Social Media in Retail and Apparel - Thematic Intelligence
Summary
Big Tech companies dominate the social media space. Meta’s Facebook has 3 billion monthly active users (MAUs), accounting for 61% of the global online population, and Google’s YouTube has approximately 2.7 billion MAUs. In most segments, platforms have benefited from network effects, and thanks to their high volume of users, they are the most attractive to both consumers and advertisers. Few players offer a portfolio of services comparable to Meta, preferring instead to offer more specialized services. For example, LinkedIn positions itself as a social media platform for consumers’ professional networks.
Key Highlights
Social media companies will increasingly diversify away from their ad-funded business model in the face of increased regulatory scrutiny.
Although retailers across all sectors use social media, its use is more prominent in the apparel and health & beauty sectors.
Social media platforms and influencer marketing have become influential in marketing, and platforms are becoming purchasing channels in their own rights.
Scope
- GlobalData provides detailed insight into the theme of social media, specifically focusing on its impact on the Retail and Apparel sectors. The report provides an overview of social media and its components, the leading companies, the timeline of developments in social media, and related mergers and acquisitions. The report also details the relevant trends across technology, marcoeconomic, regulatory, and retail trends.
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- Executive Summary
- Players
- Thematic Briefing
- The blurred boundaries of social media
- Online advertising generates the bulk of the social media industry’s revenues
- Social media must differentiate to compete
- Network effects can be a barrier to entry
- Decentralized apps are rising while super-apps are falling
- Trends
- Technology trends
- Macroeconomic trends
- Regulatory trends
- Retail trends
- Industry Analysis
- Apparel
- Food and grocery
- Electricals
- Health and beauty
- Home
- hUse cases
- Instagram Shopping provides a platform for retailers to market products
- Petco is increasing engagement and sales through live shopping
- Snap’s AR features will help mitigate issues associated with purchasing online
- Timeline
- Signals
- M&A trends
- Patent trends
- Company filing trends
- Hiring trends
- Value Chain
- Content layer
- Consumer profile data
- User-generated content
- News
- Film and TV
- Games
- Distribution layer
- Social networks
- Discussion forums
- Media sharing sites
- Consumer review networks
- Sharing economy companies
- Messaging services
- Data layer
- Data integration
- Data aggregation
- Data processing
- Data storage
- Data validation
- Data governance and security
- Services layer
- Internet advertising
- Online payments
- Ecommerce
- Customer layer
- Consumers
- Brands
- Influencers
- Companies
- Public companies
- Private companies
- Sector Scorecard
- Retail sector scorecard
- Who’s who
- Thematic screen
- Valuation screen
- Risk screen
- Glossary
- Further Reading
- GlobalData reports
- Our Thematic Research Methodology
- About GlobalData
- Contact Us
- List of Tables
- Table 1: Technology trends
- Table 2: Macroeconomic trends
- Table 3: Regulatory trends
- Table 4: Retail trends
- Table 5: M&A trends
- Table 6: Public companies
- Table 7: Private companies
- Table 8: Glossary
- Table 9: GlobalData reports
- List of Figures
- Figure 1: Who are the leading players in the social media theme, and where do they sit in the value chain?
- Figure 2: Social media use has proliferated since 2010
- Figure 3: The social media business model relies on harvesting customer data to target ads
- Figure 4: Consumers can now make purchases on Instagram directly on Instagram, reducing friction
- Figure 5: The appeal of dogs drives consumers to Petco’s live streams
- Figure 6: ARES can help reduce high returns rates associated with buying clothing & footwear online
- Figure 7: The social media story
- Figure 8: A declining number of patents have been filed since 2021
- Figure 9: Mentions of social media in company filings peaked in 2021
- Figure 10: 2023 has seen a rapid spike in the total number of jobs
- Figure 11: The social media value chain
- Figure 12: The social media value chain - Content layer
- Figure 13: The social media value chain - Distribution layer: Social networks
- Figure 14: The social media value chain - Distribution layer: Discussion forums
- Figure 15: The social media value chain - Distribution layer: Media sharing sites
- Figure 16: The social media value chain - Distribution layer: Consumer review networks
- Figure 17: The social media value chain - Distribution layer: Sharing economy companies
- Figure 18: The social media value chain - Distribution layer: Messaging services
- Figure 19: The social media value chain - Data layer: Data integration
- Figure 20: The social media value chain - Data layer: Data aggregation
- Figure 21: The social media value chain - Data layer: Data processing
- Figure 22: The social media value chain - Data layer: Data storage
- Figure 23: The social media value chain - Data layer: Data validation
- Figure 24: The social media value chain - Data layer: Data governance and security
- Figure 25: The social media value chain - Services layer: Internet advertising
- Figure 26: The social media value chain - Services layer: Online payments
- Figure 27: The social media value chain - Services layer: Ecommerce
- Figure 28: Who does what in the retail space?
- Figure 29: Thematic screen
- Figure 30: Valuation screen
- Figure 31: Risk screen
- Figure 32: Our five-step approach for generating a sector scorecard
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