Social Commerce Market by Product (Apparels, Food & Beverage, Health Supplements), Business Model (Business to Business, Business to Consumer, Consumer to Consumer), Platform - Global Forecast 2024-2030

Social Commerce Market by Product (Apparels, Food & Beverage, Health Supplements), Business Model (Business to Business, Business to Consumer, Consumer to Consumer), Platform - Global Forecast 2024-2030

The Social Commerce Market size was estimated at USD 27.95 billion in 2023 and expected to reach USD 32.63 billion in 2024, at a CAGR 18.92% to reach USD 94.06 billion by 2030.

Social commerce represents a subset of electronic commerce (e-commerce) that uses social media platforms to facilitate the creation and sharing of product and service information, leading to online purchases. This phenomenon leverages social media's collaborative and interactive nature to enhance the shopping experience, enabling businesses to sell their products or services within social networking sites. It incorporates user-generated content, such as customer reviews and ratings, influencer endorsements, and social advertisements, to influence buying behavior and facilitate transactions within the social media ecosystem. Increasing seamless integration of shopping features in social media platforms and rising influencer marketing for product discovery and sales are driving the growth of the social commerce market. However, high-profile data breaches and concerns over personal data usage hinder social commerce adoption. The social commerce market has an opportunity for expansion through innovations such as augmented reality (AR) for trying products virtually and leveraging AI for personalized shopping experiences and product recommendations.

Regional Insights

In the Americas, particularly in the United States and Canada, the social commerce market is experiencing significant growth, driven by high social media penetration and the widespread adoption of smartphones. The U.S. has platforms, including Facebook, Instagram, and Pinterest, integrating advanced shopping features that allow users to make purchases directly through the platforms. Countries such as Brazil and Mexico leverage WhatsApp and Instagram to engage with customers, offering personalized shopping experiences. The Asia-Pacific region is showcasing significant growth in the social commerce market. China has platforms such as WeChat, Taobao, and Pinduoduo that have revolutionized commerce, integrating social elements that encourage user participation and engagement. Countries, including India and Southeast Asia, are also experiencing rapid growth in social commerce, driven by high mobile internet usage and the rising use of messaging apps and social media. However, the region faces unique challenges, including regulatory issues and the diversity of languages and cultures, which necessitate localized market entry and expansion strategies. The social commerce market in the EMEA region is diverse, with varying levels of adoption and maturity. The social commerce market in Europe is growing steadily, and Instagram and Facebook platforms are widely used in social commerce initiatives. The adoption of GDPR has raised the bar for data privacy and security, influencing how social commerce operates within the region. The Middle East shows strong potential for social commerce growth, particularly in the Gulf Cooperation Council (GCC) countries, where high smartphone penetration and a young, tech-savvy population drive social media usage. Africa's social commerce market is expanding gradually, with significant growth potential given the rising internet and mobile phone penetration.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the Social Commerce Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Increasing seamless integration of shopping features in social media platforms
• Growing influencer marketing for product discovery and sales

Market Restraints

• High-profile data breaches and concerns over personal data usage

Market Opportunities

• Innovations such as augmented reality (AR) for trying products virtually
• Leveraging AI for personalized shopping experiences and product recommendations

Market Challenges

• Ensuring data privacy, addressing fake reviews and counterfeit goods

Market Segmentation Analysis

• Business Model: Preference for a B2C business model for seamless integration of e-commerce platforms with social media networks
• Product: Social commerce emerging as a preferred option for personal and beauty care products

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Social Commerce Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Social Commerce Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

Klarna launched Creator Shops, Expanding Horizons in Social Commerce

Klarna broadened its footprint in the social commerce arena by expanding its Creator Shops initiative, which is a timely response to the growing consumer predilection for shopping within social media ecosystems. Creator Shops is ingeniously designed to enable influencers and content creators to curate and sell products directly to their followers, simplifying the shopping experience.

AJIO launched AJIogram, an e-commerce platform

AJIO has launched AJIogram, an innovative e-commerce platform primarily focused on Direct-to-Consumer (D2C) content to amplify interactive shopping experiences. Ajio aims to empower the next 100 fashion startups to emerge from India; with the help of brands such as Urban Monkey, Supervek, Creatures of Habit, Cecil, Quirksmith, Kra Life, Truser, and Fancypants exclusively available on Ajiogram.

TikTok Launched Online Shopping in the US

TikTok launched its online shopping platform in the United States, intending to transform the way users interact with content and enable them to purchase directly through the app by integrating shopping capabilities. The novel features include a shop tab for businesses to display their products with logistics and payment solutions powered by TikTok

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Social Commerce Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the Social Commerce Market, highlighting leading vendors and their innovative profiles. These include Alibaba Group Holding Limited, Creator Co. by Shop and Shout Ltd., Etsy, Inc., JD.com, Inc., Meta Platforms, Inc., Pinduoduo by PDD Holdings, Pinterest, Inc., Poshmark Inc., Roposo by Glance Group, Snap Inc., Taggbox by Social Scape Tech LLP, TikTok Inc., Twitter, Inc., Verint Systems, Inc., WeChat, and Yunji Sharing Technology Co., Ltd..

Market Segmentation & Coverage

This research report categorizes the Social Commerce Market to forecast the revenues and analyze trends in each of the following sub-markets:

Product

Apparels

Food & Beverage

Health Supplements

Home Products

Personal & Beauty Care

Business Model

Business to Business

Business to Consumer

Consumer to Consumer

Platform

Online Forums and Communities

Peer-to-Peer Sales Platforms

Social Networking Platforms

Region

• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year