that they can use to increase sales, attract new clients, and improve operational efficiency.
Social Commerce Market SkyQuest Analysis
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Co-relates and Analyses the Data collected by means of Primary Exploratory Research backed by the robust Secondary Desk research.
According to our analyses, the global social commerce market has been rapidly growing in recent years, driven by the increasing use of social media platforms and the rising trend of online shopping. Social commerce refers to the integration of social media and e-commerce, where customers can buy products directly within social media platforms. The market for social commerce is primarily driven by the growing use of social media platforms and the increasing adoption of mobile devices. Social media platforms provide a highly engaging and personalized user experience, which can help drive sales and customer loyalty. Additionally, social commerce can provide businesses with valuable customer insights and data. The global social commerce market is growing rapidly and presents a significant opportunity for businesses and investors looking to enter the e-commerce sector. However, the market still faces challenges, and further investment and innovation are needed to fully realize the potential of social commerce.
| Report Metric | Details |
|---|---|
| Market size value in 2022 | USD 0.72 trillion |
| Market size value in 2031 | USD 8.97 trillion |
| Growth Rate | 32.34% |
| Base year | 2023 |
| Forecast period | 2024-2031 |
| Forecast Unit (Value) | USD Trillion |
| Segments covered |
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| Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
| Companies covered |
|
| Customization scope | Free report customization with purchase. Customization includes:-
|
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Table Of Content
Executive Summary
Market overview
- Exhibit: Executive Summary – Chart on Market Overview
- Exhibit: Executive Summary – Data Table on Market Overview
- Exhibit: Executive Summary – Chart on Social Commerce Market Characteristics
- Exhibit: Executive Summary – Chart on Market by Geography
- Exhibit: Executive Summary – Chart on Market Segmentation
- Exhibit: Executive Summary – Chart on Incremental Growth
- Exhibit: Executive Summary – Data Table on Incremental Growth
- Exhibit: Executive Summary – Chart on Vendor Market Positioning
Parent Market Analysis
Market overview
Market size
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- SWOT Analysis
KEY MARKET INSIGHTS
- Technology Analysis
- (Exhibit: Data Table: Name of technology and details)
- Pricing Analysis
- (Exhibit: Data Table: Name of technology and pricing details)
- Supply Chain Analysis
- (Exhibit: Detailed Supply Chain Presentation)
- Value Chain Analysis
- (Exhibit: Detailed Value Chain Presentation)
- Ecosystem Of the Market
- Exhibit: Parent Market Ecosystem Market Analysis
- Exhibit: Market Characteristics of Parent Market
- IP Analysis
- (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
- Trade Analysis
- (Exhibit: Data Table: Import and Export data details)
- Startup Analysis
- (Exhibit: Data Table: Emerging startups details)
- Raw Material Analysis
- (Exhibit: Data Table: Mapping of key raw materials)
- Innovation Matrix
- (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
- Pipeline product Analysis
- (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
- Macroeconomic Indicators
COVID IMPACT
- Introduction
- Impact On Economy—scenario Assessment
- Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
- Revised Market Size
- Exhibit: Data Table on Social Commerce Market size and forecast 2021-2027 ($ million)
- Impact Of COVID On Key Segments
- Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
- COVID Strategies By Company
- Exhibit: Analysis on key strategies adopted by companies
MARKET DYNAMICS & OUTLOOK
- Market Dynamics
- Exhibit: Impact analysis of DROC, 2021
- Drivers
- Opportunities
- Restraints
- Challenges
- Exhibit: Impact analysis of DROC, 2021
- Regulatory Landscape
- Exhibit: Data Table on regulation from different region
- SWOT Analysis
- Porters Analysis
- Competitive rivalry
- Exhibit: Competitive rivalry Impact of key factors, 2021
- Threat of substitute products
- Exhibit: Threat of Substitute Products Impact of key factors, 2021
- Bargaining power of buyers
- Exhibit: buyers bargaining power Impact of key factors, 2021
- Threat of new entrants
- Exhibit: Threat of new entrants Impact of key factors, 2021
- Bargaining power of suppliers
- Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
- Competitive rivalry
- Skyquest special insights on future disruptions
- Political Impact
- Economic impact
- Social Impact
- Technical Impact
- Environmental Impact
- Legal Impact
Market Size by Region
- Chart on Market share by geography 2021-2027 (%)
- Data Table on Market share by geography 2021-2027(%)
- North America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- USA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Canada
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Europe
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Germany
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Spain
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- France
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- UK
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Europe
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Asia Pacific
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- China
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- India
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Japan
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Korea
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of Asia Pacific
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Latin America
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- Brazil
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of South America
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Middle East & Africa (MEA)
- Chart on Market share by country 2021-2027 (%)
- Data Table on Market share by country 2021-2027(%)
- GCC Countries
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- South Africa
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
- Rest of MEA
- Exhibit: Chart on Market share 2021-2027 (%)
- Exhibit: Market size and forecast 2021-2027 ($ million)
KEY COMPANY PROFILES
- Competitive Landscape
- Total number of companies covered
- Exhibit: companies covered in the report, 2021
- Top companies market positioning
- Exhibit: company positioning matrix, 2021
- Top companies market Share
- Exhibit: Pie chart analysis on company market share, 2021(%)
- Total number of companies covered
Methodology
For the Social Commerce Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Social Commerce Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Analyst Support
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Social Commerce Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the Social Commerce Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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